Below is the latest FOROYAA Burning Issues. The topics in the issue are:
1. Editorial - President Jammeh Needs To Respect The National Assembly;
On Gambia Guinea Relations
2. Clandestine Publication Of The Fixing Of Foreign Exchange Rate
3. The Vice President's Visit To URD - "We Did Not Get Our Money Still"
Says A Farmer From Sabi
4. Focus On The Gambia's Economic Situation - Continued from last issue
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NO: 38/2002 4 - 6 July, 2002
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Editorial
President Jammeh Needs To Respect The National Assembly;
On Gambia Guinea Relations
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The sight of Guinean men and women being rounded up and rushed to Police
Stations for Residential Permit has been frequent and undesirable. With the
birth of ECOWAS and the claim that free movement of goods and people
would be encouraged many people in the Subregion have been expecting that
there will be ECOWAS Passport and that Residential Permits will be
eradicated for all nationals of ECOWAS States. That dream is yet to be a
reality. Arrests, detention and deportation of each other's nationals are
common in all ECOWAS States.
Hence when it was announced that the special relation which exist between
Senegal and Gambia is being extended to Guinea all those who wish to
break the barriers established by national borders would welcome the gesture.
It was therefore welcomed news when it was broadcast that in a recent visit
to Conakry, the Guinean and Gambian authorities have agreed to waive
residential permits for the nationals of Guinean in The Gambia. What is
however lacking in the foreign policy of the Jammeh regime is the lack of
acknowledgement of Constitutional role of the National Assembly in
determining the validity of treaties and other agreements with foreign states.
The signature of the President or any Secretary of State on an International
agreement does not automatically bring it into force. All international
agreements can only be binding if they are ratified by the National Assembly.
This is clearly stipulated in Section 79 Subsection 1of the Constitution which
reads:
The President shall be responsible for:
a) the conduct of relations with other states and international organisations
b) the reception of envoys accredited to The Gambia and the appointment of
the principal representatives of The Gambia abroad;
c) the negotiation and, subject to ratification by the National Assembly, the
conclusion of treaties and other international agreements;
d) subject to the prior approval of the National Assembly, the declaration of
war and making of peace.
Subsection 3 adds that "The National Assembly may by resolution establish
procedures for the ratification of treaties and other international agreements."
It should therefore be clear to the Executive that it is not appropriate to take
the president's signature as a sign that international agreements are in force.
The National Assembly must ratify any treaty before it can become
operational.
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Clandestine Publication Of The Fixing Of Foreign Exchange Rate
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FOROYAA received information that the Central Bank has issued a circular
fixing ceilings for foreign exchange Dealers. This was rather surprising
because of the declared government policy to liberalise the foreign exchange
trade.
Further enquiry enabled Foroyaa to receive the following poorly written
circular:
THIS RATE FROM CENTRAL BANK OFFICE OF RESIDENT TO THE
BLACK MARKET OF SERREKUNDA SINCE IN THE MORNING THIS PRICE
IS MAINTAIN NO DIFFERENT
$ 19.75 BUYING
$20.00 SELLING
P.STERLING 29.00 BUYING
P.STERING 29.25 SELLING
EURO 18.75 BUYING EURO 19.00 SELLING
CF 135.00 BUYING CF 140.00 SELLING
This Amount or Prices if any person increases a single Butut we will charge
you by D1000.
Second
If we catch you again we will take you to Central Bank and the Bank will deal
with you.
No compromise.
Jammeh kunda masalieu kula, Westfield Saido Jallow, Westfield Adama
Jallow, Bambo Bubacarr Jallow, Johson Alieu Jallow,Munyagen Omar Bah,
Gamtel Alagie Ebrima Jallow
Johson,Baku Bubacarr Jallow, Moru Madi Saw, Big Tree Alassana Barry,
Mouse road Bubacarr
Saho kunda, Mutaha
Gamtel, Alsaine Gamtel.
Committed to serrekunda market member
Control prise present
Cherno Abdoulie Jalow, Second Abdou Jallow, Abdou raman Jallow, Alieu
Jallow Saido Jallow, Lope Jallow.
FOROYAA was informed that since the circular was issued a number of
foreign exchange dealers have been asked to report at the Central Bank to
answer to violations of the terms established in the circular. Foroyaa
assigned a Reporter to go to the Central Bank with a copy of the circular in
order to determine its authenticity since no one signed the circular.
On Tuesday 25th June 2002, Foroyaa was informed that some foreign
exchange dealers could be found at the foreign exchange department where
they were called to answer to charges. The Foroyaa Reporter decided to
proceed to talk to the Central Bank authorities. He did find the Manager of
the foreign exchange department and other staff plus two Senior Police
Officers. The Foroyaa Reporter could not speak to the Manager.
When the reports persisted that dealers were being fined up to 1,000 Dalasis
for violations of the rates fixed the Reporter went back to the bank to seek
clarification but to no avail. On Thursday 27th June 2002, the Editorial Board
had to intervene to speak to the Manager of the foreign exchange department
of the bank regarding the allegations. He criticized the poor content of the
circular and implied that it should not be taken as a serious matter by a
reputable paper. However, Foroyaa kept on receiving information that the
circular was still being distributed and dealers were being fined by its
violation.
Conclusion
The Central Bank needs to issue a press release to confirm that it has
nothing to do with the circular and call for the distribution of the clandestine
publication to stop.
Government has authority to change its policy, take bills to the National
Assembly to regulate exchange rates and so on and so forth. It is
undesirable to resort to clandestine intimidation of foreign exchange currency
dealers. The policy of The Gambia Government has been made quite clear in
the last Budget Speech of the Secretary of State for Finance. According to
him, "although a level of Tourism activities during 2001 was below
expectations, the foreign exchange market was quite vibrant as transaction
volumes, measured by aggregate sales and purchases of foreign currency in
the inter bank market rose by 18% to D6.8 million by end September".
The Secretary of State adds that "the Dalasi came under a lot of pressure
losing considerable ground against the major international currencies,
recording an overall depreciation of 8.4%in nominal terms against the
composite basket of currencies by end-September 2001,compared to end-
December 2000". He added, "The Dalasi fell by 12.4% against the US Dollar
and 5% against the Pound Sterling.
The depreciation of the Dalasi was more pronounced in the parallel market
where it fell against the Dollar and the Pound Sterling by 13.1% and 13.7%
respectively. Thus the premium between the parallel and inter bank markets
especially is the case of the Pound from 3.4% at end December 2000 to
10.8% at the end of September 2001 whilst in the case of the Dollar, the
movement was from 7.2% to 7.8%".
The Secretary of State gave a diagnosis of the situation by asserting, "the
pressure on the Dalasi could be attributed to the poor performance of the
tourist industry, reduced cross border trade and serious difficulties in
marketing of groundnuts. This was also coupled with the strengthening of the
Dollar in the international markets". The Secretary of State however
concluded by asserting, "despite these problems however, we remained
steadfast in our commitment to the liberal exchange and payment system".
If government wishes to change its commitment, it should establish lawful
and respectable ways to do so and not entertain any clandestine form of
pressure.
This is prone to abuse. We hope the Central Bank will issue a Press
Release to distance itself from any clandestine publication fixing exchange
rates.
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The Vice President's Visit To URD
"We Did Not Get Our Money Still" Says A Farmer From Sabi
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In her tour of the Provinces, the Vice President Madam Isatou Njie-Saidy, on
Saturday 29th June held a meeting with the Elders of U.R.D, D.C.C
Members, Security Forces, Council of Elders in the Division plus women
groups, where concerns were raised about the problems affecting the people,
the community and also the security problems around the borders of U.R.D
and the neighbouring Senegal. Vice President Njie-Saidy said their coming
was because of security reasons and to visit government employees and
talk with the elders of various communities. She said she will not make her
speech long because she was going with many security officers including
SOS Badjie. But she said her last tour in URD, there was a task force
committee which was formed on disaster relief for those who were affected
during last flood. She said, she was going to account those things.
In delivering his speech, SOS Ousman Badjie said, this disaster relief
committee which is under the Vice President's office is a very powerful one.
Mr. Badjie said the Gambia is a signatory to the UNHCR and for that reason
anything that will not bring integrity of this country, the government of the
Gambia will not allow that . Warning the refugees Mr. Badjie told them that
he heard the problem at Kundam refugee camp, but thank god it was settled
by the help of Basse Immigration Department. He said if anything has
happened to any refugee in the Gambia it means the Gambia government will
be responsible. Mr. Badjie went on to say that , there are individuals who
used to come and visit the refugee camp which is not allowed. Because as
he said any person or institution who wanted to visit any refugee camp
should seek permission from his department or Vice President's office.
Concerning Alkalos and Chiefs, SOS Ousman Badjie asked them about the
register which government issued them to record the names of aliens who
come to the villages. He said he did not receive any report from any alkalo
or chief. SOS Badjie said these are things which also help the security in
their work.
In answering to queries, the Divisional Agricultural Officer Mr. MS Kah told
one Alhagie Tankoro Sillah from Sabi who said he was sent by the village's to
ask the Vice President, that still they did not get their money and their
groundnuts were taken by the government. In response Mr. Kah said still
paying is going on, but, he said due to certain circumstances beyond their
control, not everybody could be paid but urged farmers to be patient and
apologise for any in convenience caused.
In delivering his speech on the security matters, the Director General of NIA,
Mr. Kebba Ceesay said people should report any person who they suspect.
Mr. Ceesay said before,theft cases were very small but, now there is an
increase of these cases. Mr. Ceesay told the gathering that the most
notorious criminals in this country are Gambians. He urged Elders to give
hand to the security forces to work together so that the security of the
country could be tackled.
The Vice President was accompanied by a high ranking delegation from the
Police and Army which includes the Army Chief of Staff Mr. Baboucarr Jatta
and other Senior personnel.
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Focus On The Gambia's Economic Situation
Continued from last issue
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We have been focusing on the economic situation of The Gambia which has
been motivated by the present economic difficulties, the rising commodity
and food prices, the massive unemployment and foreign exchange scarcities
etc. It has been the objective to focus on the economy so that the ordinary
educated Gambian will have a deeper understanding of economic and
financial situations so that instead of alarm there will be debates as to which
direction to take to put the economy on the right footing.
So far so good, I am grateful to all those who have been responding in one
way or the other especially those who are sending contributions and
questions or simply acknowledging what they are reading. I have been of late
been focusing on the (Gambia Human Development Report 2000) published
by the UNDP which has an in-depth analysis of the Gambian economy and
has a wealth of statistical data.
The report also aims to promote Good Governance for Human Development
and Poverty Eradication.
In the last issue, we have delved into what the report said about the Gambia's
education and employment sectors. The report did not speak well for the
employment situation it says the formal sector, i.e., the Parastatals and the
Private Sector all combined employs only 11% of the labour force. It also
criticises the employment opportunities in these sectors as bias for the
menfolks, meaning not equal opportunities are open to women compared to
the men.
On Education, the report spoke favourably about the sector. It says between
1990/91 and 1996/97, average annual growth rate in Primary School
enrolment was 8% compared with targeted 5% and a school aged population
growth rate of 4.3%.
It says there is much to be desired in the enrolment of girls; that only 61% of
girls of primary school going age are enrolled in Primary School against 79%
of boys according to the 1998 (education sector expenditure review). The
report
however maintains that despite improvements, secondary level education is
still below acceptable levels. It says government junior secondary schools
increased from 12 to 24 accounting for an increase in transition from 30% in
1990/91 to 70% by 1996/97, it says the Gross enrolment ratio rose from 22%
to 39% during the period under review. Let us now follow the Report on
Education, this time on its relevance and its financing.
Relevance
In the past, national development policies have focused on human resource
development for white collar and peripheral service sector to the detriment of
the areas of science, technology, agriculture and industry. This resulted in
mis-match between demand and supply in the labour market. The country
had to depend on importation of human capital to manage the development of
national productive resources with no firm foundation for sustainability.
Consequently, the focus on education had to be changed to meet its
development needs. The present school system, in line with the 'Vision
2020' aims at providing relevant education in the context of producing
graduates armed with skills and training suitable for the country's socio-
economic development needs. The private sector has also been contributing
to education in terms of providing educational facilities almost at all levels.
In order to ensure relevant education, there has been a continuous effort in
tailoring the school curricula to suit the nation'' needs. The current school
curricula is much more broad-based. Rather than being strictly academic,
more
technical subjects such as woodwork and technical drawing , among others,
have been introduced to make education functional for those who are not
academically inclined. Population and Family Life Education is also being
gradually introduced into the formal educational system and the 'Madrassah'.
The on-going sensitisation programmes aimed at creating awareness among
pupils and, especially parents about the importance of non-academic
subjects, need to be strengthened to remove the stigma attached to these
subjects.
In addition, restructuring of the school system to 6-3-3-4 and further efforts to
introduce 9-3-4 system confirms this effort. The aim is to provide nine years
of uninterrupted basic education, (DOSE, 1997 Policy Documents).
Financing of Education
Total government expenditure in the education sector during the 1990s
reflected an increased allocation. Between 1990/91 and 1996/97, total
government expenditure in the education sector grew in real terms at an
annual average rate of 9 percent, almost doubling both in nominal terms from
98 million Dalasis in 1990/91 to 186 million Dalasis and in real terms to 174
million Dalasis in 1996/97 (The Gambia Education Sector Public Expenditure
Review, 1998).
However, salaries account for 75 percent of education sector recurrent
expenditure whilst operational maintenance and teaching/learning supplies
receive only about 5 percent each. This disproportionate distribution does
not reflect the stated policy priority of increased expenditure on books and
other learning materials.
During this period under review, the education sector's share of government
expenditure averaged 21 percent. This constituted an average of 5.2 percent
of GDP during the period. In comparison with sub-Saharan African average,
The
Gambia's education expenditure has been higher both as a share of total
government expenditure and as a share of GDP (sub-Saharan African average
of 20 percent and 4.2 percent respectively). Primary education received the
bulk of the expenditure (an average of 45 percent).
Although development expenditure on education averaged 31 percent of the
sectors total expenditure, its share fluctuated during the period. For
example, the development component's share of total expenditure dropped
from 35 percent in 1991 to 23 percent in 1992. It picked up again in 1993 to
36 percent and dropped to 23 percent in 1994. The main reason advanced for
the fluctuation was the lack of co-ordinated planning of resources. This could
partly be explained by lack of sector-wise planned investment programme in
terms of level or function. Currently, the public expenditure plans are such
that 27 percent of the national budget will be allocated for education.
Other Financing Sources
Since 1992, there has been consistent patterns of support to primary school
education as a priority by donors. For instance, 65 percent of externally
financed development expenditure were allocated to the construction of
primary schools, expansion of facilities for teacher training and in-service
training of unqualified teachers as mentioned earlier.
Civil Society also plays a very important role in the education sector,
especially in the rural areas. Community-based Organisations such as
Parent-Teacher Association (PTAs), and NGOs undertake self help project
usually in the construction of classrooms and facilitation of adult literacy
classes, as mentioned earlier.
Household Expenditure and benefit incidence
Though education in itself does not increase economic growth, it is a vital
ingredient in that process. It is a necessary input in the production process
and, therefore, an important social service needed by the poor to escape
poverty. However, the poor are more often unable to meet their share of the
education expenditure. According to the 1998 National Household Poverty
Study, cost of secondary education D2400) is higher than the per-capita
permanent income of the poorest 20 percent of the population (D965).
In the next issue we will still quote from the UNDP Human Development
Report 2000, on the liberalise economy Gambia has adopted for along time
now to see what findings the reports makes.
We will also in subsequent issue try to address issues raised by the readers
in this coloum so as to clarify issues before continuinig with the analysis on
world economy.
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Source: FOROYAA (Freedom) NO: 38/2002 4 - 6 July, 2002 ISSN: 0796-
08573
Address: FOROYAA, P.O.Box 2306, Serrekunda, The Gambia, West Africa
Telephone: (220) 393177 Fax: (220) 393177
Email address: [log in to unmask]
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