Finance Minister Dr Cassiel Ato Forson has announced plans to introduce a new policy framework dubbed the “New Economy” in the 2027 national budget, signalling a shift from fiscal consolidation towards growth-focused spending.

Speaking on JoyNews’ PM Express programme during “The Mid-Year Scorecard: One-on-One with the Finance Minister” with Evans Mensah, Dr Forson said the government’s initial two years in office were focused on difficult economic decisions aimed at stabilising the economy.

He said the 2027 budget would mark a new phase of recovery focused on expanding economic opportunities, particularly in the rural sector and among young people.

“The 2027 budget, I’m going to announce a new policy called the new economy,” he said.

According to the Finance Minister, the government deliberately undertook a two-year adjustment period, but intends to ease the pace of fiscal consolidation as the economy improves.

“I have always known that we will need that two years of hard decisions to turn around this economy. We have. I don’t want to celebrate too early. I want to wait till the end of the year and launch the new economy for 2027,” he stated.

Dr Forson explained that government intends to reduce its primary surplus target from 1.5% of Gross Domestic Product (GDP) to 0.5% of GDP, describing the move as a one percentage point relaxation of the adjustment programme.

“So simple put, I’m going to relax the adjustment by one percentage point of GDP. It means you have one percentage more to spend on the new economy,” he said.

He said the additional fiscal space would be directed towards sectors expected to stimulate growth and improve livelihoods.

“We are going to target the rural sector of this economy. Market women who you met. For growth. For young people and for growth,” he added.

The Finance Minister said the government’s focus would be on policies that directly impact citizens while supporting broader economic transformation.

“I don’t want to read the 2027 budget I have. But I can assure you that we will focus on the people and turn around this economy at scale and transform it,” he said.

Dr Forson added that the planned approach reflects President John Dramani Mahama’s economic vision, with his role being to support its implementation.

“That is the vision of His Excellency President Mahama. And that is my job to assist him deliver,” he stated.

The announcement comes ahead of the presentation of the 2027 budget, which is expected to outline government’s next phase of economic policy after its current fiscal adjustment programme.