Government met its fiscal deficit target of 5.3% of Gross Domestic Product in the first seven months of 2022.

According to the Finance Minister, Ken Ofori-Atta, the overall fiscal deficit amounted to ¢31.1 billion (5.3% of GDP), against a target of ¢31.2 billion (5.3% of GDP).

Again, the corresponding primary balance for the period was a deficit of ¢7.6 billion (1.3% of GDP), against a deficit target of ¢7.8 billion (1.3% of GDP).

Mr. Ofori-Atta said the current year expenditure has also largely been contained owing to the operationalisation of expenditure cuts announced since March 2022.

“We are on course with expenditure rationalisation efforts, and will continue to enforce strict adherence to these measures across all MDAs, while ensuring efficient delivery of public services”.

He added that the Ghana Revenue Authority has intensified its efforts to shore up domestic revenue mobilisation, particularly in relation to the enforcement of compliance measures.

“The increased visibility of GRA officials at shopping malls and various commercial establishments and at our borders across the country is in pursuit of meeting our revenue objectives”.

“Such exercises form part of an ongoing drive to ensure we take significant steps forward in remedying long-standing challenges with domestic revenue mobilization, indiscipline, corruption and leakages. Of course, heightened tax compliance and increased tax-audit exercises will continue to be complemented by policy initiatives that allow us to tap into a wider pool of taxpayers in the years ahead”, he explained further.

 Towards this therefore, Mr. Ofori-Atta said, government is looking at areas around the Electronic Transaction Levy (E-Levy) to ensure its effective implementation.

Since quarter 1, 2022, the government has cut discretionary expenditures in the budget by 30%.

In addition, it announced a number of expenditure measures to keep public spending in line with its tightening economic conditions including restraints on purchase of new vehicles and a moratorium on non-statutory travel.

The revised deficit target announced by Mr. Ofori-Atta earlier on was 6.6% of GDP and a primary balance of 0.4% of GDP.