Ranking Member on the Finance Committee, Dr Cassiel Ato Forson says he is not enthused despite the Finance Minister’s assurance that government will not spend more than it budgeted for in 2021.
According to him, despite Ken Ofori-Atta’s claims, he believes that the government will end up spending more money than it budgeted for in the coming months.
“I say this because, for instance, in the year 2020 as part of the supplementary appropriations, he ended up taking more than what was approved for him. So for me this doesn’t excite me, him not asking for money doesn’t mean he will not take more,” he said on Top Story on Thursday.
Dr Forson alleged that the Finance Ministry in 2020 spent an additional amount of GH¢9.5 billion.
The Ajumako-Enyan-Esiam Constituency MP told the host, Evans Mensah, that some signs he has noticed, including the expenditures he sees in Parliament and how some affairs are being run, show a possible expenditure overran.
His comment comes after Finance Minister Ken Ofori-Atta revealed the government will not be asking for more money for the 2021 fiscal year.
Unlike previous instances where his Ministry requested for a supplementary budget to run the affairs of the country, Mr Ofori-Atta said government will stay within the 2021 Budget Statement and Economic Policy presented in March this year.
Ken Ofori-Atta speaking during the presentation of the Mid-Year Budget Review in Parliament on Thursday, also assured that more taxes will not be introduced to generate more revenue.
“Speaker, this Mid-Year Fiscal Policy Review that I am presenting does not come with a supplementary budget, and our revised fiscal framework for 2021 is kept within the fiscal target of 9.5% of GDP. Therefore, we are staying within the 2021 Appropriation,” he said.
Mr Ofori-Atta explained that the move is possible due to various interventions to get the country’s economy back on track amidst the negative impacts of the Covid-19 pandemic.
However, Dr Forson said he will not be surprised, following the government’s decision, to see Ghana miss all the fiscal indicators the Minister pointed to in his address.
“The revenues are underperforming. In fact, the revenues were projected to have performed 7.5% of GDP as at June 2021. The turn out is that they have performed 6.5% of GDP, you have a revenue gap of 1% of GDP.”
“I would have thought that the Minister responsible for Finance appearing before us today, would have revised the revenue downwards, at least a minimum 1 percentage point of GDP. But, he revised it downward by 0.2% of GDP, negligible,” Dr Forson said.
Latest Stories
- Martin Kpebu recalls 18 unfulfilled promises by Akufo-Addo
25 mins - People are losing trust in government due to corruption – GII
38 mins - We steal and waste more than twice what we borrow – Kofi Bentil
46 mins - Alan admits worsening economic conditions will affect NPP’s chances in 2024 general elections
1 hour - Even Obama will have problems fighting corruption in Ghana – Kofi Bentil
1 hour - Bawku Killings: We are preparing ourselves for an explosion we can’t contain – Kofi Bentil
2 hours - We are not concerned about tradability of our bonds – Martin Kpebu replies Finance Ministry
2 hours - Government’s arrogant posturing to blame for challenges with implementation of DDEP – Alhassan Suhuyini
3 hours - My account on Bawku killings based on eye witness report – Ayariga
3 hours - Bawku killings: Families of deceased must be duly compensated – Ayariga
3 hours - US FDA says India-made eye drop linked to some infections, blindness and one death
4 hours - Murder case involving Ghanaian resident in Canada adjourned to February 16
4 hours - Court quashes suspension of Kuapa Kokoo President after months of litigation
4 hours - I don’t want the President’s hand in investigating Bawku killings – Ayariga
5 hours - The Catholic pilgrims who walked 9 days to see Pope Francis
5 hours