Ghana Finance Minister Presents Mid-Year Budget Review
Ghana Finance Minister Ken Ofori-Atta will present the mid-year budget statement review to Parliament today.
The meeting comes as Ghana experiences record-levels of inflation, a slowdown in private consumption, and reduced foreign direct investment. Earlier this year, Accra implemented major spending cuts to balance the budget in a bid to restore investor confidence. The presentation is expected to focus primarily on understanding why revenue and debt targets that were announced by Ofori-Atta November have not been met.
The COVID-19 pandemic and the fallout of the war in Ukraine has led the Ghanian credit to depreciated about 19% in Q1 of 2022, marking one of the worst performances on the continent. In addition, the highly controversial E-levy bill was passed in the hopes of increasing revenue and boosting GDP. However, the policy has yet to see an increase in government revenue.
Ghana is feeling the pressure of its economic problems. Inflation has not shown signs of slowing down and protests have already taken place in response to high living costs and the E-levy bill. In the short-term, expect continued civil unrest and clashes with the police.
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