By Gloria Amoh
Finance Minister Dr. Mohammed Amin Adam says the government has implemented effective measures to achieve fiscal consolidation, economic stability, and growth, resulting in better than expected outcomes.
Speaking at the Mid Year Budget Review 2024 in parliament on July 23, 2024, he highlighted some key achievements, which include a 4.7% growth rate for the first quarter of 2024, a decline in inflation to 22.8% by June 2024, a stabilised exchange rate with an 18.6% depreciation against the US dollar, and increased gross international reserves covering 3.1 months of imports.
According to him, over the past six months, expedited government programs and growth-enhancing initiatives have led to significant progress. The second review of the extended credit facility with the IMF resulted in a $360 million disbursement. Debt restructuring efforts included a $5.1 billion program with the Official Creditor Committee of Ghana, leading to $2.8 billion in debt service relief, and successful negotiations with Eurobond holders and independent power producers.
Dr Amin Adam emphasised that the expenditure control within the 2024 budget and exceeding the mid-year non-oil revenue target by 3.7% have put the government on course to achieve a primary surplus of 0.5% of GDP by year-end. Also, major reforms in state-owned enterprises, particularly in the energy and cocoa sectors, aim to ensure fiscal prudence. Support programs such as SME Go, LEAP, the School Feeding Program, and the NHS have provided substantial financial and technical aid.
Additionally, infrastructure development remains a priority, with nearly $10 billion invested in the road sector and significant progress on various projects. Digitalization efforts include a $135 million investment in the National Identification Program.
The government continues to engage stakeholders to bolster cooperation and understanding, focusing on prudent expenditure management, improved revenue mobilisation, and investment in physical and digital infrastructure to drive economic growth.
