The Minority in Parliament has criticized the government for attributing the current economic difficulties to the Covid-19 pandemic. They argue that the government’s mismanagement of the economy had already caused significant fiscal issues before the pandemic emerged.
Isaac Adongo, Ranking Member of the Finance Committee, expressed the Minority’s frustration following the Finance Minister’s presentation of the 2024 Mid-Year Budget Review. Adongo asserted that the government should not use the pandemic as an excuse for its economic missteps.
“Even before COVID-19, the government of the day had already plunged this country into a serious fiscal quagmire. We were expected to see changes in our net international reserves. Mr. Speaker, we missed our targets in March and June and are now looking at September 2024,” Adongo said.
He criticized the government’s claims that the pandemic was the primary cause of the current economic situation, citing a statement from the Bank of Ghana. The statement indicated that by May 2019, shortly after exiting a program, the government was already grappling with significant fiscal concerns. “Mr. Speaker, it is not true that the problems are attributable to COVID-19,” Adongo asserted.
In response, Deputy Finance Minister Abena Osei Asare emphasized the government’s commitment to fiscal discipline during this election year. She noted that the government had managed to stay within its budgetary limits, reporting a 2.9% savings in the first half of 2024.
“Mr. Speaker, in an election year, we have managed to spend within our limits. We budgeted GH¢1.48 billion for January to June 2024 but spent GH¢1.1 billion, achieving savings of GH¢2.9 million below the budgeted amount. We are committed to living within our means and ensuring we do not exceed our proposed budget,” Asare stated.
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