Ahead of the 2025 mid year review, Economist Mr. Johnson Addai-Asante, has highlighted the need for robust fiscal discipline, comprehensive energy sector reforms, and prudent economic management to sustain Ghana’s recovery trajectory.
The Senior Lecturer in the Department of Liberal Studies at Kumasi Technical University (KsTU), made the disclosures on Ultimate 106.9 FM while sharing his expectations as Finance Minister, Dr. Cassiel Ato Baah Forson gets ready to deliver his address to parliament on Wednesday July 24, 2025.
Speaking to host Sachiel Ibn Yakub, host of the Cup of Tea show, Mr. Addai-Asante commended the government for achieving several targets in the previous budgets but urged more focus on unmet goals in the second half of the year.
Notably, he highlighted the need to address the budget deficit, which currently stands at 3.1% of GDP, down from 4.8% in prior years, emphasizing the importance of fiscal consolidation to enforce expenditure discipline and mobilize the estimated revenue target of GHC 275 billion.
Mr. Johnson Addai-Asante further wants the Finance Minister to provide detailed updates on the energy sector, particularly measures to manage the outstanding energy debt of approximately GHC 58 billion to ensure stable power and fuel supply crucial for national development.
On measures to stimulate the economy, Mr. Addai-Asante recommended that the government implements key policies promoting both microeconomic and macroeconomic stability to reduce inflation, stabilize exchange rates, and curb food price inflation.
Warning against unsustainable debt accumulation, he pointed out the national debt level standing at about 55% of GDP according to the Bank of Ghana, was unsustainable and urged government to adopt prudent debt management to avoid repeating past fiscal slippages.
He also expects the Finance Minister to elaborate on the anticipated rollout of the “24-hour economy” initiative, with emphasis on security and operational arrangements.
In addition, Mr. Addai-Asante advocated for new policy measures aimed at improving tax compliance within the informal sector to ease governments borrowing and debt servicing pressures.
Source: Starrfm.com.gh/Emmanuel Anyam
