Finance minister presents mid-year review budget Tuesday

The government will, tomorrow, July 21, 2015, announce major progress made in the implementation of the 2015 budget in the first five months in its mid-year review to be delivered to Parliament.
This will be the first major policy statement since visible signs of progress began to emerge in the economy, which is boosted by a confidence review by the International Monetary Fund (IMF).
The Finance Minister, Mr Seth Terkper, told the Daily Graphic in an interview that the review would give an update on the implementation of the 2015 budget in the first half of the year.
The government’s confidence is boosted by the resumption of aid from development partners.
Mr Terkper explained that the review would look at the 2014 budget and the first five months of the 2015 budget estimates, given the fall in global crude oil prices which could have a negative impact on the current account balance and foreign exchange reserves.
Ghana, which produces gold, cocoa and oil, is in talks with the IMF on an assistance package designed to stabilise the economy, amid high inflation and a wide budget deficit.
“The required adjustments (to the budget estimates) will be done through the necessary procedures to ensure that the continued fall in crude oil prices does not derail our fiscal consolidation objectives,” Mr Terkper had earlier told journalists.
The government based its 2015 budget, announced in November last year, on a crude price of $99.736 per barrel, a figure derived using a formula based on legislation.
Oil is currently trading below $60 a barrel.
Ghana began producing oil in 2010 and has a Stabilisation Fund to protect the economy against price shocks.

The economy grew around eight per cent in recent years due to exports, but GDP growth is expected to slow in 2015 to 3.9 per cent, due in part to fiscal problems and a currency that slumped 31 per cent last year.
credit: graphic online

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