Stabilization Yes, But Where Is The Green Transformation?” — Stakeholders Criticise 2026 Mid-Year Budget On Environment

Civil society groups and environmental advocates have welcomed Ghana’s improving economic indicators but are warning that the 2026 Mid-Year Budget Review does little to advance the country’s environmental and climate agenda.

The Review, presented to Parliament on July 23, 2026 under Section 28 of the Public Financial Management Act 921, showed that inflation is easing, fiscal discipline has improved, and confidence in the economy is gradually returning.

But in a statement, stakeholders said while stabilization is important, it is not the same as transformation.

“Economic stabilization alone does not constitute transformation. Transformation requires balanced investment in people, infrastructure, innovation, and the environment,” the statement said. “On this critical pillar, the set objectives of MEST in the Mid-Year Budget Review remains largely silent.”

Green Commitments Missing
The groups noted that the government’s own 2026 Budget had promised to build a greener and innovation-driven economy through environmental protection, climate resilience, scientific research, circular economy development, ecosystem restoration, pollution control, and stronger implementation of the Environmental Protection Act, 2025 (Act 1124).

It also pledged flagship initiatives like One Child, One Tree, land restoration, carbon market development, e-waste management, and green industrial innovation.

However, they said these received “little or no attention” in the Mid-Year Review.

“There is no dedicated chapter on climate change, environmental sustainability, climate adaptation, biodiversity conservation, or green economy financing,” the statement said. Instead, the review focused heavily on *revenue mobilisation through gold, the Ghana Gold Board (GoldBod), and mineral exports, while investment in the environment remained “largely invisible.”

Over-Reliance On Gold Raises Alarm
The statement raised concerns about the growing dependence on gold as the main driver of revenue.

“Gold contributes significantly to foreign exchange earnings today, but excessive dependence on extractive resources comes with enormous environmental costs, including illegal mining, destruction of forests, pollution of rivers, loss of biodiversity, degraded farmlands, and increased climate vulnerability,” it said.

“Economic growth financed by environmental degradation cannot be regarded as sustainable development.”

Budget Cuts Should Not Affect Environment
According to the revised framework, *total revenue is projected to fall below target by about 4 percent, while total government expenditure has been revised downward by about 30 percent.

The groups cautioned that fiscal prudence must not come at the cost of strategic investments in climate resilience and natural resource restoration.

“A country cannot cut investment in environmental sustainability while simultaneously encouraging greater extraction of its natural resources,” they stressed.

They also noted that despite the stronger powers in Act 1124, the Mid-Year Review gave no implementation report, no measurable progress on land reclamation, river restoration, carbon market development, renewable energy investments, or climate adaptation financing.

Call To Government
The groups are calling on Government and the Honourable Minister for Finance to reaffirm the environmental commitments made in the 2026 Budget.

“Environment is now a central major economic challenge and priority,” they said.

For the remaining half of 2026, they urged government to prioritise environmental expenditure, strengthen enforcement against illegal mining, invest in ecological restoration, and accelerate Ghana’s transition to a green economy.

“Stabilization is encouraging. Transformation, however, will only be proven when economic progress is matched by equal commitment to protecting Ghana’s environment for present and future generations.”