Government is asking Parliament to approve for spending this year, an additional 800 million cedis to enable it execute projects outlined in the 2015 budget.
The request is contained in the Finance Minister’s Supplementary Budget presented to Parliament on Tuesday.
In addition to this, Mr. Seth Terkper is also presenting to the house the Budget Mid-Year Review.
The overall GDP growth has been revised from 3.9 percent to 3.5 percent. GDP without oil has also been revised from 2.7 percent to 2.2.
The overall budget deficit target, he said, has been revised from 6.5 percent of GDP to 7.3 percent.
Inflation has also been reviewed upward; from 11.5 percent to 13.7 percent.
Looking at figures contained in the supplementary budget, there would be reduction in the expected growth target.
Mr. Terkper however reminded the house that government will continue pursuing its transformation agenda; “maintain the recent gains in our growth and macroeconomic stability agenda; and entrench our lower middle income status.”
He also took the opportunity to remind MDAs and MMDAs that this Revision and Supplementary Estimates will not result in automatic increases in expenditure across board.
“Further, they do not accommodate significant new expenditures that must be justified in budget context. Our prudent expenditure drive continues with additional expenditure allowed only when revenues increase. On the other hand, we are confident that as the economy rebounds, the expenditure envelope will increase in tandem with revenue. In the interim, focus will be on pipeline projects and MDA/MMDAs are not to incur unauthorized expenditures beyond their budgets and budget allotments,” he asserted.
“Mr. Speaker, against this background, I have come to this House to request for Supplementary Estimates of GH¢865,789,380.00 in accordance with Article 179 (8) of the 1992 Constitution and Standing Order 143 of this House,” Mr. Terkper pleaded.
Credit: myjoyonline