Mid-Year budget review not mere constitutional obligation: It must offer socio-economic relief to citizens
The Minister of Finance, Dr Cassiel Ato Forson, as mandated by the country’s financial laws, yesterday presented to Parliament the Mid-Year Review of the 2025 Budget and Economic Policy of the government.
In line with Section 28 of the Public Financial Management Act, 2016 (Act 921), the Finance Minister is required to submit the Mid-Year Review to Parliament by July 31 each financial year.
The review is a key constitutional obligation, aimed at assessing the performance of the economy and the implementation of the national budget during the first half of the year.
More importantly, it offers the government the opportunity to revise revenue and expenditure targets, adjust macroeconomic forecasts and refine policy priorities based on emerging economic realities.
As expected, the review presented an overview of the country’s economic and fiscal performance, highlighting the progress of key government initiatives such as the 24-Hour Economy, the Big Push, and MahamaCares.
It also examined revenue collection, expenditure patterns, and the status of ongoing development projects.
The Ghanaian Times commends the government and the Finance Ministry for upholding the law and fulfilling this important obligation. Transparency and accountability are crucial in economic governance, and the regular publication of budget reviews promotes confidence among the citizenry and investors alike.
It is worth noting that the economy has shown signs of stability and improvement in the past six months. One of the major achievements is the significant decline in inflation, which has fallen from over 20 per cent last year to 13.7 per cent as of June.
If this trend continues, Ghana could achieve single-digit inflation by the end of the year, a development that would bring considerable relief to the general public and businesses alike.
Additionally, the government has succeeded in stabilising the Cedi, reducing its depreciation against major international currencies. This has positively impacted businesses, especially importers, and helped restore some level of certainty to the market.
The removal of burdensome taxes such as the E-Levy and the Betting Tax, which had been a source of concern for the business community and the public, is also commendable. Even more encouraging is the Finance Minister’s decision not to introduce any new taxes in the Mid-Year Review. Rather, incentives have been introduced to support production and business growth.
Equally important is the government’s decision not to request additional appropriation. This reflects a commitment to fiscal discipline and a conscious effort to manage the economy within the approved expenditure limits of the main budget. This decision is a relief to taxpayers and the business community, who might have otherwise been subjected to new taxes to raise additional revenue.
While we acknowledge these achievements, it is also important to note that challenges remain. The high cost of living continues to affect households, and many Ghanaians are still struggling to make ends meet. We, therefore, urge government to introduce more targeted measures to support vulnerable groups and address the underlying factors contributing to price increases, particularly in the food sector.
It is our hope that the Finance Minister would prioritise the real sector, particularly agriculture, in the second half of the year. Boosting food production is critical to reducing inflation and ensuring food security for the nation.
Unemployment also remains a major concern, and although the government has introduced initiatives aimed at creating jobs, the rate of unemployment, particularly among the youth, remains high. We expect the government to intensify efforts and implement more sustainable job creation programmes.
We at The Ghanaian Times call on the government to also accelerate the completion of ongoing infrastructure projects, especially the Ofankor-Nsawam Road. This critical highway connects Accra to the northern parts of the country and Ghana’s Sahelian neighbours. Its completion will ease transportation, facilitate trade and promote regional integration.
We urge the government to put in place measures to boost investor confidence, attract more Foreign Direct Investment (FDI), and enhance the stability of the economy.
The Mid-Year Budget Review must not only showcase government achievements on paper but must also offer bold and practical solutions to the persistent socio-economic challenges facing the nation. Only through consistent and targeted action can the government deliver on its social contract and reset its agenda to improve the lives of Ghanaians.