News:
November 17, 2017
Ghana’s public debt to GDP ratio which stood at 73% at December, 2016 has reduced to 68.3% as at September, 2017, Finance Minister, Ken Ofori-Atta has said.
The reduction according the Minister was as a result of prudent management of the economy which he said has lead to a decline in the country’s annual debt accumulation rate of 36% over the last four years to about 13.58% in just nine months since the New Patriotic Party Government to over the economy.
Mr Ofori Atta disclosed these on the floor of Parliament when he presented the Budget statement and Economic policy of Government for the 2018 financial year on Wednesday, 2017 on the theme ‘’Putting Ghana back to work’’.
On the macroeconomic performance of the economy, the Minister stated that the overall GDP which grew by 7.8% as of June against 2.7 % in the same period of 2016 is estimated to grow by 7.9% by end of 2017, up from the original forecast of 6.3%.
“Overall real GDP grew by 7.8 percent as of June against 2.7 percent in same period 2016. It is estimated to grow by 7.9 percent at end of 2017, up from the original forecast of 6.3 percent” he indicated.
Non oil GDP is expected to record a 4.8 percentage growth by close of the year, 2017.
Ghana’s industry is estimated to grow by some 17.7% at the end of 2017, making it the best performing sector of the economy largely due to increased production in the petroleum upstream.
Agriculture and services sectors are also projected to grow by 4.3% and 4.7% respectively by the end of the year.
He also announced cuts in electricity tariffs with residential reduced to 13percent, special load tariff-low voltage also reduced to 13percent.
Mr Ofori Atta was full of confident that President Nana Addo Dankwa Akufo-Addo’s government will end the fiscal year with a better fiscal deficit of 6.3% lower than the target of 6.5% set in the 2017 budget because it is on course as compared to the previous administration.
“I’m glad to report that we are well on course to end the year on a fiscal deficit of 6.3 percent from 9.4% in 2016” he said.
The Finance Minister assured of government’s resolve to be fiscally disciplined and remain within the limits set by Parliament.
“Mr. Speaker, we as a government will end the year with a deficit which is likely to be lower than what was approved by this house.
This I believe is going to be the second time in a decade that government has managed to stay within its budget deficit target” he assured.
By Christian Kpesese / Ghanadistricts.com