November 25, 2022

Unemployed citizens of Ghana who are hopeful of getting employment into the civil and public services will have to abandon that dream at least in 2023 as government has announced a hiring freeze for civil and public servants.

This measure was long anticipated by some members of the public since the announcement by government that it was engaging the International Monetary Fund (IMF) for a support Programme.

The freeze on employment constitutes one of many other measures the government has adopted towards expenditure rationalization.

The Minister of Finance Ken Ofori-Atta presenting the 2023 Budget Statement and Economic Policy of Government for the Year ending 31st December, 2023 revealed among others these additional measures that take effect from January, 2023:

● All MDAs, MMDAs and SOEs are directed to reduce fuel allocations to Political Appointees and heads of MDAs, MMDAs and SOEs by 50%. This directive applies to all methods of fuel allocation including coupons, electronic cards, chit system, and fuel depots. Accordingly, 50% of the previous years (2022) budget allocation for fuel shall be earmarked for official business pertaining to MDAs, MMDAs and SOEs; ● A ban on the use of V8s/V6s or its equivalent except for cross country travel. All government vehicles would be registered with GV green number plates from January 2023;

● Limited budgetary allocation for the purchase of vehicles. For the avoidance of doubt, purchase of new vehicles shall be restricted to locally assembled vehicles;

● Only essential official foreign travel across government including SOEs shall be allowed. No official foreign travel shall be allowed for board members. Accordingly, all government institutions should submit a travel plan for the year 2023 by mid-December of all expected travels to the Chief of Staff;

As far as possible, meetings and workshops should be done within the official environment or government facilities;
● Government sponsored external training and Staff Development activities at the Office of the President, Ministries and SOEs must be put on hold for the 2023 financial year;

● Reduction of expenditure on appointments including salary freezes together with suspension of certain allowances like housing, utilities and clothing, etc.;

● A freeze on new tax waivers for foreign companies and review of tax exemptions for free zone, mining, oil and gas companies;

● No new government agencies shall be established in 2023;

● There shall be no hampers for 2022;

● There shall be no printing of diaries, notepads, calendars and other promotional merchandise by MDAs, MMDAs and SOEs for 2024;

● All non-critical project must be suspended for 2023 Financial year