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Business News of Thursday, 28 March 2013

Source: GNA

Parliament passes Appropriation Bill for 2013

Parliament on Wednesday passed the Appropriation Act for the 2013 fiscal year, committing a sum of GH¢31, 845,664,819.00 from the Consolidated Fund for government to meet its financial obligations for the year.

The amount is more than the projected expenditure in the 2013 estimates laid before the House. It includes an amount of GH¢6, 064,214.00 donor fund allocated to the Judicial Service.

The 2013 appropriation is GH¢11, 909,897,488 more than last year’s figure of GH¢19, 935,767,331, with this year’s budget geared towards tackling the fiscal deficits that swelled to 12.1 percent in 2012 from an initial target of 4.8 percent, aiming for nine percent for 2013.

However before the Act was passed, the minority side cautioned that government should not spend beyond what was appropriated for 2013 as happened last year.

They also insisted that statutory payments should not be delayed and any amount collected on behalf of the District Assemblies Common Fund, the Ghana Education Trust Fund, the National Health Insurance Fund, Road Fund, Petroleum related Fund should not be withheld unduly but released on time without arrears.

In 2012, for instance many of the MMDAs spent more than the House approved and did so without recourse to the House, with some exceeding their budgetary allocation by more than 100 per cent.

Deputy Minority Leader, Dominic Nitiwul said the Finance ministry last year spent more than the House approved for government obligations, asking, “If the gatekeeper is behaving this way what about the thief”.

But the Member of Parliament for Akwapim North, Mr William Ofori Boafo took the matter a step higher, proposing an amendment to the Appropriation Bill seeking to criminalize spending beyond the appropriation.

He said public institutions and their heads that spent in excess of the amount approved by Parliament in the Appropriation Act committed an offence and should be liable for conviction.

Majority Leader Dr Benjamin Kunbuor did not agree with that arrangement insisting that the intervention had never been part of any appropriation Act.