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Business News of Monday, 17 July 2017

Source: Myjoyonline.com

Finance Minister to present mid-year budget review next week

Budget 11 Latest fiscal data showed that gov't spent GHC13 billion against programmed target GHC16 billion

Finance Minister, Ken Ofori Atta has said he might be presenting the mid-year review of 2017 budget estimates either on July, 25 or 26.

These are the dates the finance ministry is proposing to parliament for the review subject to the Houses approval in line with its schedule.

Sources say the minister is expected to review some Marco-Economic targets set out in the 2017 budget to ensure that it end the year on good note.

Industry expectations

Some analysts have maintained that the mid-year review should present a fine opportunity to review its tax revenue target of 34 billion cedis for 2017.

This is because for the first four months of this year, government was hoping to mobilize a little over GHC10 billion , but actually grossed 8.7 billion cedis.

Some industry watchers are worried, because based on these numbers; the state is not even half way through, in meeting the overall target.

JOYBUSINESS understands government was not even able to meet its target for May and even June this year.

Economists Dr. Joe Abbey tells JOYBUSINESS the minister should use the presentation come clear on discussions with the IMF; status of board meeting on July 26 and extension of the IMF program.

Dr. Joe Abbey maintains that it might be a good opportunity to give some assurance to investors that it is committed to fiscal discipline and concluding the program.

Economist Professor Godfred Bokpin also says JOYBUSINESS government should look at outlining some additional measures that would help consolidate gains made in checking its expenditure.

He is, however, worried that challenges with the revenue mobilization could impact negatively on its end of year deficit target.

Latest fiscal data showed that government spent GHC13 billion against programmed target GHC16 billion, for some this is an indication manager.