Politics of Thursday, 7 March 2013
Source: Joy Online
The Member of Parliament for Sunyani West in the Bono Ahafo Region, Ignatius Baffour-Awuah says government’s proposed reduction of budget deficit from 12% last year to 9% this year is still on the high side.
Finance Minister Seth Terkper told Parliament Tuesday that government had adopted vigorous cost-cutting measures aimed at bringing down the deficits from 12.1% in 2012 to 9% this year.
Mr. Terkper explained that the deficit recorded last year occurred largely as a result of shortfalls in projected revenue and grants received from development partners as well as payment of high interests in servicing debts on major projects that were not fully funded.
Speaking on Adom TV on Thursday, Mr. Baffuor-Awuah however stated the Finance Minister fell short of telling the nation how exactly government intends to reduce the deficit apart from cutting down on costs.
The New Patriotic Party MP claimed Mr. Terkper accounted for only half of the deficit.
He added, the woes of local industries have deepened by the shortfall in the supply electricity and water, compelling most firms to spend extra on alternative sources.