2017 Budget :Major highlights as presented to Parliament

We will broaden the tax base while reducing and abolishing some taxes.

Arrears are about GH¢7bn. Deficit is 10.3% on a commitment basis

Our goal is to build the most business friendly economy in Africa.

Challenges include corruption and high debt service payments

We will ensure fiscal discipline, transparency and accountability.

Government will ensure debt sustainability. We will work to reduce the amount of gov’t borrowing.

Interest payments of GH¢10.8bn was about 5 times the allocations to 6 ministries.

Each constituency will be allocated $1m to combat poverty.

We will shift the focus of economic management from taxation to production.
1 District, 1 Factory will ensure industrialization. The Zongo Development Fund & Free Senior High School will be rolled out.

Nurses and teachers under training will have their allowances restored.

There is every reason to be optimistic. Ghanaians are ready and they have a gov’t that is ready.

We cannot borrow our way out of these challenges. We must be in a hurry to grow our way into prosperity.

We will continue with the IMF programme.

Oil prices have picked up and are expected to average $55, 28% higher than in 2016.

Global growth will improve in 2017. 3.4% growth is projected by the IMF compared with 3.1% in 2016.

Oil prices have picked up and are expected to average $55, 28% higher than in 2016.

Ghana joined 9 other countries to implement the ECOWAS Common External Tariff (CET).

We are monitoring the effect of the CET on the local economy.

Growth is estimated at 3.6% in 2016. Services continues to dominate.

Inflation slowed down to 15.4%.

The cedi remained largely stable in 2016 until the elections. The balance of payments was surplus for the first time since 2016.

Yields on short-term government instruments decreased while those on long-term instruments increased.

Revenue shortfall was due to energy challenges, oil production disruption and weak tax compliance.

Fiscal consolidation was not achieved in 2016. Slippages resulted in a deficit of 10.3% on commitment basis, 8.7% on cash basis.

$277m in reserves covers 3 months of import cover.

Debt stock is GH¢122.3 bn.

-Petroleum receipts from lifting was $207.79m

We will build a business friendly economy to create jobs, modernize agriculture and a social protection system

Our policy direction will be to restore and sustain fiscal stability.