The Minority in Parliament is skeptical about the government’s ability to avoid a downturn predicting “severe hardship” similar to the 1983 experience.
According to the minority, the economy shows clear signs of a slowdown amidst a debt to GDP ratio hitting over 76 percent.
President Akufo-Addo has said the 2018 budget statement and fiscal policy will focus largely on job creation.
The President said the budget will give meaning to his government’s industrialization agenda which primarily focuses on the creation of jobs.
Speaking at the Minority’s pre-budget economic assessment forum, Ato Forson indicated that, the government’s boast of a massive boost in jobs will be a mirage on the heels of the tight monetary policy by the Central Bank.
“How can you create jobs under severe austerity under fiscal consolidation? The budget deficit in IMF article 4 is projected to be 3.8, so ladies and gentlemen, next year, let us be assured that there will be severe austerity equivalent to 1983. How can you create jobs when you have mandated the central bank to pursue tight monetary policy? How can you create jobs when the real sector, the non-oil GDP, is projected to grow in 2018 almost at the same level as 2016?”
“We believe that unfortunately, government economic policy for 2018 will bring about severe hardship and Ghanaians must be well informed,” he added.
The 2018 Budget Statement and Fiscal Policy[#AdwumaBudget2018] would be the second budget of the Akufo-Addo administration to be presented by the Finance Minister Ken Ofori-Atta, after his first in March 2017, christened the Asempa budget.