President John Mahama’s government has proposed a 2025 budget totaling GHS 290 billion, eliminating key taxes like the betting and COVID-19 levies. Major allocations focus on infrastructure, health care, and education. The reintroduction of road tolls aims to enhance revenue. The government anticipates a growth rate of 4.4% as part of its economic revitalization strategy.
The Ghanaian government, under President John Mahama, has submitted its budget for the 2025 fiscal year, totaling GHS 290 billion (approximately $19 billion). Significant cuts have been made, including the removal of a 10% betting tax, a 1% COVID-19 levy, and an electronic transaction levy. These changes are designed to alleviate financial pressures on citizens and stimulate economic recovery following previous challenges faced under the prior administration.
Finance Minister Dr. Casiel Ato Forson outlined that this budget aims to revitalize the economy after it suffered from neglect. Allocations include GHS 13.85 billion for infrastructure projects and GHS 9.9 billion dedicated to the National Health Insurance scheme, ensuring free healthcare for citizens. The administration remains committed to reviewing the Free Senior High School policy, which faces criticism due to funding issues.
Various educational programs received notable funding, including free tuition for first-year public tertiary students and distributions for sanitary pads to female students. Disaster support funds were also allocated, alongside substantial investments in initiatives targeted towards women’s empowerment and vocational training for youth.
The reinstatement of road tolls was announced to bolster revenue, applying a technology-driven approach for transparency and efficiency in toll collection. This comes after previous abolishments that significantly impacted employment for individuals with disabilities. The Minister emphasized that reintroducing the tolls is an essential step in economic revival amidst ongoing fiscal constraints.
To address government spending, forthcoming policies will involve a reduced cabinet size, saving taxpayer funds while eliminating programs deemed unnecessary or ineffective from the previous administration. Economic growth is projected at 4.4%, with initiatives aimed towards macroeconomic stability and increased employment opportunities through proposed changes in business operations.
In summary, the 2025 Ghanaian budget led by President John Mahama focuses on economic recovery through tax alleviation, significant allocations for health and education, and the reintroduction of road tolls for enhanced revenue. The government’s commitment to reducing expenditures aims to promote efficiency while fostering growth. Expectations of a projected growth rate of 4.4% indicate a positive trajectory for the nation’s economic prospects.
Original Source: www.bbc.com
