Dr. Mohammed Amin Adam has criticized the 2025 Budget presented by the Ghana government for lacking credibility and transparency in its fiscal projections. He urged scrutiny from the public and the IMF regarding the projected GDP growth and alleged manipulation of fiscal data by the current administration. Adam highlighted the importance of accurate fiscal reporting in maintaining economic trust.
Dr. Mohammed Amin Adam, former Minister of Finance in Ghana, has raised significant concerns regarding the credibility of the fiscal data presented in the government’s 2025 Budget. The budget, which was unveiled by current Finance Minister Dr. Cassiel Ato Baah Forson on March 11, 2025, is seen by Dr. Adam as lacking transparency and necessitating a detailed examination by the public.
In his address during a press conference organized by the New Patriotic Party (NPP) Minority Caucus on March 13, Dr. Adam criticized the projected GDP growth rate of 4.4% for 2025, asserting it falls short of the previous year’s 5.7% growth recorded under the prior administration. He emphasized that the fiscal balance projected in the budget renders it not credible and called on the International Monetary Fund (IMF) to investigate these figures thoroughly to protect the economy.
Dr. Amin Adam further contended that the current administration failed to recognize the improved debt management achievements of the NPP government, which had lowered Ghana’s debt-to-GDP ratio to 61.8% by the end of 2024. He expressed discontent with the government’s announcement of returning to the bond market without acknowledging the favorable economic environment established by the NPP.
Accusations were made by Dr. Adam regarding the government’s alleged manipulation of fiscal data, stating that they had unjustifiably included an additional GHS 49.2 billion in expenditures. He emphasized that this trend of data manipulation had already been evident in earlier governmental statements and the 2025 Budget served to confirm these dubious claims.
Dr. Adam argued that the reported fiscal deficit of 7.6% of GDP and a primary deficit of 3.6% lack consistency with the revenue and expenditure management data reflected in the budget. He underscored that these inconsistencies raise serious concerns about the reliability of Ghana’s fiscal data.
Highlighting methodological issues, he stated that the government did not adhere to the agreed-upon IMF guidelines when calculating fiscal balances. He pointed out that only properly audited expenditure claims ought to be included in the fiscal framework to ensure accurate reporting.
Critically, Dr. Adam asserted that it is problematic for the Finance Minister to present a budget based on unaudited data, warning that this oversight could damage the credibility of the budget. He insisted that the methodology agreed with the IMF stipulates that fiscal balances should be cumulatively calculated from the fiscal year’s inception using verified data.
In conclusion, Dr. Amin Adam urged the government to prioritize fiscal transparency and accountability to strengthen the credibility of Ghana’s economic figures. He highlighted the necessity for accurate and verified fiscal reporting to foster trust and stability in the nation’s economic governance.
In summation, Dr. Mohammed Amin Adam’s critiques of the 2025 Budget underscore significant concerns regarding fiscal data credibility and transparency. He emphasized the need for careful scrutiny of the budget figures, adherence to agreed methodologies, and the importance of accurate spending reporting to maintain trust in Ghana’s economic management. Without these measures, the integrity of Ghana’s fiscal landscape may be at risk.
Original Source: www.gbcghanaonline.com
