A political analyst who doubles as a financial engineer Mr. Alex Emmanuel Nti has stated that
the government must reduce the number of ministers, and deputy ministers and cut the executive cost by a minimum of 60 percent and that of the Jubilee House staff by 60 percent in the yet-to-be-presented 2024 Budget.
Speaking on Plan B FM morning show EBAANOSEN hosted by Obidehye Kofi Sekyi, Mr. Nti said the commitments on the side of the government to reduce expenditure should be made public for the citizenry to appreciate and rally their support towards the economic recovery efforts.
The political analyst noted that all successive leaders and the incumbent President, have failed woefully, leaving the country bankrupt after their tenures.
“Every leader in this country, by the time he leaves office, Ghana is bankrupt because the leader has been very corrupt. And I am not afraid to talk about this because it’s the reality that has led the country into its current economic hardship.”
Meanwhile, the Chief Executive Officer (CEO) of Dalex Finance and Leasing Company Limited, Kenneth Thompson, has advised the government to take drastic measures to reduce its expenditure, which he believes is crucial for the country’s economic survival.
The financial analyst warns of a looming economic downturn in 2024 if the government continues its current pattern of ever-increasing and large expenditures.
Mr. Thompson criticized Ghana’s $3 billion credit facility with the International Monetary Fund (IMF), describing it as a mere distraction that cannot instill the fiscal discipline Ghana needs to address its economic challenges.
He emphasized the need for Ghana to make more significant cuts to its expenditure than it is currently doing.
The issue is not domestic debt; it’s about spending within your means. The IMF is a red herring, a complete red herring for an economy worth $80 billion. $3 billion is nothing,” he stated.
“Assuming that the IMF brings fiscal discipline with the $3 billion, we still need to work on our expenditure, and that’s the key thing. And when we talk about reducing expenditure, we’re not talking about cutting off these bits of fat from our expenditure. We’re currently cutting bits and pieces of our expenditure. We need to axe off much of our expenditure, and that’s what we need to do.”
Mr. Thompson however urged the government to prioritize the protection of the poor and vulnerable in its efforts to reduce expenditure.
“As a country, what we must focus on now is how to protect the poor. If you talk about cutting expenditures, there’s a long list of things we can cut, but we need to protect the poor, and we need to focus on health, education, infrastructure, food, and everything else because we are in a very bad place.”
The Minister of Finance, Ken Ofori-Atta, is expected to present the government’s 2024 Annual Budget Statement and Economic Policy to Parliament on November 15, 2023.
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