Mid-year Budget Review Terkper requests for GHC1.8 billion supplementary budget

Mr Terkper made the request when he appeared before Parliament to present a supplementary budget.

  • Published:
Seth Terkper addressing parliament play

Seth Terkper addressing parliament

24/7 Live - Subscribe to the Pulse Newsletter!

The Minister of Finance Seth Terkper has asked for an additional budget of GHC1.8 billion for various intervention programme for the rest of 2016.

Mr Terkper made the request when he appeared before Parliament to present a supplementary budget.

According to the minister, the demand has become necessary due to plunge in commodities prices, shut down of the FPSO Kwame Nkrumah and drop in crude oil prices on the international market.

Oil and Gas

Terkper said crude oil prices is now estimated to average a broad range of $40-$50/bbl.

He pointed out that the government had adopted an average crude price of $45.35/bbl.

Also, he said total petroleum receipts is now expected to be GH¢1.4bn as against GH¢2bn in the 2016 budget.

IMF Programme

The Finance Minister downplayed claims the IMF programme is in limbo. According to him, the third review meeting with the IMF was held in May 2016.

He added that most of December 2015 targets were met despite reports that the IMF was unhappy about Ghana's posture to the programme.

Nonetheless, Terkper was hopeful the third tranche of the IMF programme would be approved in August 2016.

Power challenges

Ghana is battling with an excruciating power supply that is affecting businesses and making citizens uncomfortable.

Despite the challenges, Terkper said the power sector has benefited from significant investment.

He noted that the country's installed capacity is enough to meet current demand.

He also disclosed that access to electricity in Ghana is over 82%.

He blamed the current power challenges on the lack of supply from

West Africa Gas Pipeline though it emerged today that gas supply cut was due to unpaid bills by the government.

Public debt

Terkper highlighted the decline of public debt from 72% at the end of 2015 to 63% at the end of May 2016.

He noted that this is the first time post-HIPC that Ghana has slowed down the rate of growth of debt.

He said the government would continue to use smart borrowing measures to ensure sustainable growth within the medium term.

According to him, GH¢986m of domestic debt was paid off with Eurobond proceeds.

GDP Growth

Terkper told MPs the economy grew by 4.9% in the first quarter of 2016 and added that government would persevere in bringing down Ghana’s debt level which stands at GHC99.9 billion according to the Central Bank figures.

He said for the first quarter of 2016; industry declined by 1.1%. Agric sector grew by 2.8%.

Assurance

Concluding his statement on the floor of the House, Terkper assured the nation that government will resist budget overruns, manage the public debt, fiscal discipline, investment in infrastructure and ensure that the Electoral Commission is adequately funded for this year's elections.

Do you ever witness news or have a story that should be featured on Pulse Ghana?
Submit your stories, pictures and videos to us now via WhatsApp: +233507713497, Social Media @pulseghana: #PulseEyewitness & DM or Email: eyewitness@pulse.com.gh.

Recommended Articles

Recommended Videos




Top Articles

1 Poverty Gap Ghana’s policies make the rich wealthier – UNbullet
2 Menzgold Ghana Don't deposit money with Menzgold – BoG cautions public...bullet
3 Job Creation Nation Builders Corps to be launched end of April - Bawumiabullet
4 Menzgold Ghana Investment company closes down its Gold Vault Marketbullet
5 Salaries In 2018 Here are the dates public workers will be paid...bullet
6 NPP government Ghana Beyond Aid is fight for economic...bullet
7 SSNIT Scandal 10 SSNIT staff with fake certificates...bullet
8 $100K Saga Presidency denies having knowledge of $100,000...bullet
9 In Upper East 2 men killed in daylight bank robberybullet
10 Retirement How to calculate your SSNIT pensionbullet

Top Videos

1 Forbes 2018 Africa's billionaires rich listbullet
2 Money Alert Meet Africa's richest womanbullet
3 New Discovery Ghana discovers new mineral, lithium in commercial...bullet
4 Dr Joseph Siaw Agyepong Nobody can collapse my company – JOSPONGbullet
5 New Phone Nokia’s MWC 2018 Event in Under 10 Minutesbullet
6 Support Finance minister buys Kantanka carbullet
7 Plane Crash Starbow suspends operations following plane crashbullet
8 New Phone Nokia’s MWC 2018 event in 7 minutesbullet

Business