Director of the Institute of Statistical, Social and Economic Research (ISSER), Prof. Peter Quartey has articulated that Ghana’s economy is expected to experience lower economic growth rate in 2023.
Speaking at the 2023 Post Mid-Year Budget Statement Review hosted by the Institute of Statistical, Social, and Economic Research (ISSER), Prof. Quartey addressed pressing concerns over the country’s economic trajectory.
He projected a potential downturn in growth for the year 2023, with expectations for a subsequent upturn in 2024.
According to him, there is the need for sustained improvement in revenue generation, coupled with stringent expenditure controls, which is a crucial factor in navigating this economic landscape.
“We are likely to witness lower growth prospects in 2023, but this will peak in 2024. The improvement in some of the tax handles and by extension revenue authorization should be sustained, but with strict expenditure controls is one thing, raising revenue, but more importantly how you spend that money, value for money expenditures,” he stated.
The Director also raised concern over the issue of government size and its fiscal implications. Noting earlier commitments to reduce government spending and wages by 30%, Prof. Quartey highlighted the challenges in deciphering these intentions within the provided expenditure details of the 2023 budget.
“…a review of the size of government; there were a lot of items listed that we’re going to reduce government spending by 30%, we’re going to increase wages by 30%. If you look at the 2023 budget, government set was going to do a lot. Unfortunately, you cannot disentangle that in the expenditure lines that were provided,” he said.
Story by | Samuel Danso Eghan | univers.ug.edu.gh