Economist and lecturer at Wisconsin International University College, Dr. Samuel Worlanyo Mensah, has emphasized the need for the government to prioritize recurrent expenditure, foreign policies, and debt restructuring ahead of the presentation of the Appropriation Bill later this week.
The Appropriation Bill, as outlined under Section 213 of the 1996 Constitution and Section 26 of the Public Finance Management Act of 1999, authorizes the government to utilize funds from the Consolidated Fund and other public funds for purposes such as employee compensation and the payment of goods and services.
The Bill, which details planned government expenditures for January to March 2025, will first be referred to the Finance Committee for review before being debated and approved by Parliament.
Earlier scheduled for presentation during Parliament’s sitting on Monday, December 16, 2024, the submission was delayed due to the Finance Minister’s ongoing engagements with the transition team following the recently concluded general elections.
Speaking to Univers Business, Dr. Worlanyo Mensah stressed that prioritising these key areas is critical for addressing Ghana’s current economic challenges.
“We should be looking at the recurrent expenditure, foreign policies, debt restructuring and debt servicing which I believe are key issues. It is not the main budget for 2025, so it is just to take care of the first quarter, and then we should be able to receive a full budget for 2025.”
Dr. Worlanyo Mensah also cautioned that a failure to present and approve the Appropriation Bill in time could have severe consequences, including delayed payment of salaries to Ghanaian workers.
He warned that such a situation could further destabilize the economy and potentially bring it to a standstill.
“If we are not able to roll it out, then definitely Ghanaian workers will not be paid and it will be very difficult to run the country because you cannot just dip your hand into the consolidated fund to run the country without the parliamentary approval, and so every expenditure must be sanctioned by parliament, and I think that that is the basis.”
“We need to do everything possible to ensure that the appropriation bill is linked before parliament. Parliament will definitely pass the bill, but without that, then the economy will come to a halt.”
Story by: Alexander Kuuku Osei-Baidoo & Judith Amoateng | univers.ug,edu.gh
