The Policy Initiative for Economic Development (PIED) has recognized the 2025 budget policies as progressive and emphasized the necessity of effective implementation. Key measures include the removal of various taxes, significant allocations for social programs, and a commitment to local procurement. Collaboration from all societal sectors is essential for the budget’s success.
The Policy Initiative for Economic Development (PIED), a think tank, has characterized the government’s policy initiatives in the 2025 budget as progressive. Chief Economist Dr. Daniel Ameteye Amin-Prempeh emphasized the importance of effective implementation to achieve desired outcomes. He stated, “What is left is the implementation and ensuring that you block the loopholes and minimize corruption, which has been a kind of difficulty for us over the years.”
Dr. Amin-Prempeh noted that effective execution of revenue and expenditure measures would provide stability essential for future planning. Key economic policies highlighted include the elimination of the Electronic Transfer Levy (E-levy) and the COVID-19 Levy, alongside repeals of the Emission Levy and VAT on vehicle insurance. Additionally, there is a proposed 1.5 percent withholding tax waiver on unprocessed gold winnings for small-scale miners.
On the social welfare front, significant allocations have been made: GH₵3.5 billion for the Free Senior High School (Free SHS) initiative and GH₵499.8 million to ensure no academic fees for first-year public tertiary students. Furthermore, the budget intends to provide GH₵242.5 million for victims of the Akosombo dam spillage and GH₵200 million for support to individuals affected by tidal waves in Ketu South.
Additionally, GH₵292.4 million is earmarked for supplying free sanitary pads to female students in primary and secondary institutions, with Dr. Amin-Prempeh recommending local procurement to invigorate Ghanaian businesses. He expressed control concerns, hoping that resources reach the eligible beneficiaries and are not mismanaged.
Dr. Amin-Prempeh cautioned against the uncritical extension of prior government programs, such as Planting for Food and Jobs (PFJ). In line with the budget’s intent, Finance Minister Dr. Cassiel Ato Baah Forson reiterated the government’s commitment to a 24-hour economy, aimed at boosting growth and job opportunities. He called on Parliament, business entities, civil society, investors, and citizens to support the budget’s execution.
In summary, PIED has praised the government’s 2025 budget policies as progressive while stressing the need for effective implementation to overcome historical challenges related to corruption and poor execution. Key items in the budget focus on social welfare and economic stability, highlighting efforts to enhance educational support and public assistance. Consequently, the collaboration of various stakeholders, including the public, is crucial to realizing the proposed initiatives and creating a stronger economic future for Ghana.
Original Source: gna.org.gh
