Dr. Mohammed Amin Adam, former Finance Minister, criticized the 2025 Budget for its lack of transparency and credibility. He contested the projected GDP growth, accused the government of manipulating fiscal data, and highlighted discrepancies in reported fiscal deficits. Adam urged the government to uphold fiscal transparency and adherence to agreed methodologies to restore public trust in Ghana’s economic management.
Dr. Mohammed Amin Adam, former Minister of Finance, has expressed grave concerns regarding the credibility of the 2025 Budget of the Government of Ghana. Presented to Parliament by Finance Minister Dr. Cassiel Ato Baah Forson on March 11, 2025, Adam asserts that the fiscal projections lack the necessary transparency and warrant thorough public scrutiny.
In his budget presentation, Dr. Ato Forson anticipated a GDP growth rate of at least 4.4% for the upcoming fiscal year. However, the NPP Minority Caucus contests this figure, suggesting it is lower than the 5.7% growth rate achieved in 2024 under the prior administration. Adam emphasized, “Their projection of the fiscal balance for 2025 makes this budget not credible and requires serious scrutiny by the people of Ghana.”
Additionally, Dr. Adam criticized the current government for not recognizing the improved debt management measures put in place by the previous NPP administration. He highlighted that the debt-to-GDP ratio had been effectively reduced to 61.8% by the end of 2024, thus fostering a more favorable economic climate. He stated, “The government has failed to acknowledge the enhanced debt environment created by the previous NPP government.”
Moreover, he accused the current administration of manipulating fiscal data to buttress claims regarding a mismanaged economy inherited from the previous government. Dr. Adam alleged that the government had included an additional GHS 49.2 billion in expenditure claims that had not been properly verified. He claimed, “Before the budget presentation, we warned of clandestine plans by the government to manipulate fiscal data to support its baseless claims.”
He further remarked on the inconsistency of Iraq’s reported fiscal deficit of 7.6% and primary deficit of 3.6% of GDP with the strong revenue performance and expenditure management presented in the budget. According to Adam, these discrepancies indicate a significant credibility crisis in the nation’s fiscal data. He raised concerns about the government’s failure to adhere to the agreed-upon methodology prescribed by the IMF for computing fiscal balances.
Dr. Adam highlighted the danger of presenting a budget based on unaudited fiscal data, which undermines public trust in the economic assertions made by the Finance Minister. He argued that the inclusion of multi-year claims unrelated to statutory or energy payments contravenes the agreed IMF methodology. “These claims were not reported in GIFMIS, nor are they cumulative from the beginning of the fiscal year,” he asserted.
In conclusion, Dr. Adam urged the government to commit to fiscal transparency and accountability to restore and maintain the credibility of Ghana’s economic data.
In light of Dr. Mohammed Amin Adam’s remarks, it is evident that considerable concerns surround the credibility of the 2025 Budget of Ghana. The lack of transparency, apparent inconsistencies in fiscal data, and the alleged manipulation of expenditure claims necessitate urgent scrutiny and accountability. Ensuring adherence to established methodologies and maintaining fiscal integrity is imperative for restoring public trust in the country’s economic management.
Original Source: www.gbcghanaonline.com
