GOVT TO SUSTAIN PROGRESS IN FISCAL CONSOLIDATION
Dr. Kwabena Duffuor, the Minister of Finance and Economic Planning (MoFEP) says, government has pledged its commitment to sustain the progress made in fiscal consolidation to support the macroeconomic stability.
He said the 2012 budget has set a fiscal deficit target of 5.1 percent of Gross Domestic Product (GDP), to be achieved by strengthening expenditure management and enhancing revenue mobilization.
Dr. Duffuor made this known in Parliament, when he laid the 2012 Budget Statement and Economic Policy of the government, stressing “Total revenue and grants for the first three quarters of the year amounted to GH¢8,119.9 million”.
He said “this represents an increase of 8.4 percent over the target. The high growth in revenue and grants was the result of improvements in tax revenue administration”.
According to him, for the first three quarters of 2011, domestic revenue totaling GH¢8.1million, equivalent to 14.4 percent of GDP, and 15.9 percent higher than the budget estimate of GH¢7,055.0 million, showed a significant improvement in domestic revenue mobilization.
Dr. Duffuor said further that government has projected that at the end of the year, total domestic revenue will amount to GH¢11,835.7 million, 11.7 percent higher than the budget estimate of GH¢10,620.9 million.
He said “grants disbarment is expected to reach GH¢984.4 million by the end of the year, which will be 26.8 per cent lower than the budget estimate of GH¢1,346.5 million.