GH¢68,134,674,527 has been approved by Parliament as a total expenditure in advance of appropriation to cover public service costs for the first quarter of 2025.
The sum is what the government will need from the Consolidated Fund to cover these expenses between January and March 2025, until Parliament reviews and approves the 2025 annual estimates.
GH¢16.46 billion of the total will go toward employee salaries, GH¢3.12 billion for goods and services, GH¢20.69 billion toward interest payments, and GH¢45.50 million toward subsidies. GH¢9.19 billion, GH¢234.70 million, GH¢9.46 billion, GH¢5.29 billion, GH¢2.34 billion, GH¢2.54 billion, GH¢1.28 billion, and GH¢9.19 billion are allocated to grants to other government agencies, social benefits, and other expenses, respectively.
The Joint Committee on Budget and Finance was tasked with reviewing and reporting on the Expenditure in Advance of Appropriation after it was presented to the House on Thursday, January 2, 2025.
Dr. Mohammed Amin Adam, the Minister of Finance, proposed a resolution for the House to consider the mini-budget on the floor prior to the Speaker’s referral.
According to the report that Thomas Apem Nyarko, the chairman of the budget committee, submitted, the government had provided GH¢20.69 billion to settle some payments to independent power producers and to pay the energy sector levy account.
“Secondly, liabilities that will fall due have been catered for with an amount of GH¢1.28 billion,” the report said.
Additionally, the study stated that the estimated total revenue and grants for the first quarter would be GH¢42,543,337,219, or 3.5 percent of GDP.
“This is made up of an amount of GH¢41,874,679,344 being domestic revenue and GH¢668,657,875 being grants,” it stated.
The total revenue for the period is anticipated to be GH¢35,822,933,519 out of GH¢41,874,679,344. Non-tax revenue is anticipated to reach GH¢4,764,883,797, while social security payments and other revenue are anticipated to equal GH¢247,474,555 and GH¢1,039,387,473, respectively.
According to the study, the anticipated tax refunds for the period will total GH¢2,371,461,744.
Revenue Projections
In its report, the committee estimated that overall revenue and grants for the first quarter would be GH¢42,543,337,219, or 3.5% of GDP.
Domestic revenue is estimated at GH¢41,874,679,344.
Grants are expected to contribute GH¢668,657,875.
Of the domestic revenue:
– GH¢35,822,933,519 is expected from total tax revenue.
– GH¢4,764,883,797 is anticipated from non-tax revenue.
– Social security contributions and other revenue are estimated at GH¢247,474,555 and GH¢1,039,387,473, respectively.
– Tax refunds for the period are projected at GH¢2,371,461,744.
