The Minority in Parliament is warning of extreme hardship and a possible return to HIPC [heavily indebted poor countries] by the end of 2019 due the current rising debt stock under the Nana Addo led administration.
The Minority at a press conference addressed by Cassiel Ato Forson, spokesperson on Finance said the ruling government has done nothing after assuming office despite the promise they gave Ghanaians in 2016.
“How can you create jobs under severe austerity under fiscal consolidation? The budget deficit in IMF article 4 is projected to be 3.8, so ladies and gentlemen, next year, let us be assured that there will be severe austerity equivalent to 1983. How can you create jobs when you have mandated the central bank to pursue tight monetary policy? How can you create jobs when the real sector, the non-oil GDP, is projected to grow in 2018 almost at the same level as 2016?”
“We believe that unfortunately, government economic policy for 2018 will bring about severe hardship and Ghanaians must be well informed,” he added.
Meanwhile, the Minority has also alleged that government is planning to introduce mobile money tax.
“Ghanaians expect a reduction in the corporate income tax rate from 25 percent to 20% to be included in the 2018 budget statement. It is our expectation that government will follow through with the firm promise that they made and we hope that we are not going to see another 419 budget,” the Minority spokesperson on Finance added.