September 18, 2020

Parliament approves government’s GHS11.8bn Supplementary budget

Parliament has approved government’s request for 11.8 billion Ghana cedis in supplementary estimates for the 2020 financial year.

The request was tabled before the House last week Thursday by the Finance Minister, Ken Ofori-Atta.

Government says the amount is needed to support its expenditure for the rest of the year particularly due to the economic impact of the COVID-19 pandemic.

The request, according to the Finance Minister, has become necessary due to the revenue shortfalls and budget deficit created by the impact of the Coronavirus pandemic.

According to him, the double shock of the pandemic and a global economic recession, resulted in a revenue shortfall of GH¢13.6 billion and unanticipated but necessary expenditures of approximately GH¢11.7 billion.

Government in the Mid-year budget announced a reduction in the Communication Service tax from 9 to 6 percent, and extended free water supply to Ghanaians for the next three months and free electricity supply to lifeline consumers for the rest of the year.

Ahead of the approval of the GHS11.8 billion on Wednesday, July 29, 2020, the Minority Leader, Haruna Iddrisu, questioned how responsible government has been in the use of resources for the management of the COVID-19 pandemic.

In response, the Finance Minister outlined the areas of expenditure for the funds approved by Parliament for the management of COVID-19.

Source: Business