Economic Experts Discuss Revenue Strategies and Challenges in Ghana’s 2025 Budget

The article discusses Ghana’s 2025 Budget presented by Finance Minister Cassiel Ato Forson, highlighting revenue generation strategies, particularly from the mining sector, and concerns about reliance on central funding. Experts Eric Boachie Yiadom and Priscilla Twumasi Baffour raised critical points regarding private sector empowerment and property tax collection inefficiencies.

Economic experts are focusing on the implications of Ghana’s 2025 Budget, presented by Finance Minister Cassiel Ato Forson. The budget outlines revenue generation plans, particularly from the mining sector, alongside spending allocations and necessary policy adjustments to stabilize the economy. Despite the government’s strategies to increase revenue, there are significant concerns about the sustainability of relying solely on central government funding.

Eric Boachie Yiadom, a development finance and economics expert, commended the government’s initiatives but emphasized the need for a stronger role for the private sector. He suggested that empowering private entities for infrastructure projects will alleviate the financial strain on the government, stating, “Government cannot do everything… the role of government should be to facilitate and create an enabling environment for businesses to thrive.”

Concerns about tax revenue also emerged, with Yiadom noting a considerable gap between expenditure and revenue mobilization. He pointed out that last year, government spending totaled approximately GHC279 billion, while revenue was only about GHC150 billion, highlighting a pressing need to reconsider financial management strategies.

Priscilla Twumasi Baffour from the University of Ghana criticized the decision to revert property tax collection to district assemblies. She described property taxes as an underutilized resource in an environment filled with high-value assets, arguing that centralization could have improved collection efficiency. “If people are earning income from betting, they should be paying taxes on it,” she stated, opposing the removal of the betting tax from the revenue framework.

Overall, the discourse on Ghana’s 2025 Budget underscores a critical need for innovative fiscal policies that effectively engage both government operations and private sector growth to address the economic challenges ahead.

In summary, Ghana’s 2025 Budget has sparked significant discussion among economic experts who underscore the necessity for sustainable revenue generation and support of the private sector. Experts like Eric Boachie Yiadom stress the importance of empowering private businesses, while Priscilla Twumasi Baffour raises concerns about the management of property taxes and the omission of certain revenue streams. This multifaceted dialogue emphasizes the critical need for strategic fiscal policies to enhance the nation’s economic resilience.

Original Source: www.asaaseradio.com