Head of Economics Department at the University of Ghana, Professor William Baah Boateng has called on the government to implement more aggressive measures to cut down on government expenditure.
According to him, it was about time the President and or the Finance Minister introduce new austerity measures to reduce the pressure on the fiscal arm of Ghana’s economic management.
Speaking on JoyNews’ PM Express Business Edition, he stated that the government could start by issuing a statement halting all new car purchases for government officials.
“Government trying to demonstrate that they are committed. They know that there are challenges therefore government is committed to bring down the expenditure on their side. I am expecting a statement from the President or from Minister of Finance trying to tell all ministries whether ministers or civil servants not to buy any new vehicle for any office holder.
“When you do that it means you’re doing two things. One, you are trying to reduce your expenditure and two the importation of these vehicles will also send signals to the public that you are committed to doing this,” he said.
He explained that considering the current economic climate, sustaining these social interventions will be a strain on the state coffers, thus government should look at reviewing them to release more funds into the economy.
“Then there are other things that government will need to look at, very tough measures. I mean, social interventions that government rolled out since 2017 are very good and I think it is high time government rethinks about some of these social interventions and reserve some kind of money and reduce the pressure on the fiscal arm of economic management.
“And maybe it will be difficult to mention free senior high, I think government needs to review that and then go the way that used to be in terms of providing bursaries or support for the needy while those who can afford will continue to pay. And in that case government will be able to free up some resources for other areas,” he said.
Source: myjoyonline.com
