The government has pledged to tackle Ghana’s fiscal deficit and public debt primarily through spending cuts rather than increasing taxes, Finance Minister Dr. Cassiel Ato Forson has announced.
Presenting the 2025 Budget Statement in Parliament on Tuesday, March 11, Dr. Forson acknowledged concerns raised by Ghanaians during the recent National Economic Dialogue, where citizens called for reduced government expenditure as a key strategy for fiscal consolidation.
“Mr. Speaker, Ghanaians have expressed a clear desire for the fiscal deficit and public debt to be reduced through cuts in government spending rather than through only tax measures. We wholeheartedly agree!” he stated.
To achieve this goal, the Finance Minister unveiled a three-pronged strategy, starting with the 2025 budget. This approach includes recalibrating fiscal adjustments and introducing bold economic reforms—referred to as “shock therapy”—to restore economic stability and promote growth.
Dr. Forson emphasized the importance of aligning government spending with the country’s fiscal realities, reinforcing the principle that managing debt effectively is key to long-term financial stability.
With this approach, the government aims to rebuild confidence in the economy while ensuring sustainable fiscal management without overburdening taxpayers.
