Policy research think tank Institute for Economic and Reform Policy Research (IERPP) has questioned the credibility of fiscal indicators presented in the 2026 Mid-Year Budget Review, calling on the Ministry of Finance to publish detailed data on outstanding debt, arrears, and spending cuts.
The institute’s assessment follows Finance Minister Dr. Cassiel Ato Forson’s presentation to Parliament, in which the government cited primary budget surpluses, exchange rate stability, and reduced inflation as evidence of economic recovery.
Contested Primary Surplus and Compressed Expenditure
In its technical review of the budget statement, the IERPP argued that reported fiscal gains stem largely from expenditure suppression rather than sustainable revenue expansion.
The think tank highlighted several structural concerns in the first-half execution figures:
- Capital Spending Compression: Capital expenditure and foreign-financed infrastructure projects experienced sharp budget cuts, delaying critical public infrastructure development.
- Sector Grant Reductions: Releases to key social sectors—including health, education, and district assemblies—fell below statutory targets, shifting financial burdens onto service delivery units.
- Gold Price Reliance: Current growth momentum remains heavily reliant on favorable international gold prices rather than domestic industrial diversification.
“Ghanaians deserve full transparency rather than a selective narrative on fiscal recovery,” the institute noted. “When fiscal stability is achieved primarily by holding back releases for capital projects and statutory funds, it creates hidden liabilities that compromise long-term economic stability.”
Calls for Reconciled Debt and Arrears Accounting
The IERPP urged the Ministry of Finance to publish an audited schedule of government arrears and reconcile public debt figures with independent data published by the Bank of Ghana and the International Monetary Fund (IMF).
The policy group further advised government to incorporate clear sensitivity analyses into its macroeconomic framework to shield the economy against unexpected fluctuations in global crude oil and commodity prices.
