Mid-Year budget review: Re-examine fiscal situation – Tekper to Gov’t
Former Finance minister, Seth Tekper has asked the Finance Ministry to re-examine the fiscal situation in the country ahead of its mid-year budget review.
Seth Tekper said the government must come up with new measures to raise revenues and also admit that its revenue-generation policies are not working.
Speaking to Joy FM, Mr Terpker said the government must check its expenditure if it cannot raise the needed revenue.
“My thinking, in general, is that it is probably time to concede that the fiscal situation is tight and revenue measures are needed, and some of the policies that have been taken in the past require re-examination to protect whatever gains may have been made in the fiscal situation,” he said.
Per Ghana’s Public Financial Administration Act, the Finance Minister is required to present a Mid-Year Review to parliament six months after the presentation of the main budget for that fiscal year.
The Mid-Year fiscal policy review would give a brief overview of the macroeconomic development of government over the past six months and the rest of the year.
Gov’t to review luxury vehicle tax
Minister for Finance, Ken Ofori Atta has disclosed that government has put in place plans to review the luxury vehicle tax introduced in the 2018 national budget.
Under the law vehicles with engine capacity above 3.0 Litres are charged fees ranging from GHS1,000 and above.
The law has been criticized by car dealers and vehicle importers, arguing that it has increased their cost of doing business.
Speaking at a press briefing, Finance Minister Ken Ofori-Atta assured that government has listened to the concerns of Ghanaians and will make changes to the law in the mid-year budget review scheduled for this month July 17.
“We have received quite a bit of feedback from the implementation of that but we did go through a lot of stakeholder discussions before that occurred and so we are almost coming to a year of implementation and therefore we look to review it so that concerns are taken care of but the law is there and I believe is a good law..”