“Gov’t Seeks No Extra Funding in 2025″ – Ato Forson Commits to Fiscal Discipline

By: Nana Kwasi Roka

Ghana’s Finance Minister, Dr. Cassiel Ato Forson, has assured Parliament that the government will not request any supplementary budget for the remainder of the 2025 fiscal year – a bold signal of fiscal restraint and improved economic management.

Presenting the 2025 Mid-Year Budget Review in Parliament on Thursday, July 24, Dr. Forson stated emphatically:

“Mr. Speaker, we do not intend to request additional funds for the rest of the year.”

This announcement marks a departure from tradition, where mid-year reviews often serve as a platform to seek approval for additional spending. According to the minister, the current fiscal framework and resource envelope are sufficient to meet the government’s obligations for the rest of the year, reflecting stronger revenue mobilization and improved expenditure controls.

Why It Matters:

This development comes at a time when Ghana is under close scrutiny by the International Monetary Fund (IMF) and development partners, having embarked on a $3 billion bailout programme in 2023. The decision to forgo supplementary funding is seen as a strong commitment to the IMF-backed reforms and efforts to rebuild macroeconomic stability.

Improved Economic Management

Dr. Forson credited the restraint to prudent budget execution and enhanced public financial management, noting that key economic indicators, including primary balance, fiscal deficit and inflation, are trending positively.

“We are managing the economy with care,” he said. “There is no need to overspend or overborrow.”

This conservative fiscal stance has been welcomed by financial analysts, many of whom view it as a confidence booster for investors, credit rating agencies and citizens alike.

But Forson further explained that the government had built enough buffers and would prioritize spending to stay within the approved ceilings.

Looking Ahead

This no-supplementary-budget position encourages Ministries, Departments and Agencies (MDAs) to stay within their budget limits, reinforcing the broader drive towards fiscal consolidation.

If sustained, this could help Ghana meet its target of reducing the fiscal deficit to 3.8% of GDP by the end of 2025, a key performance indicator under the IMF programme.

“We must live within our means,” Dr. Forson concluded. “That’s the only way to rebuild a strong, resilient, and self-reliant economy.”