Ghana’s Fiscal Challenges: A Call for Budget Discipline
Ghana’s struggle with fiscal challenges has been ongoing, and the World Bank has identified a lack of budget discipline as the primary cause. Apexnewsgh reports The Bank’s latest Public Finance Review reveals that unchecked public spending, rising interest payments, and increasing financial constraints are key issues that need to be addressed. The report highlights that Ghana’s fiscal space has been severely limited due to election-year overspending, costly bailouts in the financial and energy sectors, and pandemic-related expenditures. This has reduced the resources available for productive investments. Between 2010 and 2023, nearly 70% of total government expenditure went towards public sector wages, interest payments, and statutory transfers, far outpacing GDP growth and squeezing funds meant for infrastructure and economic expansion. As borrowing costs surged, interest payments took up a larger share of government spending, leaving little room for critical capital investments necessary for long-term development. To address these challenges, the World Bank urges Ghana to reset its fiscal strategy by focusing on four key areas: – Boosting Domestic Revenue: Increasing domestic revenue mobilization to support Ghana’s development goals. – Rationalizing Tax Exemptions: Streamlining tax incentive regimes and improving revenue administration. – Enforcing Stricter Expenditure Controls: Implementing effective spending controls to prevent new arrears accumulation and improve budget execution accuracy. – Adopting a More Disciplined Fiscal Framework: Strengthening public financial management and adopting a fiscal rule to ensure debt sustainability. The World Bank warns that without deeper fiscal reforms, Ghana risks reversing recent economic gains and prolonging financial instability. It calls on policymakers to curb nonessential spending, strengthen public financial management, and adopt a more disciplined fiscal framework to restore economic confidence and attract sustainable investments. Source: Apexnewsgh.com
President Mahama Arrives in Germany for Munich Security Conference
President John Dramani Mahama has arrived in Germany to participate in the prestigious Munich Security Conference (MSC), a premier global forum on international security policy. Apexnewsgh reports As the Chairperson of the Tana Forum, Mahama will lead a crucial discussion on “Deepening Global Fragmentation: Implications for Africa’s Peace and Security”. During the conference, President Mahama will also serve as a panellist in the Leaders Segment, which will focus on “Towards a Stronger United Nations in a Fragmented World”. This session will follow the official opening of the conference by German President Frank-Walter Steinmeier. The Munich Security Conference brings together global leaders, including heads of state, defence and foreign ministers, academics, and business leaders, to discuss pressing security challenges worldwide. President Mahama is expected to hold bilateral meetings with fellow heads of state and representatives from various international organisations during his stay in Munich. Following the MSC, President Mahama will travel to Addis Ababa, Ethiopia, to participate in the 38th Ordinary Session of the Assembly of the African Union (AU). Accompanying the President to Germany are: – Prosper Bani: National Security Adviser – Dr. Callistus Mahama: Secretary to the President – Joyce Bawah Mogtari: Presidential Adviser – Felix Kwakye Ofosu: Minister for Government Communications Source: Apexnewsgh.com
Defence and Interior Minister meets over Bawku unending conflict
A high-level security meeting was held at the Ministry of Defence on Wednesday, February 12, 2025, to address the ongoing security situation in Bawku, a town plagued by conflict in recent years. Apexnewsgh reports The meeting, chaired by Minister of Defence Dr. Edward Omane Boamah, was attended by Interior Minister Muntaka Mubarak, the Chief of the Defence Staff, Majority Leader Mahama Ayariga, and other Members of Parliament. The discussions focused on finding a lasting solution to the conflict in Bawku, with Dr. Omane Boamah reiterating President John Dramani Mahama’s commitment to following a comprehensive roadmap aimed at resolving the dispute through traditional mechanisms and dialogue. Dr. Omane Boamah emphasized the government’s determination to restore peace and stability to Bawku and other affected communities, assuring residents that security agencies are working diligently to address the crisis. “We must restore peace and stability to Bawku and other communities, and I am determined to support that cause,” he added. This meeting forms part of the Mahama administration’s ongoing efforts to enhance national security and address long-standing conflicts in the country. The government’s commitment to dialogue and traditional mechanisms is a significant step towards finding a lasting solution to the conflict in Bawku. Source: Apexnewsgh.com
Civil Society Organization CDS Africa Raises Concerns Over Directive Revoking Public Service Appointments
A recent directive issued by Chief of Staff Julius Debrah has sparked concerns among civil society organizations, particularly CDS Africa, which advocates for good governance, the rule of law, and labor rights. The directive, dated February 10, 2025, instructs heads of government institutions to annul all public service appointments made after December 7, 2024, citing non-compliance with established good governance practices and principles. CDS Africa has expressed deep concern over the directive, arguing that it raises serious constitutional and legal implications. The organization asserts that public service appointments are governed by the 1992 Constitution of Ghana, which ensures fairness, meritocracy, and institutional stability. The blanket annulment of appointments, CDS Africa claims, contradicts established legal principles and may lead to concerns of due process, fairness, and non-discrimination. Furthermore, CDS Africa highlights that Ghana’s Labor Act, 2003 (Act 651) mandates that employment terminations must follow due process, including prior notice or compensation in lieu of notice. The mass revocation of appointments without adhering to these legal requirements may constitute wrongful termination, exposing the government to litigation risks from affected employees. The organization urges the government to reconsider the directive, recommending that: – Compliance with the 1992 Constitution: Conduct case-by-case reviews of affected appointments rather than issuing a blanket annulment directive. – Adherence to the Labor Act: Provide due notice or compensation to affected employees in accordance with legal provisions. – Upholding Supreme Court Precedents: Prohibit terminations based solely on political transitions. – Stakeholder Engagement: Develop a transparent framework for reviewing public service appointments in line with constitutional principles, engaging labor unions and civil society organizations. CDS Africa emphasizes that governance decisions should prioritize legal and constitutional obligations over political expediency, ensuring that Ghana remains a beacon of democratic governance and the rule of law. Source: Apexnewsgh.com
Edward Bawa Reassigned as GOIL Group CEO in Energy Sector Reshuffle in 3weeks
Edward Bawa, the Acting Chief Executive Officer (CEO) of the Ghana National Petroleum Corporation (GNPC), has been reassigned as the Group CEO of GOIL, effective immediately. Apexnewsgh reports This move is part of President John Dramani Mahama’s broader energy sector strategy. Bawa announced his reassignment on his Facebook page, stating, “I have been reassigned to GOIL as Group CEO, effective immediately, as part of the President’s broader energy sector strategy”. His reassignment comes just a month after his initial appointment as Acting CEO of GNPC, which took effect on January 17, 2025. As Group CEO of GOIL, Bawa will play a key role in shaping the company’s strategy and direction. GOIL is a major player in Ghana’s energy sector, and Bawa’s leadership will be crucial in navigating the company’s future challenges and opportunities. Meanwhile, this is barely 3 weeks he assumed office as GNPC CEO. Source: Apexnewsgh.com
Bolgatanga Central Lawmaker Labels Former Finance Minister Ken Ofori-Atta as Ghana’s Economic Enemy
Bolgatanga Central Lawmaker Isaac Adongo has launched a scathing attack on former Finance Minister Ken Ofori-Atta, describing him as the biggest perceived enemy of Ghana’s economy. Apexnewsgh reports Adongo accused Ofori-Atta of plunging the economy into severe difficulties that have affected all Ghanaians. His comments came during a discussion on the raid of Ofori-Atta’s house by unidentified men in military uniform on Monday, February 11, and the Office of the Special Prosecutor’s (OSP) decision to declare him wanted. Adongo expressed surprise that his colleagues were defending Ofori-Atta, given the severity of the allegations against him. Former Minister of Defence Dominic Nitiwul also weighed in on the discussion, criticizing the use of soldiers to raid Ofori-Atta’s home. Nitiwul argued that in a democratic dispensation, it is either the Police or National Security operatives who should conduct such raids, not soldiers. Nitiwul’s comments were in response to Minister of Energy John Jinapor, who shared his own experience of being raided by gun-wielding national security operatives in 2017. Jinapor recounted how the raid sent his family, especially his six-year-old child, into a state of hysteria. Ofori-Atta is wanted by the OSP for several cases, including the loss reduction contract between ECG and Beijing Jao, procurement over the National Cathedral, and contracts awarded by the Health Ministry. The OSP has emphasized that it will take all necessary measures to compel Ofori-Atta to appear and answer questions related to the investigations. In a press briefing, Special Prosecutor Kissi Agyebeng stated that Ofori-Atta had repeatedly refused to honor invitations for questioning, leading to his declaration as a wanted person. Ofori-Atta’s lawyers have responded, stating that their client is currently undergoing medical observation and tests abroad and will reschedule the invitation to appear before the OSP upon his return to Ghana. Source: Apexnewsgh.com
These six Government Officials to Face Trial for Payroll Fraud
Office of the Special Prosecutor (OSP) has announced that six government officials will be prosecuted for their involvement in a payroll fraud scheme. Apexnewsgh reports The scheme, which siphoned funds through fake salary payments, has led to charges of corruption of a public officer and corruption by a public officer against the accused. The six officials, who served in various capacities within the Ghana Education Service (GES) and the Controller and Accountant General’s Department (CAGD), include: Yakubu Tahidu: Former teacher, Balogu M/A Junior High School, Yendi Abdulai Abubakari Sadic: Integrated Personnel Payroll Database Coordinator, GES, Yendi Sammy Suuk: Schools Improvement Support Officer, Yendi North Circuit Mohammed Yusif Jay: Headmaster, Balogu M/A Junior High School, Yendi Stafford Korletey Azudey-Barres: Assistant Chief Accounts Technician, CAGD, Accra Osman Issahaku: Headmaster, Balogu M/A Junior High School, Yendi The investigation, which began in late 2023, was a joint effort between the OSP and the CAGD. It aimed to identify and remove ghost names, recover wrongful payments, and prosecute those responsible for manipulating government payroll. According to Special Prosecutor Kissi Agyebeng, the trial will set a precedent in the fight against payroll fraud in Ghana’s public sector. He also assured that more prosecutions would follow as investigations expand nationwide. The accused will be arraigned before the High Court in Tamale in the coming days. Source: Apexnewsgh.com
Just In: EC to rerun Council of State elections in these areas
The Electoral Commission (EC) has announced a decisive rerun of the Council of State elections for the North East and Ashanti Regions, scheduled for Monday, February 17, 2025. Apexnewsgh reports This significant development comes after a series of complications during the initial election process in both regions. In the North East Region, the rerun is necessitated by an unprecedented tie between two candidates, each securing six votes. The EC aims to ensure a fair and definitive outcome for voters in the region. Meanwhile, the situation in the Ashanti Region was markedly different. The initial election faced chaos that disrupted the counting of ballots, leaving the entire process incomplete. In light of these challenges, the EC deemed a rerun necessary to uphold the integrity of the electoral process. In a statement issued on Wednesday, February 12, the EC reassured the public that it is taking thorough measures to secure the election venues. The commission has communicated with the Ghana Police Service and copied the National Election Security Taskforce with the expectation that heightened security will effectively prevent any further disruptions during the upcoming elections. As the date approaches, all eyes will be on the North East and Ashanti Regions to observe how the reruns unfold, promising a critical moment for voters and candidates alike. Source: Apexnewsgh.com
Minister of Sports Proposes Betting Tax Allocation to Boost Ghana’s Sporting Sector
Minister of Sports and Recreation Kofi Adams has proposed allocating a portion of the revenue generated from the betting tax to a dedicated sports fund. Apexnewsgh reports This fund would focus on sustainable sports growth, including infrastructure development, athlete support, and overall sports management. According to Adams, channeling a percentage of the betting tax into this fund is crucial for the sector’s development. He also plans to introduce a sports lottery as an additional revenue source. “I believe the time has come for this to be done. A percentage of the bet stake tax should be allocated to the sports fund. We will introduce a sports lottery,” Adams stated. The minister drew inspiration from past initiatives, such as the Ghana Education Trust Fund (GETFund) and the Health Fund established under former President Jerry John Rawlings. “We established GETFund for education and the Health Fund to support health issues during President Rawlings’ era. We must recognize the importance of sports. Investing in sports can reduce diseases by promoting physical exercise and other activities,” he explained. This proposal comes amid growing demands from sports stakeholders for increased funding to improve infrastructure and talent development. However, Finance Minister Dr. Cassiel Ato Forson has indicated that the betting tax will be scrapped in the upcoming budget presentation to Parliament, sparking debate on alternative ways to secure financing for the sports sector. Source: Apexnewsgh.com
Minority Leader Defends Right to Accountability for Former Finance Minister Ken Ofori-Atta
Minority Leader Alexander Afenyo-Markin has emphasized that his side of the House has no issue with former Finance Minister Ken Ofori-Atta being held accountable for his actions. Apexnewsgh reports However, Afenyo-Markin stressed that the state must follow the correct procedures in holding Ofori-Atta accountable. Speaking in Parliament on Wednesday, February 12, Afenyo-Markin stated that if Ofori-Atta has done something wrong, he should be taken to court, where his lawyers can defend him. “We are talking about the mode of the raid of the arrest, we are not saying that if the state has evidence against Ken Ofori Atta, you should try him,” Afenyo-Markin clarified. This development comes after the Office of the Special Prosecutor (OSP) declared Ofori-Atta a wanted person, citing his repeated refusal to honor invitations for questioning. The OSP is investigating several cases involving Ofori-Atta, including the loss reduction contract between ECG and Beijing Jao, procurement over the National Cathedral, and contracts awarded by the Health Ministry. Bolgatanga Central Lawmaker Isaac Adongo had earlier described Ofori-Atta as the “biggest perceived enemy of Ghana’s economy,” accusing him of plunging the economy into severe difficulties. Former Minister of Defence Dominic Nitiwul also weighed in, stating that it was wrong to use soldiers to raid someone’s home, especially when that person has notified the authorities of their absence. Ofori-Atta’s lawyers have responded to the OSP, stating that their client is currently undergoing medical observation and tests abroad and will reschedule the invitation to appear before the OSP upon his return to Ghana. Source: Apexnewsgh.com