The government’s 2025 budget and economic policies have been hailed as inspirational by the Institute of Statistical Social and Economic Research (ISSER) of the University of Ghana, which also highlighted a number of tax breaks meant to lessen the financial strain on taxpayers.
Professor Peter Quartey, the Director of ISSER, reviewed the government’s 2025 budget statement and economic policy and said that it gave people hope, especially by eliminating taxes like the Electronic Levy, Betting Tax, and Emissions Levy that are supposed to help both individuals and businesses.
Prof. Quartey praised the government for establishing the National Development Bank, the Free Tertiary Education policy for Persons with Disabilities, and the National Apprenticeship Program to train young people in skills.
But while putting these plans into action, he emphasized the importance of accurate targeting and openness.
Prof. Quartey stated that ISSER endorsed the government’s decision to reinstate road tolls and suggested that technology be used to ease traffic at toll booths during implementation.
He emphasized that before implementing the strategy, the required infrastructure should be established.
Noting that this sector is still mainly unexplored, Prof. Quartey suggested that the government look into property rates as a possible source of revenue.
In regards to agriculture, he praised the government’s Agriculture for Economic Transformation Agenda (AETA), which seeks to advance agribusiness and modernize agriculture.
He emphasized how crucial it is to enhance the water supply in order to produce more crops.
While the state sector concentrates on larger projects, he suggested supporting smaller, private sector-led irrigation plans.
Considering the 5.7% growth rate last year and the Sub-Saharan average of 4.2%, Prof. Quartey expressed concern about the government’s predicted 4.2% growth rate for 2025, stating that it was too low.
He proposed that the small goal might be a reflection of the government’s 24-Hour Economy policy’s delayed implementation.
“It is unlikely that we will see immediate benefits from the 24-Hour Economy policy because the necessary structures are yet to be established,” he said.
Speaking about international concerns, Professor Quartey cautioned that Ghana’s economy may be impacted by geopolitical tensions, pointing to the United States Agency for International Development’s (USAID) pullout as one possible obstacle.
In her welcome speech, Dr. Nana Amma Asante-Poku of ISSER emphasized the budget’s significance as a crucial policy instrument that influences consumption, taxes, and vital services like health and education.
According to her, the review’s objective was to present an unbiased evaluation of the budget’s achievements and shortcomings. A group of 14 ISSER researchers carried out the review.
Source: newsthemegh.com