Ghana spent 44% of its entire tax revenue on public sector wages in 2025 – Finance Minister

Compiled By: Prince Henry Danquah, Bora Capital Advisors Ltd.

Finance Minister Dr. Cassiel Ato Forson has disclosed that Ghana spent 44 percent of its total tax revenue on public sector wages in 2025, significantly exceeding the ECOWAS-recommended threshold of 35 percent, underscoring severe fiscal constraints facing the country.

Presenting at a high-level meeting between President John Mahama and organised labour, the minister outlined the growing pressure of the public sector wage bill on government finances.

He revealed that out of the total tax revenue of GH¢183 billion in 2025, statutory obligations, including transfers to DACF, GETFund, NHIL, and debt servicing, consumed GH¢122.1 billion, leaving only GH¢61.9 billion available.

Source: newsthemegh.com