The Minister of Finance, Seth Terkper has reiterated government’s promise not to overspend its budget during the 2016 general elections.
He made this revelation while presenting the 2016 budget in Parliament on Friday.
[contextly_sidebar id=”F29kSqcJUVw7JuWjPwyDApmt4IOeLyZk”]Economists have over the years blamed the increasing fiscal deficit on overspending by successive governments during election year, a situation the International Monetary Fund (IMF) bailout program is expected to address.
The Managing Director of the IMF, Christine Lagarde had earlier admitted that the real test for Ghana’s commitment to the balance of payment supports would be 2016, which is the election year.
According to her, just like other countries across the world, election years are always difficult for countries under any programme because they struggle to meet their targets.
But the Finance Minister was optimistic government will this time around meet its targets since it will conduct elections based on the budget available.
“”We will resist the temptation of election-year overspending” he told Parliament.
Gov’t to fund EC
The Minister also gave the assurance that the Mahama-led administration will adequately fund the Electoral Commission (EC) to successfully organise a peaceful election in 2016.
He believes government’s decision to fund the Commission is necessary since there is no doubt the economy benefits from a peaceful country and a peaceful election .
“Let me assure this house and the nation that the Electoral Commission will be adequately resourced for free fair and transparent elections…Let there be no doubt the economy benefits substantially from our peaceful political climate,” the Minister said.
Economy
He also admitted that the economy has suffered major shocks for the past three years.
The challenges, according to him, include disruptions in gas supply for 2 and half years and simultaneous falls in gold and cocoa prices among others.
He however gave the assurance government is working tirelessly to keep the economy strong.
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By: Marian Ansah/citifmonline.com/Ghana
Follow @EfeAnsah