{"id":98920,"date":"2015-03-12T17:53:43","date_gmt":"2015-03-12T17:53:43","guid":{"rendered":"http:\/\/4cd.e16.myftpupload.com\/?p=98920"},"modified":"2015-03-12T17:53:43","modified_gmt":"2015-03-12T17:53:43","slug":"govt-falls-on-stabilization-fund-to-support-budget","status":"publish","type":"post","link":"https:\/\/citifmonline.com\/2015\/03\/govt-falls-on-stabilization-fund-to-support-budget\/","title":{"rendered":"Gov’t falls on Stabilization Fund to support budget"},"content":{"rendered":"
Government has confirmed plans to withdraw 19.488 million cedis from the Ghana stabilization fund following the drastic fall in Ghana\u2019s projected oil revenue due to the consistent decline in price of crude oil on the world market.<\/p>\n
\u201dAn amount of 4.872 million cedis will be drawn from the Ghana Stablization Fund on a quarterly basis to finance the potential gap\u201d, Minister of Finance Seth Terkper confirmed on the floor of Parliament today.<\/p>\n
[contextly_sidebar id=”boUZxc5j3nXYFYdf0LnHWmna15kzfdhU”]The Fund has accumulated in excess of 590 million dollars both in capital and interest incomes from 2011 when it was established.<\/p>\n
Government in July last year used 176 million dollars from the fund as announced in the supplementary budget presented by the Finance minister .<\/p>\n
The minister in the supplementary budget announced a cap on the Fund at 250 million dollars, and said it was in consonance with section 23(3) of the Petroleum Revenue Management Act 2011.<\/p>\n
But this was challenged by the the Public Interest and Accountability Committee , who in a statement said the capping is supposed to be done prospectively and not retrospectively as the finance minister had done.<\/p>\n
PIAC early this year , however called on government to use the monies that had accrued in the fund due to the fall in crude oil prices on the world market and its impact on governments projected revenue.<\/p>\n