Ghana’s IES raises alarm as global oil prices experience massive fall

Ghana’s IES raises alarm as global oil prices experience massive fall

Ghana stands to lose out on its projected oil revenue generation in the wake of the drop of crude oil prices.

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This is according to a forecast by the Institute for Energy Security (IES) following the fall in global crude oil prices.

The country’s oil revenue was projected at US$8.9 billion, as per the Finance Minister’s 2020 Budget.

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However, prices of crude oil on the international market have plummeted by around 30 percent following Saudi Arabia’s price war against Russia.

The Executive Director of the IES, Paa Kwasi Anamua Sakyi, says the drop in crude oil prices will affect Ghana’s revenue projection.

Ghana risks losing out on two fronts particularly; one from the fall in projected oil revenue and also the possibility of much lower fuel prices at the pumps across the country.

“The most important thing is that, this is going to impact on us negatively,” Mr. Kwasi Anamua Sakyi said, as quoted by Ghanaweb.

He explained that fuel prices at the pump look to remain the same as the government is likely not to pass on the windfall to consumers.

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According to him, even if there is to be a reduction, it will only be marginal and not reflective of the drop on the international market.

The prices will still remain the same so and I’m not sure that we will see a fuel price reduction at the pumps anytime soon and in the worst-case scenario, it’s going to stay the same or we’d see a marginal reduction but not a substantial one to match with the international fall in price of crude and fuel prices,” he added.

YEN earlier reported that Second Lady, Samira Bawumia has described the opposition National Democratic Congress (NDC) as a party bereft of ideas.

According to her, the alternative to the New Patriotic Party (NPP) is “empty”. She noted that the NPP has what it takes to lead Ghana to economic freedom and prosperity.

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Source: Yen

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