2024 Budget: 10 Key Takeaways From Nana Akufo-Addo's Final Economic Policy Statement

2024 Budget: 10 Key Takeaways From Nana Akufo-Addo's Final Economic Policy Statement

  • Ken Ofori-Atta presented President Akufo-Addo's final budget and economic policy statement for 2024
  • The 48-page document presented in Parliament on November 15 outlined 10 key points from the 2024 budget statement
  • YEN.com.gh presents landmark mentions in the budget, providing a concise summary of the crucial aspects highlighted by Ofori-Atta

On Wednesday, November 15, 2023, finance minister Ken Ofori-Atta presented President Nana Akufo-Addo's final budget economic policy statement for 2024.

The 48-page document presented in Parliament highlighted 10 key points.

Below, YEN.com.gh presents the main takeaways from the 2024 budget statement presented by Ofori-Atta.

2024 Budget: 10 Key Takeaways From Nana Akufo-Addo's Final Economic Policy Statement
Ken Ofori-Atta and a market woman selling fresh pepper in the market. Source: Facebook/@ministryoffinanceghana, @VisitGhanaNOW
Source: Facebook

1. Stalled La General Hospital project to begin construction

The government has renegotiated the contract terms of the La General Hospital Project which will now be funded through the national budget. The contractor is expected back on site next week to complete a significant amount of work by 2024.

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2. No tax on raw materials for locally produced sanitary pads

Zero VAT rate and import duty waivers for raw materials of locally manufactured sanitary pads will be implemented in 2024.

3. GH¢220 million to support victims of Akosombo Dam spillage

The government has budgeted an amount of GH¢220 million to support the relief phase for the communities affected by the Akosombo spillage as well as floods upstream in the Oti, Savannah, and Bono-East Regions.

2024 Budget: 10 Key Takeaways From Nana Akufo-Addo's Final Economic Policy Statement
GH¢220 million to support the relief phase for the communities affected by the Akosombo spillage. Source: Facebook/@ministryoffinanceghana
Source: Facebook

4. Announcement of new tax reliefs for businesses

The following tax reliefs have been prioritised for implementation:

i. Extend zero rate of VAT on locally manufactured African prints for 2 more years;

ii. Waive import duties on the import of electric vehicles for public transportation for 8 years;

iii. Waive import duties on semi-knocked down and completely knocked down Electric vehicles imported by registered EV assembly companies in Ghana for 8 years;

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iv. Extend zero rate of VAT on locally assembled vehicles for 2 more years;

v. Zero rate VAT on locally produced sanitary pads;

vi. Grant import duty waivers for raw materials for the local manufacture of sanitary pads;

vii. Grant exemptions on the importation of agricultural machinery equipment and inputs and medical consumables, raw materials for the pharma industry;

viii. A VAT flat rate of 5% to replace the 15% standard VAT rate on all commercial properties will be introduced to simplify administration.

5. Promoting 'December in GH'

The government will promote ‘December in GH’ initiatives, and will also work towards enhancing security and the lighting infrastructure. A Task Force, comprising Public regulators and Private sector actors, has already been established to drive the Night Economy initiative under a public-private partnership arrangement.

6. Conclusion of DDEP

The government says it has successfully concluded the Domestic Debt Operations and is making steady progress on external debt restructuring. The government is also implementing the new Growth Strategy, which prioritises the completion of key transformative interventions to improve the quality of life and welfare of our people.

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2024 Budget: 10 Key Takeaways From Nana Akufo-Addo's Final Economic Policy Statement
Ofori-Atta has said the government has concluded the Domestic Debt Operations and is making steady progress on external debt restructuring. Source: Facebook/@ministryoffinanceghana
Source: Facebook

7. Robust steps taken to stabilise the exchange rate

The exchange rate is expected to remain stable supported by continued progress with the implementation of the IMF Supported Programme, expected inflows from the cocoa syndication loan, the second tranche of the IMF loan, mining inflows, and the BoG’s continuation of the Gold-for-Oil Programme.

8. GH¢ billion allocated to deal with challenges in the financial sector

A provision of GH¢4 billion has been made in the 2024 Budget to address the National Investment Bank (NIB), distressed SDIs, and other outstanding legacy challenges in the financial sector.

9. GH¢2 billion from IMF/WB to be injected into the economy

The government is anticipating the reflection of GH¢2 billion from the IMF/WB and cocoa syndication by the end of the year.

10. Projected expenditure is given as GH¢21.3 billion

The minister also revealed that total expenditure in 2024 is expected to increase by GH¢21.3 billion.

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Finance minister Ken Ofori-Atta's resignation predicted

Meanwhile, YEN.com.gh has reported in a separate story that the minority leader in Parliament, Dr Cassiel Ato Forson, has alleged that Ken Ofori-Atta, the finance minister, is rumoured to resign in the next few days.

Dr Forson suggests that Ofori-Atta's potential departure would be remembered for failures and incompetence in managing Ghana's economy over the last seven years.

Over 80 NPP lawmakers demanded Ofori-Atta's removal in 2022, but President Nana Addo Dankwa Akufo-Addo rejected the demand.

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Source: YEN.com.gh

Authors:
George Nyavor avatar

George Nyavor (Head of Politics and Current Affairs Desk) George Nyavor writes for YEN.com.gh. He has been Head of the Politics and Current Affairs Desk since 2022. George has over 9 years of experience in managing media and communications (Myjoyonline and GhanaWeb). George is a member of the Catholic Association of Media Practitioners Ghana (CAMP-G). He obtained a BA in Communications Studies from the Ghana Institute of Journalism in 2010. Reach out to him via george.nyavor@yen.com.gh.

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