Franklin Cudjoe Describes 2025 Budget as ‘Simple and Pragmatic’, Urges Prioritization of Value-for-Money Projects
Founder and President of policy think tank IMANI Ghana, Franklin Cudjoe, has described Ghana’s 2025 Budget as a “simple and pragmatic” financial plan that prioritizes key manifesto promises while maintaining fiscal discipline.
Speaking during the NorvanReports and Economic Governance Platform (EGP) X Space Discussion on the topic, “Resetting the Economy: Can Ghana’s 2025 Budget Achieve Fiscal Stability and Sustainable Growth”, on Sunday, March 16, 2025, Mr Cudjoe noted that the budget effectively captures “low-hanging fruits” crucial to improving livelihoods.
Budget Simplicity and Focus on Manifesto Promises
Mr Cudjoe commended the budget for focusing on critical areas such as the scrapping of E-Levy, reduction of other taxes including the betting tax, and financial support for first-year tertiary students. He also highlighted the seed funding for women’s banking, describing these initiatives as key to economic relief for Ghanaians.
“The budget is simple, and that’s what budgets should be. People just want to know whether the things promised are actually there,” he remarked.
Cautious Approach to Spending
While some analysts have criticized the budget for lacking ambition, Mr Cudjoe defended the government’s approach, stating that “ambition without progressive thinking is simply business.”
He emphasized the need for prudent spending, arguing that the administration is balancing tax cuts with modest but essential interventions rather than excessive borrowing.
Concerns Over Agricultural Funding and Tax Refund Utilization
On agriculture, Mr Cudjoe expressed reservations about the GH¢1.5 billion allocation, suggesting that while the amount is manageable, it may not be bold enough to drive significant transformation in the sector.
He also raised concerns about the government’s reliance on the tax refund system to offset revenue shortfalls resulting from tax cuts. He cautioned that tax refunds have previously been misused as a “slush fund” by politicians, calling for greater transparency and oversight in managing these funds.
Skepticism Over Project Continuity and Cathedral Construction
Addressing broader fiscal management, Cudjoe criticized past government spending on numerous projects without proper value-for-money analysis. He argued that not all projects deserve continuation under the justification of avoiding waste.
“I don’t think we should just adopt whatever wasteful projects a predecessor dreamt about,” he stated, citing the controversial National Cathedral project as an example of what he termed “grand foolishness” if continued.
Mr Cudjoe’s analysis underscores the government’s attempt to balance fiscal stability with critical economic interventions. While he acknowledged the budget’s responsiveness to certain economic needs, he called for greater scrutiny in spending allocations and a sharper focus on value-driven projects.
