Minister for Finance, Ken Ofori-Atta, has asserted that the projected fiscal deficit for the first quarter of 2021 is Ghs 10.7 billion.
This, according to the Finance Minister, is as a result of projected total revenue and grants reaching Ghs 13.3 billion with total expenditure also reaching Ghs 24 billion for Q1 2021.
“Projected total revenue and grants for first quarter is expected to be Ghs 13.3 billion and expenditure including clearance of arrears is also projected to be Ghs 24 billion, resulting in a projected fiscal deficit of Ghs 10.7 billion for the period,” he noted.
Mr Ofori-Atta was in Parliament on Wednesday afternoon, October 28, 2020 to present the Expenditure in Advance of Appropriation Budget for the first 3 months of 2021.
The presentation of the budget by the Finance Minister, deviates from the conventional budget presentation done in November for the next fiscal year.
This is a standard practice during election years and it is to prevent transitional challenges in the smooth running of Government for the first three months in the year after elections.
Presenting the appropriation budget to Parliament, the Minister for Finance noted that, Government will need some Ghs 27.4 billion to finance its expenditure till the expiration of the first quarter of 2021.
The amount according to the Finance Minister will cover Government’s operations which include compensation of employees, ex-gratia awards, interest and amortization, transfers to statutory funds, critical programmes, goods and services and allocations to Ministries, Departments and Agencies.
