• Login
NORVANREPORTS.COM |  Business News, Insurance, Taxation, Oil & Gas, Maritime News, Ghana, Africa, World
  • Home
  • News
    • General
    • Political
  • Economy
  • Business
    • Agribusiness
    • Aviation
    • Banking & Finance
    • Energy
    • Insurance
    • Manufacturing
    • Markets
    • Maritime
    • Real Estate
    • Tourism
    • Transport
  • Technology
    • Telecom
    • Cyber-security
    • Cryptocurrency
    • Tech-guide
    • Social Media
  • Features
    • Interviews
    • Opinions
  • Reports
    • Banking/Finance
    • Insurance
    • Budgets
    • GDP
    • Inflation
    • Central Bank
    • Sec/Gse
  • Lifestyle
    • Sports
    • Entertainment
    • Travel
    • Environment
    • Weather
  • NRTV
    • Audio
    • Video
No Result
View All Result
No Result
View All Result
NORVANREPORTS.COM |  Business News, Insurance, Taxation, Oil & Gas, Maritime News, Ghana, Africa, World
No Result
View All Result
Home Economy

Interest payment outstrips compensation as the largest budget expenditure item – PFM Tax Africa

4 years ago
in Economy, highlights, Home, home-news, latest News
2 min read
0 0
0
81
VIEWS
Share on FacebookShare on TwitterShare on Linkedin

Interest payments for the first quarter of 2021 outpaced compensation expenditure of government.

According to Public Financial Management Consultancy firm, PFM Tax Africa Network, interest payments for 2021 exceeded compensation payments by 0.2 percentage points.

“At 1.9 percent and 1.7 percent, interest payments now exceed compensation or wages, as the largest single budget expenditure item,” stated PFM Tax Africa.

“This is consistent with the 2021 Budget projection of 8.3 percent and 7 percent, respectively,” it added.

The Network is of the view that, the outpacing of compensation payment by interest payment is likely to put significant fiscal pressure on expenditure as well as the possible rise in domestic and external debt financing.

Adding that, the two recurrent expenditure crowds out capital expenditure, which is only 0.7 or 0.8 percent of GDP for projected and actual figures for Q1 2021.

“The annual 2021 target of 2.7 percent for capital is less than the 3.8 percent for Q1-2021 and provisional actual of 3.6 percent for interest plus compensation,” added the Network.

RelatedPosts

Parliament Adjourns Sine Die After Intense Legislative Session Marked by Reform Calls and Tributes

GACL Terminates Evatex Revenue Assurance Contract Amid OSP Probe

Cyber Security Authority Flags Rising Mobile Data Scam, Cautions Public

Meanwhile, on the country’s revenue performance for Q1 2021, the Network asserts that government failed to meet its target revenue of 3.7 percent and 2.8 percent total and tax revenues respectively.

According to PFM Tax Africa, actual provisions of total and tax revenues for Q1 2021, is 3 percent and 2.4 percent respectively.

On the back of the unrealized revenue targets for Q1 2021, the Network asserts that there is the need for a higher performance in the remaining quarters to achieve the annual target of 16.7 percent of GDP revenue target.

In monetary terms, revenue attained by government for Q1 2021 was Ghs 12.8 billion as against a target of Ghs 15.8 billion, falling short of some Ghs 3 billion.

Peruse below details of PFM Tax Africa’s report on the country’s fiscal performance for Q1 2021

2021 Fiscal Performance, Part 2 by Fuaad Dodoo on Scribd

Source: norvanreports
Tags: Interest payment outstrips compensation paymentPFM Tax Africa
No Result
View All Result

Highlights

Gov’t Reopens Talks With PayPal to Restore Full Service Access in Ghana

Financial Sector Assets up 34.6% in 2024 to GHS 525.59 Billion

Banking Sector Soundness Remains Robust in 2024 Amid Strong Profitability, Adequate Capital Buffers

Sha’Carri Richardson Withdraws from US Trials Following Arrest

From Singuluma to El Kaabi: Can CHAN 2024 Unleash the Next Hat-trick Hero?

Ghana to Welcome King’s Baton Relay on August 8 Ahead of 2026 Commonwealth Games

Trending

Features

Parliament Adjourns Sine Die After Intense Legislative Session Marked by Reform Calls and Tributes

August 2, 2025

Parliament Adjourns Sine Die After Intense Legislative Session Marked by Reform Calls and Tributes Parliament has adjourned...

GACL Terminates Evatex Revenue Assurance Contract Amid OSP Probe

August 2, 2025

Cyber Security Authority Flags Rising Mobile Data Scam, Cautions Public

August 2, 2025

Gov’t Reopens Talks With PayPal to Restore Full Service Access in Ghana

August 2, 2025
Bank of Ghana

Financial Sector Assets up 34.6% in 2024 to GHS 525.59 Billion

August 2, 2025

Who we are?

NORVANREPORTS.COM |  Business News, Insurance, Taxation, Oil & Gas, Maritime News, Ghana, Africa, World

NorvanReports is a unique data, business, and financial portal aimed at providing accurate, impartial reporting of business news on Ghana, Africa, and around the world from a truly independent reporting and analysis point of view.

© 2020 Norvanreports – credible news platform.
L: Hse #4 3rd Okle Link, Baatsonaa – Accra-Ghana T:+233-(0)26 451 1013 E: news@norvanreports.com info@norvanreports.com
All rights reserved we display professionalism at all stages of publications

No Result
View All Result
  • Home
  • Business
    • Agribusiness
    • Aviation
    • Energy
    • Insurance
    • Manufacturing
    • Real Estate
    • Maritime
    • Tourism
    • Transport
    • Banking & Finance
    • Trade
    • Markets
  • Economy
  • Reports
  • Technology
    • Cryptocurrency
    • Cyber-security
    • Social Media
    • Tech-guide
    • Telecom
  • Features
    • Interviews
    • Opinions
  • Lifestyle
    • Entertainment
    • Sports
    • Travel
    • Environment
    • Weather
  • NRTV
    • Audio
    • Video

Welcome Back!

Login to your account below

Forgotten Password?

Create New Account!

Fill the forms bellow to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In
NORVANREPORTS.COM | Business News, Insurance, Taxation, Oil & Gas, Maritime News, Ghana, Africa, World
This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.
We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it.