Ghana’s parliament has passed a provisional budget of 68.1 billion Ghanaian cedis ($4.65 billion), ensuring government operations continue through March and narrowly avoiding an unprecedented shutdown.
The budget was approved late Thursday night after a prolonged parliamentary session, according to Speaker Alban Bagbin.
The approval comes as John Dramani Mahama prepares to take office next week, following his victory in the December 7 election. Mahama, 66, previously served as Ghana’s president from 2012 to 2016, making this a political comeback for the leader of the National Democratic Congress (NDC).
Outgoing President Nana Akufo-Addo, who has led the gold- and oil-exporting nation for the past eight years, is scheduled to deliver his final state of the nation address later today.
Typically, a provisional budget is passed in November during election years to fund government operations until the new administration assumes office.
However, this year’s process was delayed due to a standoff over which party holds a majority in parliament: the outgoing New Patriotic Party (NPP) or the incoming NDC.
Despite the delays, Finance Minister Mohammed Amin Adam assured parliamentary committees that the late passage would not disrupt government activities.
Former Finance Minister Seth Terkper highlighted the significance of the budget’s approval, saying, “It averts a government shutdown and reduces the risk of worsening Ghana’s ongoing debt default crisis.”
Nearly a third of the budget is allocated to payments for energy-sector service providers. President-elect Mahama has warned of critical challenges in the energy sector, noting that arrears exceed $2.5 billion, exacerbating issues with erratic power supply.
Mahama assumes office amid cautious optimism, as Ghana navigates recovery from its worst economic crisis in a generation.
Reuters/Patience Ameh
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