Ato Forson Outlines Plan to Achieve 1.5% Primary Surplus and Revive Economy
Accra, Ghana - 20 March, 2025 - Ghana's Finance Minister, Cassiel Ato Forson, has announced sweeping measures to restore macroeconomic stability and promote sustainable growth.
In a meeting with 22 Managing Directors of banks, Forson outlined the government's plans to achieve a primary surplus of 1.5% and rebuild confidence in the economy.
To achieve this goal, the government will implement massive investment cuts and reset goods and services expenditure to 2023 levels. Forson also announced plans to submit a fiscal responsibility rule to Parliament, which would establish a debt ceiling that the Ministry of Finance cannot exceed.
In a bid to alleviate concerns about Ghana's debt, Forson assured that the government does not intend to default on its Domestic Debt Exchange Programme (DDEP) obligations. He noted that all outstanding holdouts have been paid, and sufficient buffers have been built to meet DDEP obligations this year.
The minister also emphasized the importance of reducing reliance on the Treasury bill market and strengthening policy coordination between fiscal and monetary authorities. Forson's announcements were welcomed by the banking sector, with the Governor of the Bank of Ghana, Dr. Johnson Asiama, and the President of the Ghana Association of Banks (GAB), Mr. Kwamina Asomaning, expressing their commitment to deepening financial inclusion and supporting the capital markets.
Overall, Forson's measures aim to promote fiscal discipline, rebuild trust, and forge a path toward a stronger, more resilient economy for Ghana.
Source: Lead News Online
