Ten laws are to be realigned with government’s economic stability and inclusive growth policies, Dr Cassiel Ato Forson, Minister of Finance, disclosed when presenting the 2025 Budget statement to Parliament
The acts include Petroleum Revenue Management Act, 2011 (Act 815); Ghana Infrastructure Investment Fund Act, 2014 (Act 877); Minerals Income Investment Fund Act, 2018 (Act 978); Energy Sector Levies Act (ESLA), 2015 (Act 899); Ghana Cocoa Board Act, 1984, PNDCL 81 (and its amendment) and the Earmark Funds Capping and Realignment Act, 2017 (Act 947).
The rest are Public Procurement Authority Act, 2003 (Act 663) as amended with Act 914; Ghana Education Trust Fund (GETFund) Act, 2000 (Act 581); Fiscal Responsibility Act, 2018 (Act 982) and incorporate into a comprehensive Public Financial Management Act; and Revenue Administration Act, 2016 (Act 915).
He explained that the Petroleum Revenue Management Act needed to be reviewed for the allocation of all Annual Budget Funding Amount (ABFA) resources to infrastructure projects.
An amendment to ESLA, he noted, would allow for the consolidation of the Energy Debt Recovery Levy, Energy Sector Recovery Levy (Delta Fund), and Sanitation & Pollution Levy into one levy and use the proceeds to cater for the energy sector shortfalls and service the inherited debt obligation.
“Mr Speaker, the rest of the energy sector levies, including, Road Fund Levy, Energy Fund Levy, Price Stabilisation & Recovery Levy, Public Lighting Levy and National Electrification Levy will remain to support the achievement of their intended objectives,” he said.
Furthermore, he said the review of the Earmarked Funds Capping and Realignment Act, 2017 (Act 947) would enable the full restoration of government transfers to the Ghana National Petroleum Commission (GNPC) and reduction of its share of net Carried and Participating Interest (CAPI) from 30 per cent to 15 per cent.
Meanwhile, the National Health Insurance Levy (NHIL), GETFund and the Road Fund will be uncapped to receive full allocations.
To support fiscal consolidation, Dr Forson indicated that the Public Procurement Act would be amended to provide for an Independent Value-for-Money Office to scrutinise government’s procurements above a threshold.
It will also make commencement certificates and budgetary provisions prerequisites for all procurements to be paid by the Central Government.
“Government will amend the MIIF Act to ensure the 80 per cent Mineral royalties originally maintained by MIIF is transferred to the Consolidated Fund for infrastructure development,” he added.
Other reforms to be implemented through the amendments included, reducing the current tax refund ceiling by two percentage points from six per cent to four per cent of total revenue; reducing the fiscal deficit progressively and the full funding of the Free Senior High School policy through the GETFund.
GNA
ABD/SOF
10 March 2025
