Finance Minister, Dr Cassiel Ato Forson has said that Ghana’s total expenditure for the first three quarters of 2025 stood at GH¢175.9 billion (12.6 per cent of GDP), which is 15 per cent below the budget target of GH¢207 billion.
The Finance Ministry said the lower spending reflects deliberate fiscal restraint, tighter expenditure control, and improved efficiency under ongoing consolidation measures.
He mentioned that primary expenditure (excluding interest payments) amounted to GH¢133.2 billion, 13.6 per cent below target, as the government tightened non-interest spending to maintain fiscal discipline. Interest payments dropped sharply by 19.2 per cent, aided by lower domestic rates and the cedi’s appreciation, saving nearly GH¢10 billion.
Dr Ato Forson made these remarks while presenting the 2026 Budget Statement and Economic Policy of Government for the year ending 31 December 2026, in Parliament on Thursday, November 13.
While employee compensation slightly exceeded projections due to wage adjustments and essential service recruitments, spending on goods and services fell by 24.6 per cent, and energy sector transfers dropped by 21.5 per cent, demonstrating continued restraint.
Capital expenditure (CAPEX) was GH¢10.9 billion, a 59 per cent shortfall, reflecting a strategic decision to reprofile capital projects and focus on high-impact infrastructure amid delayed foreign disbursements.
The government also cleared GH¢11.5 billion in arrears without accumulating new ones — a sign of strong commitment control. Importantly, social protection programmes in education, health, and livelihoods remained fully funded, ensuring that fiscal consolidation did not compromise social progress.
Overall, the 2025 expenditure trends show that Ghana’s fiscal management framework is delivering results, balancing discipline, efficiency, and social responsibility to sustain recovery.
