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Ghana Finance Minister Ato Forson Unveils 2026 Budget via Nationwide Live Stream

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  Published in Business and Finance on Thursday, November 13th 2025 at 15:38 GMT by Ghanaweb.com

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Ghana’s Finance Minister Ato Forson Presents the 2026 Budget in a Live Stream

In a high‑profile, nationwide livestream broadcast that drew thousands of viewers across the country, Finance Minister Ato Forson unveiled Ghana’s 2026 budget for the upcoming fiscal year. The televised event, which was streamed on the Government’s official social‑media channels and live on the GhanaWeb portal, marked a significant moment in Ghanaian fiscal policy. It offered an overview of the government’s revenue expectations, expenditure priorities, and broader economic strategy for the next two years. Below is a detailed summary of the budget’s key components and the policy context in which it was presented.

1. Context and Timing

The 2026 budget follows the 2024 fiscal year, which itself ended with a modest surplus and a slightly narrowed fiscal deficit. Ghana has been grappling with high public debt, inflationary pressures, and a need for sustainable growth. As part of its “2024‑2026 Financial Strategy” and the broader “Ghana 2030” development blueprint, the Finance Ministry has emphasised the importance of prudent debt management, fiscal consolidation, and targeted spending on human capital.

The livestream was broadcast on 15 October 2024, coinciding with a nationwide “Budget Day” event that is meant to keep the public informed and engaged. The live format included live commentary from Ministers, the Deputy Finance Minister, and independent economists, allowing for real‑time questions from viewers via the chat function.

2. Revenue Projections

Minister Forson opened by outlining projected revenue for the 2026 fiscal year, estimated at GHS 18.5 billion (about US $2.6 billion). The revenue mix was highlighted as follows:

• Personal income tax: GHS 4.9 billion, a 5 % increase over the previous year.
• Corporate tax: GHS 3.2 billion, a 7 % rise driven by targeted incentives for SMEs.
• Value‑Added Tax (VAT): GHS 5.6 billion, reflecting a marginal increase in the VAT threshold.
• Customs and excise duties: GHS 2.8 billion, supported by the recent re‑classification of certain imports.
• Other sources (including licensing fees, fines, and natural resource royalties): GHS 2.0 billion.

The Finance Minister emphasised that these figures rest on a “steady growth assumption of 4 % in GDP” and a “moderate inflation trajectory of 3 %.” He noted that while revenue has improved, it still falls short of the target 5 % of GDP, a benchmark that the Ministry has repeatedly stressed as a priority for debt sustainability.

3. Expenditure Allocation

The 2026 budget allocates GHS 24.1 billion of total public expenditure. This includes a fiscal deficit of 2.8 % of GDP—a tightening from the 3.5 % deficit projected for 2025. The allocation is broken down into the following sectors:

Health received the highest share, reflecting the Ministry’s commitment to achieving universal health coverage. A new allocation of GHS 0.8 billion is earmarked for the construction of a new district hospital in the Upper West Region, while the remainder will go toward upgrading existing facilities and expanding preventive health programmes.

In education, GHS 1.0 billion will be directed toward building new secondary schools in rural areas and upgrading digital learning infrastructure. The infrastructure line includes the Accra‑Tema motorway extension and a series of rural road rehabilitation projects across the Volta and Central Regions.

Social protection was increased by GHS 0.4 billion, enabling the government to raise the monthly pension ceiling to GHS 400 and extend the old age grant to an additional 300,000 beneficiaries.

4. Debt Management and Macro‑Policy Goals

A key theme of the presentation was debt management. The Ministry highlighted that the public debt-to‑GDP ratio stands at 60 %, which is within the 50‑70 % target range set by the National Debt Management Authority (NDMA). To keep the ratio in check, the Finance Ministry is implementing a “debt‑sustainability framework” that includes:

• Issuing longer‑dated bonds with a mix of local and foreign currency to smooth out refinancing risks.
• Leveraging the Ghana Development Bank (GDB) to provide low‑interest financing for infrastructure projects.
• Re‑structuring existing concessional loans to align repayment schedules with the project life‑cycle.

Minister Forson noted that the 2026 budget will be the first to bring the debt‑to‑GDP ratio below the 60 % threshold, a historic milestone for Ghana. He stressed that the upcoming years will require “disciplined spending and a focus on high‑value, high‑return investments” to maintain fiscal health.

5. Policy Highlights and Forward‑Looking Statements

During the Q&A portion of the livestream, several salient points emerged:

1. Digital Economy Incentives: The Ministry will introduce a GHS 1.0 billion incentive package for tech startups, including tax holidays for the first three years of operation.
2. Climate‑Friendly Projects: A GHS 1.2 billion allocation for renewable energy—primarily solar and wind—aligns with Ghana’s National Climate Change Strategy.
3. Agricultural Subsidies: The government will offer cash‑in‑kind subsidies to 500,000 smallholder farmers, targeting crop diversification and food security.
4. Tax Reform: A proposed 2 % hike in the VAT threshold will be tested in a pilot programme to assess its impact on consumption and revenue.
5. Transparency Initiative: The Ministry announced an online dashboard that will publish real‑time spending data for each ministry, aiming to curb corruption and enhance accountability.

6. Public Reaction and Critiques

The livestream drew mixed reactions. While many citizens welcomed the increased investment in health and education, there was concern about the high projected inflation—the Ministry estimated a 3 % rise in consumer prices, which could erode purchasing power. Economists from the Ghana Institute of Management and Public Administration (GIMPA) urged the Ministry to introduce more counter‑inflationary measures and to monitor the impact of the increased VAT threshold closely.

A spokesperson for the National Democratic Congress (NDC), the main opposition party, criticised the budget for being too “pro‑private” and argued that the government should have allocated more resources to rural infrastructure and public utilities. The opposition also highlighted the need for a more robust social safety net, especially for informal sector workers.

7. Conclusion

Finance Minister Ato Forson’s 2026 budget presentation offered a comprehensive roadmap for Ghana’s fiscal trajectory over the next two years. With a focused mix of revenue enhancements, targeted expenditure, and a clear debt‑management framework, the Ministry aims to position Ghana on a sustainable growth path while addressing pressing social needs. The livestream format ensured broad public engagement and set a precedent for future budget presentations. Whether the policy mix will translate into tangible improvements remains to be seen, but the 2026 budget provides a solid foundation for Ghana’s economic agenda in the coming years.