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Why Should There Be An Attempt To Lower Total Expenditure Figures? BoG Plainly Served

Data consistency and credibility are essential to the image of any Central Bank and must be taken seriously. The Bank of Ghana should be entreated to redeem itself.

Data on the government’s fiscal operations from the summary of macroeconomic and financial data released by your outfit on July 22, 2022, put total expenditure from January to May 2022 at 10.8% of GDP translating into GH¢54.26 billion.

Total Revenue and Grants were put at 5.9% of GDP and the corresponding overall fiscal deficit at 5% of GDP. 

Unfortunately, paragraph 16, page 4 from the Monetary Policy Committee Press Release on 25 July 2022 claims for the same period, “Total expenditure was GH¢48.9 billion (9.7 percent of GDP), below the programmed target of GH¢51.8 billion (10.3 percent of GDP).”

The press release however maintained the same figures for Total Revenue & Grants at 5.9% of GDP, as well as that of overall fiscal deficit at 5%. 

Now, the problem is, that the GH¢48.9 billion (9.7% of GDP) figure quoted in the MPC Press Release does not and cannot give the stated overall fiscal deficit of 5% contained in the two separate releases; considering the same total revenue and grants figure has been maintained in both releases as well. 

Question is, which of the data sets should Ghanaians and interested parties work with?

The one with all the figures balancing up (Summary of Macroeconomic and Financial Data) or the one with one of the figures (total expenditure) not matching up and as such rendering the balancing inaccurate (Monetary Policy Committee Press Release).

Why should there be such a gross discrepancy in figures contained in your various reports? Why should there be an attempt to lower total expenditure figures? 

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Bank of Ghana BoG Central Bank GH¢48.9 Monetary Policy Committee

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