Finance Minister engages banks ahead of mid-year budget review

Ahead of the presentation of the mid-year budget review to Parliament, the Finance Minister, Dr. Mohammed Amin Adam, is rallying the support of the banking sector to help consolidate Ghana’s fiscal gains.

According to the minister, the banking industry’s contributions to growing businesses continue to remain paramount.

Speaking on the sidelines of a stakeholders’ engagement on the implementation of the 2024 budget with bankers, Dr. Mohammed Amin Adam assured that fiscal responsibility will be maintained to spur growth under the IMF programme.

“We expect the mid-year budget review to announce measures on how we can promote economic growth. Getting the banks to understand and align with our expectations is crucial because they will play a key role in financing private sector participation, which is essential for achieving an accelerated growth rate for the development of our country,” he said.

He also hinted that “we are also discussing amendments to the Fiscal Responsibility Act. We are exploring various possibilities that will impose fiscal rules on debt levels.”

The inputs being sought from stakeholders and business associations aim to ensure that government policy reviews have the support of all stakeholders and shape a broader policy framework to guide the presentation.

For his part, the Chief Executive Officer of the Ghana Association of Banks, John Awuah, affirmed the sector’s commitment to economic recovery, provided there are no significant risks to the industry.

“As banks, as long as it does not unduly impose risks on the industry, we are ever ready to support economic recovery. We understand that as the economy recovers, it creates a sound environment where businesses can thrive, allowing banks to provide the needed support without increasing the impairment risks we are currently facing,” he added