Ghana’s Finance Minister, Seth Terkper has declared that the country’s total revenue and grants surpassed the target for the first half of the year.
“Preliminary data for the first half of the year indicate that total revenue and grants was higher than the target for the period,” Terpker said.
Terpker stated that total expenditure including the clearance of arrears was lower than the target, stressing that as a result, the cash fiscal deficit for the period was 2.3 per cent of Gross Domestic Product (GDP) against a target of 3.4 per cent. This compares to a deficit of 4.3 per cent of GDP for the same period in 2014.
The total revenue and grants for the period was 11.2 per cent of GDP, against a target of 10.6 per cent of GDP.
In nominal terms, the outturn was 5.4 per cent higher than target and 32.9 per cent higher than the outturn for the same period in 2014.
Ghana’s 2015 budget aims at reducing the fiscal deficit from 10.2 per cent of GDP in 2014 to 7.3 per cent of GDP in 2015.
There have been two adjustments of the budget deficit mainly on account of crude oil price developments.
However, Ghana’s good performance in total revenue and grants was mainly due to a strong growth in domestic revenue.