Mini-budget fixed for January 2 amid deadlock

Mini-budget fixed for January 2 amid deadlock

Expenditure in advance of appropriation is expected to be laid by the Finance Minister Dr Mohammed Amin Adam when the Parliament resumes sitting on Thursday, January 2, 2025.
Majority Leader Alexander Afenyo-Markin, who announced this, attributed the delay to what he called the “lawlessness” of the Minority Group.
However, fears of a government shutdown linger as both the Majority and Minority are sharply divided.
The budget, also known as the Vote on Account, is essential for sustaining government operations in the first quarter of the year until the incoming administration presents a full fiscal plan.
With the National Democratic Congress (NDC) poised to take over governance on January 7, following a resounding electoral victory, the current New Patriotic Party (NPP) administration has been unable to secure consensus in Parliament to pass the necessary fiscal measures.

Disagreement over key issues stalls Mini-Budget
The standoff in Parliament stems from deep-seated political discord between the outgoing NPP majority and the incoming NDC majority.
The NPP’s failure to present the mini-budget before the December 2024 adjournment has been attributed to unresolved disagreements on government priorities.
The Minority NDC is strongly opposed to some of the government’s priorities, such as the Free Senior High School (Free SHS) Bill, tax waivers for companies, two major mining agreements among others, and has refused to support their approval.
Critical issues such as the Free SHS Bill, the $250 million World Bank facility aimed at stabilizing the financial sector, the Minority’s deliberate stalling of the approval process for Supreme Court justices—Professor Richard Frimpong Oppong and Justice Sophia Rosetta Oduokuwa Semasko Essah—whose appointments are essential to the effective functioning of the Judiciary and other essential legislation have been left unresolved due to the Minority’s persistent obstructionism and refusal to permit the report to be tabled, let alone debated.
On the other hand, the Majority NPP wants these approvals completed before the mini-budget is presented to the House.

Uncertain Resolution Ahead of January 2, 2025
With Parliament set to reconvene on January 2, 2025, the deadlock remains unresolved.
It is unclear whether the NPP and NDC can reach an agreement before the potential shutdown.
Majority Leader Afenyo-Markin accused the NDC of deliberately obstructing the passage of critical bills, including the Free SHS Bill, which he claims was inexplicably removed from the agenda.
“Why are they against the Free SHS Bill? Why don’t they want it passed?” Afenyo-Markin questioned, alleging sabotage by the NDC MPs.
On the other hand, Minority Leader Dr. Cassiel Ato Forson criticized the absence of Finance Minister Dr. Mohammed Amin Adam, who has failed to present the mini-budget for five consecutive days.
According to Dr. Forson, the NPP’s inability to fulfill this mandate demonstrates a lack of goodwill during the transition period.
“In the spirit of a good transition, the outgoing president could have acted in good faith by bringing a proposal for the expenditure covering the first quarter of 2025. Instead, the government seems intent on leaving the public service unfunded,” Dr. Forson said.

Potential consequences
The stakes are high, with public services, fiscal stability, and the country’s political image hanging in the balance.
Without the mini-budget, the government risks running out of funds to sustain essential operations across ministries, departments, and agencies (MDAs).
This could disrupt public services, delay salaries for civil servants, and impede critical projects.
A shutdown would also strain the incoming NDC administration, forcing it to address urgent fiscal gaps immediately upon taking office.
This situation risks undermining the smooth transition of power and creating uncertainty in Ghana’s governance.

Afenyo-Markin’s case
The Majority Leader accused the NDC of fostering chaos and undermining national interests by refusing to cooperate on key legislative matters.
He cited the Minority’s unlawful and unprecedented takeover of the Majority benches in Parliament, an action that paralyzed parliamentary business for weeks.
This act of lawlessness not only violated the dignity and decorum of Parliament but also undermined the House’s ability to address essential matters of national interest.
Such conduct reflects a troubling disregard for the trust and responsibility entrusted to them by the Ghanaian people.
He highlighted the removal of the Free SHS Bill from the agenda as a deliberate attempt to frustrate the government’s efforts.
“This level of obstructionism is unprecedented,” he said, adding that the government had to reprint the order paper to include the Free SHS Bill.
Afenyo-Markin insists that the outgoing administration has made every effort to fulfill its constitutional mandate but has been met with resistance.

Dr Ato Forson’s response
Dr. Forson countered these claims, emphasizing that the NPP administration has failed to uphold its responsibilities during the transition period.
He pointed to the absence of the Finance Minister as evidence of the government’s disorganization.
“The outgoing administration’s failure to act in good faith reflects poorly on their commitment to ensuring a seamless transition. The NDC will, however, act promptly to address expenditure for the first quarter once in office,” Dr. Forson assured.

By Elvis Darko, Accra

BudgetNewscentaParliament
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