Government shutdown imminent if provisional budget is not passed before December 7 - Terkper

A former Minister of Finance, Seth Terkper, has warned that if Ghana's parliament does not pass a provisional budget by December 7, 2024, it risks a government shutdown and a cut in spending in the new year.

Currently, it seems unlikely that parliament will be able to pass a provisional budget before the upcoming elections, which are just 5 days away.

Traditionally, the government was expected to pass a provisional budget in November during election years to maintain stability until the new president-elect takes office.

Quoted by the international news platform Reuters on December 1, 2024, Seth Terkper said, "We risk a government shutdown or, at best, reduced government spending from January."

According to him, the government may need to reduce interest payments and funding for the transition unless a budget is passed in December.

This would be the first time in over 30 years that Ghana has failed to pass a budget.

Parliament Impasse

Ghana's legislators have been on an indefinite break since October 23, 2024 due to a deadlock over four vacant seats.

The Supreme Court ruled that Speaker Alban Bagbin's declaration of the seats as vacant was unconstitutional.

Since then, the Speaker has refused requests to recall parliament, as it would disrupt campaign activities.

SSD/MA

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