- March 17, 2021
- Posted by: Ato
- Category: Economics
Public sector workers looking forward to a huge wage increment will not get it because the Finance Ministry says there is simply no money to meet such demands.
And indeed this situation is likely to persist until 2024 as the Technical Adviser at the Ministry Dr Samuel Nii Noi Ashong called on the country to tighten its belt for harder times.
He disclosed this while contributing to a discussion on the budget organised by the Ghana National Chamber of Commerce and Industry (GNCCI), Wednesday.
“If you look at the Budget, Covid-19 is not expect to abate until the end of 2023 and we’re all looking to be tightening our belts for a while and people should not be expecting huge wage increases in the course of the next few years. This is because we don’t have money to pay for it.
“You’ll realise that between wages and compensations for employees and all the mandated revenues from National Health Insurance and the rest is not enough to pay for wages and salaries,” he said.
The government is projecting to collect ¢72 billion in revenue for the 2021 fiscal year but 90 percent of the money will go into interest payment on loans and compensation leaving virtually nothing for development.