- July 7, 2022
- Posted by: Charles Yeboah Nixon
- Categories: Economics, Finance, Forex, Grants
Former Finance Minister, Seth Terkper, is calling for more detailed public reporting of COVID-19 spending, saying, failure to do so contradicts the Public Financial Management Act.
According to him, lack of adequate reporting from COVID-19 expenditure could affect government negotiations with the International Monetary Fund.
Speaking at a recent Media Dialogue on “Ghana Goes to the IMF – What Does it Involve”, Mr. Terkper said transparency and accountability is the order of the day.
“The limited reporting on COVID-19 related exceptional expenditure hampers transparency. The disclosure of information is necessary”, he added.
To him, accounting for COVID-19 expenditure is vital because it enhances a country’s credibility.
“This is important because we have been talking about accountability for COVID-19 leading to appearance in parliament. So we will say it’s been lingering for the past year”.
Ghana can avoid IMF if it keeps more money in Petroleum Fund
Meanwhile, Mr. Terkper said Ghana could avoid resorting to the International Monetary Fund (IMF) for bailouts, if it keeps enough money in the Petroleum Fund.
According to him, if more revenue had been accrued in the Fund through Value Added Tax (VAT) and petroleum revenues, Ghana would not have to seek the IMF’s assistance after exiting the last programme in 2018.
Mr. Terkper said “we shot ourselves in the foot by not remaining faithful with the Petroleum Revenue Management Act, and its provisions, which is the structure that other countries put in place together with other initiatives and that’s the way forward.”