An Economist, Prof Godfred Bopkin, has rated the 2023 Nkabom Budget as unsatisfactory.
He explained the government failed to give Ghanaians an honest update on the state of the economy.
”I will say I was disappointed, but not surprised. I’m disappointed because we are on course to create a financially repressed society.
“They created the impression that what independent-minded people were putting out there was not true. They created the false confidence and hope, that things weren’t as bad as the data suggested,” he said on JoyNews’ AM Show.
Prof Bokpin further added that the government’s supposed ‘interventions to stabilise the economy’ are unidentifiable. This, he argued made the economic prospects of the country bleak, adding that “I fear for Ghana”.
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He explained that, “private sector competitiveness would be undermined, as the country goes deeper into the implementation of the African Continental Free-Trade Area. And as a result of the government’s failure, the populace will have to bear the consequences.”
Prof. Bopkin also criticised government’s decision to increase Value Added Tax (VAT), and argued that government could have explored efficiency within the tax size.
He said that the increment would be a drawback that would rather restrict growth.
“It will contribute to a high productive cost base of doing business and defeat every attempt to build savings mobilisation.
“If you look at it effectively, the implications of the VAT and the treatment of the straight levies effectively puts burden on the consumer in excess of 20 per cent.”