Finance Minister, Ken Ofori Atta says total expenditure for 2022 will be GH¢128.3 billion representing 25.8% of Gross Domestic Product (GDP) in 2022.
The amount which includes payments for the clearance of arrears is also forecasted to lead to an expenditure of GH¢135.6 billion (24.1% of GDP) in 2023, and GH¢157.1 billion (22.1% of GDP) in 2025.
Reading the 2022 Budget Statement in Parliament Wednesday, Mr. Ofori Atta said combined resources available for goods and services, COVID-19-related expenditures and Domestically Financed CAPEX amount to GH¢12.5 billion in 2022.
Meanwhile, he also announced that payments to Independent Power Producers (IPPs) is projected at US$1 billion per year.
Already, government owes IPPs some GHS 1 billion which has been linked to power challenges because of constraints on power generation and distribution.
A year ago, the Chamber of Independent Power Producers, Distributors, and Bulk Consumers threatened to withdraw services to the Ghana Grid Company (GRIDCo) over these debts, therefore if the projections are anything to go by, there would be some stability in the power sector.