Government has announced what it calls a “first step toward expenditure rationalisation” in the wake of the economic crisis raging in the country.
Finance Minister, Ken Ofori-Atta on Thursday, November 24 told Parliament government has approved the directives which take effect from January 2023.
Find the measures below as captured in the 2023 budget statement
• All MDAs, MMDAs and SOEs are directed to reduce fuel allocations to Political Appointees and heads of MDAs, MMDAs and SOEs by 50%. This directive applies to all methods of fuel allocation including coupons, electronic cards, chit systems, and fuel depots. Accordingly, 50% of the previous year’s (2022) budget allocation for fuel shall be earmarked for official business pertaining to MDAs, MMDAs and SOES;
• A ban on the use of V8s/V6s or its equivalent except for cross-country travel. All government vehicles would be registered with GV green number plates from January 2023;
• Limited budgetary allocation for the purchase of vehicles. For the avoidance of doubt, the purchase of new vehicles shall be restricted to locally assembled vehicles;
• Only essential official foreign travel across government including SOEs shall be allowed. No official foreign travel shall be allowed for board members.
Accordingly, all government institutions should submit a travel plan for the year 2023 by mid-December of all expected travels to the Chief of Staff;
• As far as possible, meetings and workshops should be done within the official environment or government facilities;
• Government-sponsored external training and Staff Development activities at the Office of the President, Ministries and SOEs must be put on hold for the 2023 financial year;
• Reduction of expenditure on appointments including salary freezes together with suspension of certain allowances like housing, utilities and clothing, etc.;
• A freeze on new tax waivers for foreign companies and review of tax exemptions for the free zone, mining, oil and gas companies;
● A hiring freeze for civil and public servants
● No new government agencies shall be established in 2023;
● There shall be no hampers for 2022;
● There shall be no printing of diaries, notepads, calendars and other promotional merchandise by MDAs, MMDAs and SOEs for 2024;
● All non-critical project must be suspended for 2023 Financial year
