The implementation of the 2026 Budget has, so far, demonstrated a stronger commitment to fiscal discipline than in previous years. Under the recently concluded IMF Extended Credit Facility (ECF) programme, the Ministry of Finance has tightened expenditure controls through stricter commitment authorisation, enhanced budget oversight, and expenditure rationalisation.
The implementation of the 2026 Budget has, so far, demonstrated a stronger commitment to fiscal discipline than in previous years. Under the recently concluded IMF Extended Credit Facility (ECF) programme, the Ministry of Finance has tightened expenditure controls through stricter commitment authorisation, enhanced budget oversight, and expenditure rationalisation. These measures have contributed to improving macroeconomic stability, slowing inflation, and supporting relative price stability.
However, this fiscal restraint has also had unintended consequences. Some public institutions have reported delays in budget releases, limiting their ability to implement programmes, undertake capital expenditure, and deliver essential public services. While fiscal discipline remains necessary, it should not compromise the operational effectiveness of institutions or delay critical development projects.
For the Mid-Year Budget Review, I expect Government to maintain fiscal consolidation while providing adequate operational and capital funding for priority sectors. Job creation should remain central, particularly through the effective implementation of the 24-hour economy, with the private sector leading the initiative and receiving appropriate incentives. I also expect stronger policy measures to address illegal mining (galamsey), given its economic and environmental implications.
I do not expect, nor do I support, the introduction of new taxes or tariff increases. Instead, Government should focus on strengthening tax administration, improving compliance, broadening the tax base, and rationalising tax expenditures. Enhancing the ease of tax payment and reducing leakages will generate sustainable domestic revenue without placing additional burdens on households and businesses.
