Government To Spend GH¢119.62bn On Compensation And Interest Payments In 20241 min read
The government will spend about GH¢119.621 billion on Wages and Salaries as well as Interest Payments in 2024.
According to the 2024 Citizens Budget by the Finance Ministry, this will represent 52.7% of the expected total expenditure of about GH¢226.68 billion.
The biggest is Compensation which is estimated at GH¢63.68 billion, whilst Interest Payments (GH¢55.93 billion) follows suit. The interest payments will be spent on domestic loans.
About GH¢39.58 billion Grants to other Government Establishments is the third largest expenditure for this year.
It is followed by Capital Expenditure of GH¢28.72 billion. Other expenditures constitute GH¢27.69 billion, whilst Goods and Services make up GH¢11.06 billion.
The Total Expenditure for this year constitutes 21.6% of Gross Domestic Product (GDP).
Primary Expenditure which is expenditure less interest payments is projected at about GH¢170.7 billion, approximately 16.2% of GDP.
Meanwhile, based on the estimates for Total Revenue and Grants and Total Expenditure (commitment), the projected overall balance on a commitment basis is a deficit of GH¢50.1 billion.
The corresponding Primary balance on a commitment basis is however a surplus of GH¢5.7 billion, equivalent to 0.5% of GDP.
