2026 budget: It’s not sufficient to present a whole budget without appropriate metrics on poverty reduction – Bokpin
A Professor at the University of Ghana Business School, Godfred Bokpin has said that it is not sufficient to present a whole budget without appropriate metrics on poverty reduction and narrowing inequality.
He made the point that the budget statement should contain the details on the metrics.
“It’s not sufficient to present a whole budget without appropriate metrics on poverty reduction and narrowing inequality,” he said on the Key Points on TV3 Saturday November 15.
Prof Godfred Bokpin further said that economic management is not something that is done in the short term.
He says it is a marathon of a journey, hence there should be no need for aggression.
“Economic management is not a 100-meter journey, it is a marathon, that is why I will ask the Bank of Ghana to be less aggressive, this is not a hundred-meter journey, it is a marathon,” he said on the Key Points on TV3 Saturday, November 15.
Prof Godfred Bokpin also projected that the current government will be able to exit the programme with the International Monetary Fund (IMF) successfully.
He commended the government in terms of the approach to the economic recovery. He asked President John Mahama to set a marking scheme that future governments will make reference to.
“We have enough data from the way we manage our affairs, especially when there is a regime change. President Mahama has an option not to go the way of Akufo-Addo, he should set a new marking scheme for the future to refer to. They are going to exit successfully, ” he said on the Key Points on TV3 Saturday, November 15.
Prior to his comment, the Finance Minister, Dr Cassiel Ato Forson, had accused the previous New Patriotic Party (NPP) administration of lacking financial discipline when in office.
He also noted that the NPP administration lacked the political will and prudent economic management.
“Prudent management and political will are what have helped to turn the tide. The NPP didn’t have it. All that Nthe PP needed to do was to be disciplined; unfortunately, they did not do that. We are ready to make a difference, and we are doing that,” he said on the Key Points on TV3 Saturday, November 15.
His comments come at a time the Minority in Parliament has criticised the Mahama administration over how the economy has been managed so far.
For instance, Former Finance Minister Dr Mohammed Amin Adam has said that the Finance Minister, Dr Cassiel Ato Forson, conveniently failed to mention the ‘disastrous auction performance’ throughout 2025 during the presentation of the 2026 budget statement in Parliament on Thursday, November 14.
Dr Amin Adam said that market participants have delivered a devastating verdict on the administration’s economic management through their systematic avoidance of government securities.
Out of 45 auctions conducted this year, he said, an unprecedented 25 have failed outright, a failure rate exceeding 55% that reveals not just market scepticism but active rejection of government paper.
“Investors are voting with their feet and their capital, demonstrating a clear preference for short-term instruments over any long-term commitments to a government they no longer trust in just 10 months now since they assumed office. This pattern of auction failures has created a vicious cycle: each failed auction forces the government to rely more heavily on expensive short-term borrowing, which in turn increases rollover risk and further undermines investor confidence. The cumulative shortfalls of GH¢17.5 billion represent not just a financing gap but a vote of no confidence in the government’s ability to manage the economy sustainably,” he said.
He added that the stock market’s reaction during this budget presentation week provides additional damning evidence of this confidence crisis. This week, the GSE Composite Index fell by 0.69%.
“In comparison, the Financial Stocks Index dropped by 0.12%, a decline that occurred precisely when the market should have been rallying on the government’s supposedly positive economic news. This timing is no coincidence; it reflects sophisticated investors’ assessment that the budget promises of this Government lack credibility and implementation capacity. When more than half of the auctions in a single year fail, it is not the market that is broken; it is the government’s credibility that has collapsed.
“Banks and financial institutions, traditionally the backbone of domestic financing, are increasingly reluctant to extend credit to a government that cannot honour its commitments. This credit crunch cascades through the economy, starving productive sectors of necessary capital and perpetuating the cycle of economic stagnation.”
