The government has outlined plans to allocate GH¢357.1 billion for the 2026 financial year, Finance Minister Dr. Cassiel Ato Forson announced during the presentation of the 2026 Budget and Economic Policy to Parliament on Thursday, November 13.
Dr. Forson indicated that overall expenditure measured on a commitment basis has been set at GH¢302.5 billion for 2026. This represents 18.9 percent of Ghana’s GDP and marks a 20.1 percent rise compared to the revised 2025 estimate of GH¢251.7 billion, which amounted to 17.8 percent of GDP. He explained that the spending plan is designed to maintain fiscal discipline while channeling resources into priority investments such as infrastructure development, social support programmes, and human capital growth.
Primary expenditure, which excludes interest obligations, is projected at GH¢244.7 billion, equivalent to 15.3 percent of GDP. Compensation for public sector employees covering wages, pensions, gratuities, and employer social security contributions is expected to hit GH¢90.8 billion, or 5.7 percent of GDP. This reflects the agreed 9 percent increase in base pay for workers on the Single Spine Salary Structure.
Spending on goods and services has been set at GH¢13.2 billion (0.8 percent of GDP), aimed at improving operational efficiency within Ministries, Departments, and Agencies. Meanwhile, transfers to statutory funds such as GETFund, the National Health Insurance Fund (NHIF), and the District Assemblies Common Fund (DACF) are projected to total GH¢63.6 billion, representing 4.0 percent of GDP.
Interest payments are expected to amount to GH¢57.7 billion (3.6 percent of GDP). Of this total, GH¢50.1 billion will service domestic debt, while GH¢7.6 billion will go toward external debt obligations. The Minister added that ongoing debt restructuring and liability management reforms should gradually ease the cost of borrowing.
Government’s capital spending for the year is estimated at GH¢57.5 billion, representing 3.6 percent of GDP. This includes GH¢45.5 billion from domestic sources with GH¢15.5 billion allocated to MDAs and GH¢30 billion earmarked for the Big Push Infrastructure Programme and an additional GH¢12 billion expected from external project loans and grants.
Other statutory and sector-related expenses, including payments to Independent Power Producers and ESLA-related transfers, are projected at GH¢19.7 billion or 1.2 percent of GDP.
