The 2025 Ghanaian budget, presented by Finance Minister Dr. Ato Forson, prioritizes social welfare, education, and economic revitalization through strategic investments and policy adjustments. A significant allocation of GH¢13.85 billion is earmarked for the “Big Push” program, designed to stimulate economic activity and create jobs. Furthermore, recognizing the importance of education, GH¢499.8 million is allocated for a “No-Fees-Stress” initiative, eliminating academic fees for first-year public tertiary students. The budget further tackles social inequality by earmarking GH¢292.4 million for free sanitary pads for primary and secondary school girls, directly addressing issues of access and affordability that often disproportionately affect female students.
The government addresses concerns surrounding free secondary education by securing dedicated funding. The GETFund will be uncapped through amendments to the Capping and Realignment Act and the GETFund Act. This provides GH¢4.1 billion in additional funding for free secondary education and free tertiary education for Persons with Disabilities (PWDs). This significant investment, combined with the absorption of existing debt service from the Daakye bond, underscores the government’s commitment to providing quality education for all. Furthermore, GH¢564.6 million is allocated for free textbooks for kindergarten, primary, and junior high students, complementing the broader educational investment strategy.
The 2025 budget also focuses on enhancing social safety nets, including the School Feeding Programme, Capitation Grant, and the Livelihood Empowerment Against Poverty (LEAP) program. The School Feeding Programme sees a substantial increase in allocation, from GH¢1.344 billion to GH¢1.788 billion, a 33% rise reflecting a per-meal cost increase. The Capitation Grant also receives a substantial boost, increasing by 73.2% to GH¢145.5 million. The LEAP program will benefit from a 30.8% budget increase to GH¢953.5 million, accommodating an increase in beneficiary households to 400,000 and inflation-indexed benefits. This multi-pronged approach aims to alleviate poverty and improve overall well-being, particularly for vulnerable populations.
Healthcare is another key priority, with the uncapping of the National Health Insurance Levy (NHIL) generating GH¢9.93 billion for the National Health Insurance Scheme (NHIS). This funding will support claim payments, essential medicines, vaccines, free primary healthcare, the Ghana Medical Care Trust (MahamaCares), and address a USAID financing shortfall. These allocations signify a commitment to strengthening the healthcare system and expanding access to quality healthcare services for all citizens.
Beyond social programs, the budget addresses infrastructural development and economic growth through investments in critical sectors like transportation, agriculture, and local governance. The Road Fund receives a massive 155.5% increase, reaching GH¢2.81 billion, dedicated to road maintenance. Local empowerment is promoted through a GH¢7.51 billion allocation to the District Assembly Common Fund (DACF), with a proposed 80% minimum direct disbursement to District Assemblies ensuring greater local autonomy and promoting grassroots development. Furthermore, agriculture receives a GH¢1.5 billion boost for the Agriculture for Economic Transformation Agenda (AETA), supporting programs like Feed Ghana, Ghana Grains Development Project, Vegetable Development Project, and Nkokor Nketenkete.
Beyond the large-scale investments, the budget also allocates funds to specific initiatives aimed at empowering specific demographics and fostering technological advancements. The establishment of a Women’s Development Bank receives seed funding of GH¢51.3 million, demonstrating a commitment to empowering women economically. Skill development and innovation are supported with GH¢300 million for the National Apprenticeship Programme and GH¢100 million each for the ‘Adwumawura’ Programme and the National Coders Programme. These targeted programs underscore the government’s focus on building human capital and promoting technological proficiency. Additionally, recognizing the importance of local governance, GH¢100 million is allocated for monthly allowances for Assembly Members. Finally, the budget addresses disaster relief with an allocation for supporting victims of the Akosombo dam spillage and the tidal wave disaster in Ketu South, demonstrating the government’s responsiveness to unforeseen crises and commitment to supporting affected communities. The budget reflects a government focused on using fiscal policy to drive development through targeted investments and policy adjustments.
