Dr. Mohammed Amin Adam
Former Finance Minister, Dr. Mohammed Amin Adam, has launched a scathing attack on the 2026 Budget, describing it as economically incoherent, fiscally unrealistic and a document that “promises much but delivers nothing.”
Contributing to the budget debate in Parliament yesterday, Dr. Amin Adam said investor sentiment toward the economy had deteriorated sharply, contrary to the government’s self-congratulatory tone.
He revealed that out of 45 Treasury bill auctions conducted since January, 25 failed, a 55 percent failure rate that he said signals “a collapse in confidence in the management of the economy.”
More worrying, he noted, was that two days after the budget presentation, the market rejected 30 percent of the government’s treasury instruments. “That is a vote of no confidence in the economy by investors,” he stressed.
Inflation Numbers ‘Mask Hardship’
While the government touted single-digit inflation as a sign of recovery, the former minister argued that the figures conceal severe hardship at the household level.
Citing data from the Ghana Statistical Service, Dr. Amin Adam said inflation for essential items had surged far above national averages.
According to him, water inflation rose from 2.8 percent in September 2024 to 3.6 percent this year, milk and eggs jumped from 8.6 percent to 20.1 percent, and cooking oil inflation skyrocketed from 7 percent to 44 percent, hitting 53 percent in August.
“Behind this single-digit inflation is a real struggling economy depriving people of decent livelihoods,” he said.
Critique of Government Priorities
The Minority MP accused the government of abandoning its social democratic values by prioritising the purchase of “luxury aircraft” while urging citizens to tighten their belts.
He criticised the announcement that government will acquire two executive jets, four helicopters and a vessel in 2026, saying conservative estimates put the cost at US$1.2 billion.
“At a time when workers are suffering, farmers are struggling, and teachers are barely coping, this government wants to buy helicopters and executive jets,” he said.
‘Budget Cannot Create Jobs or Growth’
Dr. Amin Adam argued that the proposed 3.6 per cent of GDP capital spending in 2026 is insufficient to stimulate growth, especially when compared to 4.6 per cent in 2024.
“Capital investment is too low to build long-term economic sustainability. This budget cannot produce the growth or jobs Ghanaians need,” he said.
He questioned the government’s growth projections, noting that while the economy reportedly expanded by 6.3 percent in the first half of 2025, full-year growth is projected at 4.8 percent, the same rate forecast for 2026.
“The maths does not match the message. There is no economic logic to support this,” he argued, suggesting the numbers may be understated or that the government is concealing serious risks.
Revenue Targets ‘Unrealistic’
The former minister said the government’s revenue projections were unachievable, describing them as built on “behaviour change, enforcement miracles and administrative strength that do not exist.”
With revenue and grants at GH¢154.9 billion, 11.1 per cent of GDP, by September, he said the government would need GH¢71 billion in the final quarter to hit its target.
“This is not proper forecasting. This is wishful arithmetic,” he told Parliament.
By Ernest Kofi Adu, Parliament House