The New Patriotic Party (NPP) has unveiled plans to establish an Office of Management and Budget (OMB) in Ghana, aiming to enhance the effectiveness and efficiency of the Ministry of Finance in ensuring long-term economic resilience.
This commitment is outlined in section 3.1.2 (page 40) of the NPP’s 2024 Manifesto.
Inspiration from the United States
The concept of OMB is not new, as the United States established its own OMB in 1970, 194 years after independence. President Richard M. Nixon’s administration created the OMB to oversee fiscal policy, budget preparation, and budget execution.
Key Functions of Ghana’s OMB
Ghana’s OMB will be responsible for:
– _Producing the President’s budget_ to parliament, instead of the Minister of Finance
– _Examining effectiveness_ of government programs, policies, and procedures
– _Coordinating inter-agency policy formulation_ and initiatives
– _Supervising executive branch agencies_
– _Assessing competing funding sources_ and setting priorities
– _Overseeing procurement, financial management, and regulatory policies
Structure and Staffing
The OMB will be modeled after the Central Bank of Ghana, with leadership staff comprising presidential appointees confirmed by parliament.
The OMB will employ around 500 professionals, including economists, accountants, strategists, statisticians, and communication experts.
Benefits for Ghana’s Economy
By establishing the OMB, the Ministry of Finance will focus on managing financial resources more effectively. The OMB will also:
– Reduce unnecessary burdens on the public purse
– Improve government administrative management
– Develop better performance measures
– Coordinate government mechanisms
NPP’s Economic Growth Targets
The next NPP government, led by Dr. Mahamudu Bawumia, aims to sustain and expand Ghana’s rebounding economy, targeting 6% average economic growth over the next four years.
Previous Economic Achievements
Under President Nana Akufo-Addo and Dr. Mahamudu Bawumia’s leadership, Ghana’s economy has grown from US$56 billion in 2016 to US$75 billion in 2023.
Commitment to Macroeconomic Discipline
Dr. Bawumia’s government will prioritize macroeconomic discipline, stability, and the independence of the Bank of Ghana, as mandated by Act 612 (2002).
The establishment of the Office of Management and Budget is poised to be a game-changer in upgrading Ghana’s economy and management.
-BY Daniel Bampoe