Citi FM Roundtable Series?on the 2014 budget has ended with?the Institute of Economic Affairs, IEA, expressing fear that??the government’s 2014 budget target for non-oil growth will not be attained.

Dr. J. Kwakye
Dr. J. Kwakye

Making a presentation at the forum, an Economist at the IEA, Dr. J. Kwakye said government’s?target for the non oil growth is pegged at 7.4 percent for next year,while that for growth with oil is 8.5 percent,?believing??that government’s target for economic growth with oil is attainable.

For him, the 7.4 percent was too high, and will be difficult for government to achieve the set target. He explained that, there are many uncertainties in commodity prices and the country’s agric sector, which, serve as contributing factors against the materialization of the target. “These?outlooks will not make the target attainable.”

Dr. Kwakye also said government’s inflation, import cover and revenue targets are also not ambitious, adding that??inflation ?must be addressed to tackle challenges that keep pushing it up.?

According to him, if petroleum, utility and food prices which are the major cause of rise in inflation are tackled ., government can make some headways.

On import cover he says though government has increased it’s target for next year it is not ambitious, making a strong case that government’s target is to have four months of import cover by 2014, showing clearly that government has never gone beyond 3 months.

The budget sessionwas aimed at giving participants and listeners??deeper?understanding of government?s plans in the 2014 budget and to examine their key micro and macro economic implications.?

The discussion interrogated new initiatives introduced in the 2014 budget which was presented by Finance Minister, Seth Tekper, early this week.

The Finance Minister, Seth Tekper, took turns to react to some issues raised by presenters and as well answer questions from participants.

He expressed the hope that government will take into cognition some identified areas in the budget and for address.

 

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