Govt slashes fuel allocation of political appointees, heads of MDAs, MMDAs, SOEs by 50%


Govt slashes fuel allocation of political appointees, heads of MDAs, MMDAs, SOEs by 50%

Ministries, Departments and Agencies (MDAs), Metropolitan, Municipal and District Assemblies (MMDAs) and State Owned Enterprises (SOEs) have been directed to reduce fuel allocations to political appointees and their heads by 50 percent.

The directive which was approved by government and announced in parliament during the presentation of the 2023 budget statement by Finance Minister, Ken Ofori-Atta aims towards expenditure rationalisation to get the country back to pre-pandemic macrostability.

“This directive applies to all methods of fuel allocation including coupons, electronic cards, chit system, and fuel depots. Accordingly, 50% of the previous years (2022) budget allocation for fuel shall be earmarked for official business pertaining to MDAs, MMDAs and SOEs,” Mr. Ofori-Atta told Parliament during his presentation on Thursday, November 24, 2022.

The finance minister also announced a ban on the use of V8s/V6s or its equivalent except for cross country travel, adding that all government vehicles would be registered with GV green number plates from January 2023.  He also noted that there will be a limited budgetary allocation for the purchase of vehicles and that the purchase of new vehicles shall be restricted to locally assembled vehicles.

On travels, he said only essential official foreign travel across government including SOEs shall be allowed and that no official foreign travel shall be allowed for board members. “Accordingly, all government institutions should submit a travel plan for the year 2023 by mid-December of all expected travels to the Chief of Staff,” he stated.

“Government cares deeply about our people, and is very much concerned about their current plight and the future of our country. The 2023 Budget has been prepared with high consideration for the aspirations of Ghanaians and the brighter prospects of our economy to transition into Upper Middle Income within a decade. It reflects our determination and resolve to confront the current daunting economic challenges facing our nation head-on and reset the economy,” he stated.

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