The 2025 Ghana Budget has introduced a range of policies aimed at reducing the cost of living, boosting economic growth, and improving social welfare. These measures directly benefit individuals, businesses, and communities across the country.
Here are the top 10 key takeaways from the finance minister's budget that Ghanaians will be excited about
1. Abolition of "Nuisance Taxes"
The government has scrapped several controversial taxes that have burdened citizens and businesses. These include:
a. The 10% betting tax
b. The 1% Electronic Levy (E-Levy)
c. The emission levy on vehicles
d. VAT on motor vehicle insurance
e. 1.5% withholding tax on small-scale gold mining winnings
By eliminating these taxes, the government aims to boost economic activity, encourage entrepreneurship, and provide financial relief to ordinary Ghanaians.
2. Free Tertiary Education for PWDs & No First-Year Academic Fees
In a groundbreaking move, the government has introduced free tertiary education for Persons with Disabilities (PWDs). Additionally, first-year students in public tertiary institutions will have their academic fees waived.
This initiative makes higher education more accessible and ensures that financial barriers do not prevent students from pursuing their dreams.
3. Free Sanitary Pads for Schoolgirls
To promote menstrual health and ensure that girls do not miss school due to a lack of sanitary products, the government has allocated GHS 292.4 million for the provision of free sanitary pads to female students in primary and secondary schools. This initiative is expected to enhance school attendance and boost female education outcomes.
4. Increased Funding for School Feeding & Capitation Grant
The school feeding budget has been increased by 33%, raising the cost per meal per child from GHS 1.50 to GHS 2.00. Additionally, the Capitation Grant has been raised by 73.2%, ensuring more funds for basic education. These measures aim to improve nutrition among schoolchildren and ease the financial burden on parents.
5. Uncapping of Road Fund & GETFund
To accelerate infrastructure development, the government has fully uncapped the Road Fund, increasing its allocation to GHS 2.81 billion for road maintenance and construction. Additionally, the GETFund has been uncapped, ensuring full funding for the Free Senior High School (SHS) program. This guarantees continuous investment in both roads and education.
6. Introduction of the 24-Hour Economy Policy
A major initiative in the 2025 budget is the 24-hour economy policy, designed to create jobs and increase productivity by encouraging businesses to operate in three shifts across 24 hours. This policy will:
a. Enhance employment opportunities
b. Boost industrial production
c. Improve service delivery
d. Increase economic output
7. GH₵7.51 Billion for District Assembly Common Fund (DACF)
The government has allocated GH₵7.51 billion to the District Assembly Common Fund (DACF), with at least 80% of the funds directly supporting local districts. This move strengthens decentralization, improves local governance, and fosters economic growth at the grassroots level.
8. GH₵1.5 Billion for Women’s Development & Entrepreneurship
Women entrepreneurs and small business owners will benefit from GH₵1.5 billion dedicated to women’s development and economic empowerment. Key components include:
a. GH₵51.3 million to establish a Women’s Development Bank
b. GH₵300 million for a National Apprenticeship Program
c. Funding support for female-led startups and businesses
This initiative is expected to drive gender equality in business and promote women’s financial independence.
9. Lower Treasury Bill Rates
The government has successfully reduced the 91-day treasury bill rate from 28.19% to 17.72%. This means:
a. Lower borrowing costs for businesses and individuals
b. Increased investment opportunities
c. Improved business confidence
By making credit more affordable, the government aims to spur economic growth and investment.
10. Job Creation through the "Big Push" Infrastructure Program
The Big Push Infrastructure Program will receive GHS 13.85 billion to build roads, schools, hospitals, and markets. This ambitious initiative is expected to:
a. Create thousands of jobs in construction and related industries
b. Improve transportation networks
c. Enhance healthcare and education facilities
d. Boost local economies
Conclusion: A Budget for Growth and Relief
The 2025 Ghana Budget presents a proactive and people-centered approach to economic growth and social development.
By eliminating nuisance taxes, investing in education, improving infrastructure, and supporting local businesses, the government is positioning Ghana for sustainable progress and prosperity.
What do you think about these initiatives?
Share your thoughts in the comments and let others know how these policies will impact you!
