The Ministry of Finance has sighted a release by the Africa Centre for Energy Policy (ACEP), accusing Government of “abuse of the fiscal discipline provided in the Petroleum Revenue Management Act, 2011 (Act 815)”. In the release, ACEP accuses Government of using moneys from the excess over the cap on the Ghana Stabilisation Fund (GSF) to “finance expenditure contrary to the provisions of the Petroleum Revenue Management Act”. (June 02, 2014)
During the presentation of the 2014 Budget, Government announced its intention to a) diversify its sources of funding (b) change the maturity profile of the public debt by financing capital expenditures with long-term debt and (c) refinance expensive domestic debt with cheaper sources of funds.
In line with this, Government sought and obtained Parliamentary approval to issue a $1 billion Eurobond in 2014 for capital expenditures in the Budget, counterpart funding for pipeline projects and the refinancing of domestic and external debt. (May 30, 2014)