Government will amend the Public Financial Management (Amendment) Act, 2025 (Act 1136) to reduce the statutory primary balance floor from 1.5 percent of Gross Domestic Product (GDP) to 0.5 percent from 2027, Finance Minister Dr. Cassiel Ato Forson told parliament yesterday in the 2026 Mid-Year Fiscal Policy Review.
The change was agreed with the international Monetary Fund (IMF) as part of the 36-month policy Coordination Instrument (PCI) that replace the Extended Credit Facility (ECF) programme and be submitted to the House as a bill accompanying the 2027 budget.
