50% cut in fuel allocation for political appointees activated

President announces expenditure cuts to mitigate economic hardships

Salaries of government appointees to be slashed by 30%

Salary cuts to begin from April 1

As part of measures to deal with the current economic hardships, government announced, a number of measures including salary cuts and slash in fuel allocation for members of the Executive arm of government.

The fuel allocation slash pegged at 50% has been activated along with a 30% cut in salaries of the Executive and some top appointees.

In an April 19, 2022 letter from the Chief of Staff, Akosua Frema Osei-Opare, to the Controller and Accountant General, the double measures were to take effect from 1st April.

The letter titled 'Expenditure Rationalization Measures,' said all Ministries, Departments and Agencies; Metropolitan, Municipal and District Assemblies, and State Owned Enterprises should reduce fuel allocations to political appointees and heads of MDAs, MMDAs, and SOEs by 50% with effect from 1st April, 2022.

The letter continued: "This directive applies to all methods of fuel allocation, including Coupons, Electronic Cards, Chit Systems, and collection from fuel depots."

The portion relative to salary cuts read; “The Controller and Accountant General Department and the Chief Executives of State-Owned Agencies (SOEs) are directed to deduct at source 30 percent of the salaries of ministers of states (including Deputy Ministers), District Chief Executives of MMDAs, Chief Executive officers and Deputy Chief Executive officers of SOEs with effect from 1st April to December 2022 and pay some into the consolidated fund.”

President Akufo-Addo noted that government is capable of implementing home-grown solutions to the current economic challenges of the country.

“It is no secret that our economy is going through difficult times. It is also no secret that we are not alone in that exercise.

“The many of the phenomena that we are facing are phenomena that are apparent in many other parts of the world but that doesn’t therefore mean that government is impotent in trying to find solutions,” the President said.

Read the full statement below: