ABSTRACT
This chapter evaluates the success of adjustment in Ghana with particular reference to fiscal policies: tax and expenditure reforms and their relationship to other macroeconomic indicators such as savings and investment. It attempts to assess Ghana's fiscal policy in the context of efficacy of mobilization of resources for development. The chapter offers an appraisal of the impact of fiscal adjustment as reflected in changes in major. It discusses the changing nature of the trends in the fiscal indicators under the Structural Adjustment Program. One policy measure that has been at the core of Ghana's financial and structural adjustment has been fiscal management. Macroeconomic stabilizing, price and foreign exchange deregulation, as well as financial sector reform policies have succeeded in bringing about a substantial reduction in the black market activity. The reform of the indirect tax paved the way for petroleum tax to assume new significance in the tax structure.
