Akufo-Addo vows to push through passage of E-levy to fill revenue gaps
President Nana Akufo-Addo has said his government is determined to push through the E-levy to fill what he describes as revenue gaps in the budget.
When passed, the Bill will charge a levy of 1.75 percent on all electronic transactions.
Government is, however, struggling to pass the controversial bill due to strong opposition from the National Democratic Congress (NDC)’s Minority.
Addressing a delegation of traditional leaders from Dzodze in the Volta region on Tuesday, the Mr. Akufo-Addo said the government will push through the bill, despite the opposition.
He stressed the outbreak of the coronavirus pandemic forced the government to undertake unplanned expenses to ensure that the economy does not collapse.
“Revenues during 2020/2021 went down considerably because of the slowing down of the economic activities that came from the Covid. At the same time, government, in order to keep the country going, did some expenditures – the free water, the free electricity were the unavoidable expenses that government had to make.”
“These are the efforts that we are now making which are being resisted by the opposition and that is the reason it has become necessary for us to use these measures like this famous tax which has caused so much unnecessary disputation; but nevertheless, we would continue.”
“I am determined to persevere to make sure that we find the means to address some of the issues,” he said.
The country’s limited access to international financial aid and assistance has significantly contributed to the current status of the economic situation.
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It is part of the reasons the government seeks to resort to internal and domestic revenue mobilisation measures, including the introduction of the controversial Electronic Transactions Levy (E-levy).
According to President Akufo-Addo, “we, ourselves, will have to find the money for our development.”
The E-levy has been a bone of contention between the Majority and Minority groups in Parliament since its introduction during the presentation of the 2022 budget statement and economic policy.
While the Minority are against it, the Majority side has declared their support and intention to ensure its passage, arguing that, the country has no other option but fall on the E-levy to raise the required funds to support the country’s development.
Source: Ghana News
