‘New Tax Increases Will Support Ghana Beyond Aid’

Dr. John Ampontuah Kumah

THE DEPUTY Finance Minister, Dr. John Ampontuah Kumah, says the government has proposed the passage of a number of new tax measures as part of the 2022 budget.

Based on the expectation of revenues from Electronic Transaction Levy (E-Levy) and other sources, budget allocation has been made to support road infrastructure development as well as improvement in public transportation, including purchase of high-capacity buses, he added.

Answering questions on the floor of Parliament on behalf of the Finance Minister, Dr. Kumah indicated that “the new taxes/tax increases would support the drive towards raising the tax-to-GDP ratio to align with our Ghana Beyond Aid target of 20% and also reduce the amount of borrowing required to meet our developmental obligations.”

The Member of Parliament (MP) for Nsawam-Adoagyiri, Frank Annoh-Dompreh, had asked the Minister of Finance how the 2022 budget would ensure that all the major issues of increased taxes, increased fuel prices and unmaintained roads which were raised during the course of 2021 would be tackled efficiently.

The Deputy Minister, responding, added that the ‘YouStart’ programme would also complement these policies and initiatives to promote entrepreneurial activities and provide jobs, particularly for the youth.

“Altogether, this is expected to lead to an increase in economic activities and contribute to the reduction in the cost of living as incomes are earned and output is produced,” he intimated.

BY Ernest Kofi Adu