Economist Prof. Patrick Asuming has urged the government to scrap the controversial electronic levy (e-levy) at the earliest opportunity, describing it as “disruptive and unproductive.”
Speaking on ABC in the Morning, he emphasized that the tax generates minimal revenue while imposing significant costs on businesses.
“It gives us so little and costs businesses so much to collect. I think that one should go without a blink,” he stated.
Prof. Asuming also called for reinforcing the betting tax instead of removing it, cautioning against the normalization of betting among the youth.
“Encouraging betting among the youth is not the way we want to go. That’s not how to run our economy. The betting tax should be strengthened and not removed,” he argued.
However, he stressed that removing the e-levy alone is not a comprehensive solution, urging the government to provide clear alternatives.
“It’s not enough to scrap the tax. Explain to us how you are going to plug that hole,” he said.
As Ghana transitions into the second term of President John Dramani Mahama, Prof. Asuming advised the government to focus on three key areas—agriculture, energy, and governance reforms—to drive economic recovery.
The call comes on the heels of President Mahama’s inaugural speech, where he outlined his administration’s priorities, including economic restoration, business environment improvement, and accountability.
Former President Akufo-Addo, in his final address, assured that the economy is stable, with Gross International Reserves of nearly $8 billion and projected 2024 growth at 6.3%.
With economic stability as a critical goal, experts like Prof. Asuming are urging deliberate fiscal reforms to ensure sustainable growth.