President-elect John Dramani Mahama has provided insight into why his administration will not be able to immediately fulfill the campaign promise to abolish the E-Levy and other taxes. According to Mahama, the delay is due to binding agreements with the International Monetary Fund (IMF), established by the outgoing government. These agreements limit the new administration’s ability to make abrupt changes to the tax structure.
During his campaign, Mahama pledged to review and potentially eliminate the controversial E-Levy, a move that was met with widespread approval from Ghanaians burdened by the tax. However, in his recent address, Mahama explained that his hands are tied in the short term due to commitments that the previous administration made with international financial bodies. These commitments ensure the country’s fiscal policies remain stable, which is crucial for maintaining the ongoing support and trust of international partners like the IMF.
Mahama stressed that although immediate changes aren’t possible, his government remains committed to addressing the concerns of Ghanaians. He outlined plans to explore alternative revenue-generating avenues that would not disproportionately impact the average citizen. Additionally, Mahama promised a comprehensive review of the current tax system to ensure it is equitable and efficient.
The E-Levy has been a hot-button issue since its introduction, with critics arguing that it imposes an unfair burden on ordinary Ghanaians, especially those relying on digital transactions. Mahama’s initial stance against the levy played a significant role in his campaign, making the recent announcement a point of contention for some of his supporters.
The president-elect reassured the public that despite the constraints, his administration is dedicated to making fiscal policy adjustments that reflect the needs and expectations of the people. He urged patience and understanding as his government works within the constraints imposed by existing agreements to bring about the promised changes.
Source : m.dailyadvent.com
