A leading member of the ruling New Patriotic Party (NPP), Gabby Otchere Darko says the much-hated electronic transaction levy (E-levy) is only generating 10 percent of estimated income after its implementation.
Mr. Otchere-Darko lamented the low revenues in Ghana as compared to the rest of the world.
In series of tweets on Monday June 27, he said “What options are open to government? The question should rather be: what option, if adopted, will re-inject investor confidence in our economy? Even if we find the $3-5 billion required, will that help? E-levy which was to have given us some 600m by now has done less than 60m.
“Our economy is growing faster than most countries around the world. But, that alone can’t save us as confidence in our ability to service our debts is lowering. We can’t continue to use all the little revenues raised to pay our debts. Very soon we may have to borrow to pay wages!
“Ghana has no food crisis, enough food from our farms, yet food prices have shot up 3-4 times more in our cities, far & over above rising cost of transportation. To make matters worse, global food insecurity is worsening as inflation, from challenges with supply chain, worsens…
“After 5 months of stalemate and bashing, the e-levy, after implementation, is delivering only 10% of estimated revenues; our revenues remain very low as compared to the rest of the world; debt levels dangerously high, cedi, like most currencies, struggling against the US dollar.”