Renowned economist, Professor Stephen Adei
Renowned economist Professor Stephen Adei has expressed his belief that removing the Electronic Transfer Levy (E-Levy) is a mistake.
According to him, a better approach would have been to rationalise existing taxes rather than eliminate the levy entirely.
Speaking on TV3’s Agenda show on Tuesday, March 4, 2025, Professor Adei stated, “I have always felt that it is wrong to remove the E-Levy… There are other taxes, so they should have rationalised them, reducing their multiplicity.”
He further argued that President Mahama would eventually be forced to introduce alternative taxation methods after eliminating both the E-Levy and betting taxes.
“The way President Mahama put it, he has no choice but to scrap the E-Levy and betting taxes and find another way to replace them. I think any alternative will be messier than the E-Levy,” he added.
His remarks follow a pledge by the Minister of Finance, Dr. Cassiel Ato Forson, to remove the controversial E-Levy in the government’s first budget, set to be presented on March 11, 2025, if approved.
Dr. Forson has argued that the E-Levy discourages digital transactions and hinders the country’s progress toward a cashless economy, while the betting tax generates minimal revenue.
Introduced in 2022, the E-Levy faced strong public opposition, with critics arguing that it added to the financial burden of Ghanaians.
However, the government defended it as a necessary measure to generate revenue for national development.
SA/MA
Meanwhile, watch this Ghana Month special edition of People and Places as we hear the story of how the head of Kwame Nkrumah’s bronze statue was returned after 43 years, below: