The Association of Ghana Industries (AGI) has expressed disappointment over the government’s decision to extend the sunset clause for the Growth and Sustainability Levy (GSL) and the Special Import Levy to 2028.
Tsonam Akpeloo, the Greater Accra Chairman of AGI, described the move as a significant setback for businesses, particularly in the manufacturing and industrial sectors.
His remarks follow the presentation of the 2025 Budget Statement by Finance Minister Dr. Cassiel Ato Forson in Parliament on Tuesday, March 11, 2025.
In presenting the budget, the finance minister stated: Consequently, we are proposing to increase the Growth & Sustainability Levy from 1% on the gross production of mining companies to 3% to enable the nation to have its fair share of the windfall from an increase in gold prices. We also propose to extend the sunset clause to 2028.”
Speaking on Eyewitness News, Mr. Akpeloo acknowledged some positive aspects of the budget but highlighted concerns about the extension of the clause, which he described as a significant blow to businesses.
“To be fair, this is great news and we welcome it fully. But you see, there are key issues that we have been looking forward to. For example, the issue around Growth and Sustainability Levy and the Special Import Levy, if you follow our advocacy all these while, you will realise that we have been waiting for these clauses to end this year. But somehow, the minister extended it to 2028 and that caught us off guard.
“This is because the growth and sustainability levy, which ranges from 1-5% of revenue, affects us in a big way, and when we have been engaging the government all these years, they assured us that this levy, for example, will be gone by the end of this year. But to have it extended to 2028 is still a big blow to us,” he stated.
The AGI Chairman emphasised that the extension of the sunset clauses would increase operational costs for businesses, potentially stifling growth and competitiveness.
He revealed that the AGI plans to engage the government to reconsider the 2028 deadline and bring it closer to the original expectation.
“We intend to discuss with the government to see if this 2028 date will be reconsidered to ensure that we bring it closer. We had no plan towards it,” he stated.