A KPMG/UNDP 2025 Pre-Budget Survey has revealed that abolishing the E-levy and COVID-19 levy could lead to a significant revenue shortfall of at least GHS 6.4 billion.
The survey was conducted via face-to-face interviews and online instruments from 11th to 21st February 2025. It gathered insights from 233 leading large, small, and medium-sized businesses across 10 sectors in Ghana on the impact of current policies and to offer actionable feedback to the Government through the Ministry of Finance for the upcoming budget and future cycles.
Beyond the immediate revenue measures proposed by survey respondents, KPMG recommends that the government leverage technology to enhance property rate administration and collection. This could include modernising systems for better efficiency and accuracy.
Furthermore, the report suggests reviewing taxation within the digital and e-commerce sectors to capture revenue from the growing digital economy.
To improve fiscal sustainability, KPMG emphasises the need to strengthen public financial management systems, close loopholes in public procurement, and reduce wasteful spending. These measures are critical to ensuring that the government can maintain financial stability despite the potential loss of revenue from the abolished levies.
The report also highlights the importance of creating an enabling environment for Ghana’s 24-hour economy.
For this policy to succeed, it should focus on industries that naturally thrive with round-the-clock operations, such as manufacturing, transport and logistics, healthcare, retail and hospitality, and digital services. Increased consumer demand and global market competitiveness are key factors that will drive the success of the 24-hour economy.
-citinewsroom
