An economist and lecturer at the University of Ghana, Dr Adu Owusu Sarkodie has lauded government’s Budget Statement and Economic policy for 2025.
He said the 2025 financial statement, as presented by the Finance Minister, Dr Cassiel Ato Forson, will ease the difficulties faced by business owners.
“I am satisfied with the budget. it cut expenditure by GHC10b. It would help businesses build capital,” he said on The KeyPoints on March 15.
Dr Ato Forson presented the budget to Parliament on March 11 under the theme, “Resetting Ghana for the Economy we want.”
In the 2025 budget, a key tax that most businesses had complained about was slated to be scrapped after due process has been completed.
Other taxes slated for removal are:
- The 10% withholding tax on lottery winnings (Betting Tax).
- The Emission Levy on industries and vehicles.
- The VAT on motor vehicle insurance policies.
- The 1.5% withholding tax on unprocessed gold winnings by small-scale miners.
Dr. Forson emphasized that “eliminating these taxes will help ease pressure on households and stimulate economic activity.”
According to Dr Sarkordie, this would make it possible for business owners to plough back savings from the payment of these taxes into their businesses.
He however discouraged the government from abolishing the COVID-19 levy which it promised to during the electoral campaign.
“Covid-19 levy should not be scrapped. We can rename it and use it for health-related expenditure,” he suggested.
