Ghana’s Finance Minister, Cassiel Ato Forson, unveiled a sweeping 2025 budget aimed at stabilizing an economy he described as “in severe distress,” pivoting toward fiscal consolidation by abolishing multiple contested levies while confronting a towering debt burden.
The government will scrap the 1% electronic transfer levy (E-Levy), betting taxes, emission levies, and VAT on vehicle insurance—moves it claims will save households and businesses GH¢3.8 billion annually.
Forson framed the cuts as fulfilling campaign promises but warned of “sacrifices,” including slashing ministerial appointments from 88 to 60 and tightening public spending.
Economists, however, question how revenue losses will be offset, with the budget leaning on reduced tax refund ceilings and a controversial hike in mining royalties.
“The ambition is clear, but execution risks remain,” said Accra-based Financial Journalist Roger A. Agana. “Growth projections of 4% rely heavily on gold exports and IMF goodwill, neither of which are guaranteed.”
