The Minority in Parliament hinted that Ghana will soon fall again on International Monetary Fund (IMF) for a bailout if the current trend of economic mismanagement by the Akufo-Addo administration continues.
Answering a question at a Press Conference at the plush Job 600 office complex in Accra, the Ranking Member on the Finance Committee of Parliament, Mr. Cassiel Ato Forson said Ghana was not far away from needing a bailout given the state of affairs.
According to him “Given the fiscal challenges confronting the country and the high level of public debt, it would not come as a surprise if Ghana seeks a bailout from the IMF less than two years after exiting a similar programme that the current administration proudly touted as an achievement.”
The Ranking Member on the Finance Committee of Parliament said the policy measures introduced in the mid-year review budget indicates that the economy is in dire straits.
Mr Ato Forson, who also doubles as the Member of Parliament (MP) for Ajumako-Enyan-Essiam Constituency in the Central Region, insisted that the Akufo Addo led government had ignored the advice to resist the urge to impose new taxes.
“These calls appear to have fallen on deaf ears…Under the ESLA increments; an average increase of 25% was imposed on the Power Generation and Infrastructure Support Levy, Road Fund Levy and the Price Stabilization and Recovery Levy.”
“If these increases create frustration and Ghanaians wish to vent through phone calls or on social media, the Mid-year budget has made that expensive as well following the imposition of a 50% increase in the Communication Service Tax from 6% to 9%,” the MP said.
The comments follow the Mid-year Budget review where three taxes that form part of the ESLA were increased in addition to the Communication Service Tax.
According to him the increase in key taxes like the Energy Sector Levies (ESLA), and the Communication Service Tax were needless.
Story: Franklin ASARE-DONKOH
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