Ghana’s tax rate will be the lowest in the ECOWAS under my administration – Alan

A prominent political figure, the founder and leader of the Movement for Change, Alan Kyerematen has promised to remove a number of import levies that are unwarranted and a significant burden on the trading community.

He claims that if elected, his administration will implement the lowest tax rate in the Economic Community of West African States (ECOWAS). This announcement has sparked discussions about the potential impact on Ghana’s economy and its position within the region.

During a meeting with members of the Ghana Union of Traders Association (GUTA), Mr. Kyerematen made the commitment.

Alan outlined his vision for economic growth and development. One of his key proposals is to significantly reduce the tax burden on individuals and businesses in Ghana. He believes that by implementing a lower tax rate, it will attract more investment, stimulate economic activity, and ultimately benefit the country as a whole.

“Under my presidency, Ghana will have the lowest tax rate regime in ECOWAS,” he said.

Currently, Ghana’s tax rate is higher than some of its neighbouring countries within the ECOWAS region. Alan’s promise aims to change this by implementing a more competitive tax structure. If successful, Ghana would have the lowest tax rate among ECOWAS member states, potentially making it a more attractive destination for both local and foreign investors.

Proponents of the proposed lower tax rate argue that it will encourage business growth, create jobs, and boost the overall economy. They believe that by reducing the tax burden, individuals and businesses will have more disposable income to invest and spend.

However, critics express concerns about the potential impact on government revenue and public services. They question whether a lower tax rate can be sustained without compromising essential services such as healthcare, education, and infrastructure development. The feasibility and long-term implications of such a policy will require careful consideration and planning.

Alan’s promise has generated mixed reactions from the public. Supporters see it as a positive step towards economic prosperity and increased competitiveness. Others remain skeptical, calling for more details and a comprehensive plan to ensure that the proposed tax reduction will not have adverse effects on the country’s finances.

“Until government creates an enabling environment for private sector-led growth, the transformation that we so desire will continue to elude us,” he said.

Alan’s pledge to establish the lowest tax rate in the ECOWAS region if elected has sparked discussions about the potential impact on Ghana’s economy. While it has garnered both support and skepticism, the proposal highlights the importance of finding a balance between tax rates, economic growth, and public service provision. As the election approaches, voters will closely examine the feasibility and potential benefits of this promise.

“I will ensure a recalibration of the existing tax regime structure to optimize revenue mobilization from direct taxes (personal and corporate), and reduce over-reliance on indirect taxes (import duties, levies, and charges) to make the corporate sector more competitive and profitable,” he concluded.

By Eva Boamah