The Association of Ghana Industries (AGI) has expressed its approval of the repeal of the 1% Electronic Transfer Levy (E-Levy), asserting that this change will enhance digital financial transactions and lower the operational costs for businesses in Ghana.
Seth Twum Akwaboah, the CEO of AGI, conveyed his appreciation to Citi Business News at MTN House in Accra during the celebration of the telecommunication company’s CEO’s first anniversary in office. He praised the government’s decision, emphasizing its beneficial effects on enterprises, particularly small and medium-sized enterprises (SMEs).
With 75% of our members being SMEs, digital transactions are crucial for their operations. Any extra costs can deter their adoption. The elimination of the levy will not only reduce expenses but also motivate more businesses to utilize digital financial services and electronic money transfers.
“The President made a commitment, and with its fulfillment, we anticipate observing its influence on business development,” stated the AGI CEO.
In addition, Ing. Dr. Kenneth Ashigbey, CEO of the Ghana Chamber of Telecommunications, highlighted the wider economic advantages of abolishing the E-Levy.
“With this repeal, we foresee an increase in both the volume and value of digital transactions. This expansion will enhance profitability for financial institutions, resulting in greater corporate tax revenues for the government,” he remarked.
He further noted, “Moreover, an uptick in digital transactions will decrease the expenses associated with printing physical currency, which will benefit the Bank of Ghana. It will also produce valuable data for policymakers to refine fiscal and monetary strategies.”
Ing. Dr. Ashigbey also pointed out that the removal of the E-Levy is in line with the government’s financial inclusion strategy, promoting a more digitized economy while alleviating financial pressures on both businesses and consumers.
On Wednesday, April 2, 2025, President John Dramani Mahama signed into law a collection of legislative bills aimed at eliminating various taxes, such as the Electronic Transfer Levy (E-Levy), Betting Tax, and Emissions Tax.
This action reflects the government’s dedication to reducing the financial strain on the citizens of Ghana.
