If E-levy had worked as anticipated, Ghana may not have gone to IMF – NPP Nana Akomea

The Managing Director of the State Transport Company (STC), Nana Akomea, has stated that if the Electronic Levy (E-Levy) had performed as anticipated, Ghana might not have needed to seek a bailout from the International Monetary Fund (IMF).

His statement comes after both presidential candidates of the two major parties, the New Patriotic Party (NPP) and the National Democratic Congress (NDC) – promised to scrap the controversial tax policy should they win the 2024 general election.

The NDC has however questioned the NPP’s flagbearer, Dr Mahamudu Bawumia who’s the incumbent Vice President as to why he can’t abolish it now since he is still in office.

But speaking on Joy FM’s Super Morning Show, Nana Akomea praised the government’s efforts to avoid the IMF by implementing the E-Levy.

According to him, the much-contested levy was a homegrown alternative to prevent the nation from seeking financial support from the Fund which was often accompanied by harsh conditionalities.

“The government needs to be commended because it didn’t jump at the first sign of trouble to go to the IMF. Instead, the government decided, ‘let’s pull ourselves up by our own effort,’ and introduced the E-Levy.”

Nana Akomea, who is also the Vice Chairman of Bawumia’s campaign team acknowledged the challenges the E-Levy faced, particularly in Parliament, but maintained that had it functioned as planned, Ghana’s financial situation might have been different.

“If the E-Levy had worked the way the government had anticipated, we may not have gone to the IMF,” he stressed.

He further compared the current administration’s approach to that of former President John Mahama, noting that Mr Mahama also sought alternatives before eventually approaching the IMF.

“Indeed, under John Mahama’s administration, when the calls started coming in 2014/2015, he delayed because he was also looking for an alternative. The records are there. “You should rather commend the government for delaying or for seeking an alternative before finally going to the Fund,” he noted.