Government unable to pay debts due to cancellation of E-Levy, others – Oppong Nkrumah claims

The Member of Parliament for Ofoase-Ayirebi constituency, Kojo Oppong Nkrumah, has noted that the current government is struggling to pay debts after scrapping the Electronic Transfer Levy (E-Levy), alongside other taxes.

According to Oppong Nkrumah, his government scrapped about 17 taxes when they assumed power in 2017, and this led to the expansion of the economy for the first three years, after which COVID-19 broke.

He explained that in the government’s bid to protect citizens, it spent too much, leading to the economic downturn that characterised the latter parts of their administration.

“Even the US were paying government workers at a discount, but we were paying everything. And we were not earning money, so we were borrowing from the IMF about a billion, from the World Bank.

“By the time COVID was gone, there was big debt, which was unsustainable. So, we introduced a few taxes to close the debt,” he said in an interview on Joy Prime.

The former Minister of Works and Housing said this administration’s act of cancelling these taxes will affect their ability to pay debts.

He said, “The present government is struggling to pay debts because they've removed E-Levy and other taxes.”

Meanwhile, President John Mahama is of the belief that scrapping the E-Levy will enhance financial inclusion and enhance digitalisation in the economy.

SSD/EB

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