Economist advocates urgent reforms in property rate systems in Ghana

Dr. Hayford Ayerakwa, an economist at the University of Ghana, has called for urgent reforms in the country’s property rate system, suggesting that a Public-Private Partnership (PPP) could be the key to solving longstanding issues.

In an interview on Morning Starr with Lantam Papanko, Dr. Ayerakwa disclosed the challenges the property rate system has faced for years.

He said, “One of the areas which is critical is our property rate system, which for many years in this country we’ve not been able to properly figure out a way of rolling this out.”

Expressing frustration over delays, Dr. Ayerakwa emphasized the need for immediate action, “We don’t want things to be in a pipeline any longer; we want action.”

He proposed a Public-Private Partnership (PPP) arrangement as a viable solution, “In my opinion, if it means giving this purely to a private entity to run and ensure we get the needed revenue from the property rate system, it is better to have a 60 percent or 50 percent stake of two billion, which guarantees one billion, than to have zero.”

He noted that the Ghana Revenue Authority (GRA) was tasked with overseeing the property rate system recently, but the initiative encountered obstacles. “I think two years ago or last year, GRA was commissioned to take over that process. It hit a rock along the way and is not doing well.”

Dr. Ayerakwa highlighted the government’s consistent failure to effectively manage the property rate system and the lack of accountability measures.

“Over the years, the government has not been able to get it right, and I think it doesn’t talk about putting in sanctions for government agencies who do not follow the established norms and laws.”