Government should not attempt to introduce new taxes in its mid-year budget review – Awingobit

The Executive Secretary of the Importers and Exporters Association, Sampson Asaki Awingobit, has asked the government to desist from introducing any new taxes in its mid-year budget review.

According to him, the increase in taxes has taken a huge toll on businesses coupled with the depreciation of the cedi and the rise in inflation.

His comments come as a reaction to Ghana’s receipt of the first tranche of the $3 billion loan secured from the International Monetary Fund.

“We hope that since the IMF money is in, the government will not attempt to introduce new taxes, because we will resist any attempt. Very soon they will read the mid-year budget review, I want to advise the government to desist from introducing any new taxes. Any new taxes will have dire consequences on businesses,” Asaki Awingobit is quoted by citinewsroom.com.

Meanwhile, the Governor of the Bank of Ghana, Dr. Ernest Addison, has noted that as of May 19, 2023, after the first tranche of the $3 billion International Monetary Fund loan hit the Bank of Ghana’s account, Ghana’s gross international reserves have increased to $5.7 billion.

This is indicative of 2.6 months of import cover.

He made the statement at the 112th Monetary Policy Committee meeting on May 22, 2023.

He said: “Gross International Reserves at the end of March 2023 stood at US$5.1 billion, equivalent to 2.4 months of import cover, compared with the end-December 2022 stock position of US$6.2 billion, equivalent to 2.7 months of import cover. Gross International Reserves, excluding oil funds, encumbered and pledged assets, stood at US$1.4 billion.”

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