Story By: Akua Oteng Amponsah
Former Finance Minister Dr. Mohammed Amin Adam has criticized the government’s decision to impose a new tax on fuel, saying it burdens Ghanaians more than the taxes abolished in the 2025 budget.
According to Dr. Adam, the abolished taxes, including the Betting Tax and E-levey, collectively generated less than GH¢5 billion, while the new fuel tax is expected to raise GH¢5.7 billion.
“This government is giving with one hand and taking with the other hand. Not long ago, they were here celebrating abolishing taxes, but I am sorry to say that all the taxes they abolished, put together, did not bring us 5 billion Cedis. This government is seeking to raise 5.7 billion Ghana Cedis from the increase in the levy for petroleum products” Dr. Adam said
Dr. Adam argued that the government’s actions are contradictory, as they claim to be reducing taxes while introducing new ones that burden citizens.
“Mr. Speaker, I said in this house during the debate on the budget that this government, in abolishing the taxes, was giving something in your hand with the left hand and they were going to take it back from your hand with their right hand and not only taking from your hand but take what was in your pocket in addition. This is exactly what they are doing with the petrol taxes that they are increasing” he stated.
The new levy, approved by Parliament on June 3, is expected to generate GH¢5.7 billion annually to address the energy sector’s financial challenges.
The Finance Minister has assured that the impact on fuel prices will be absorbed by the recent gains in the Ghanaian cedi’s value.
