A Financial Analyst Nii Yarboi Annan fears the 2022 budget has been set up to fail.
His fear, Nii Yarboi Annan told Sena Nombo on the Gold Power Drive was informed by the fact that government was repeating a mistake that has collapsed economies with its desperation to increase revenues.
Government has refused to back down on its policy proposal to impose a 1.75% levy on all electronic transactions especially the popular mobile money transaction (Momo).
Government is also seeking to increase the value of some imports by removing the discount on benchmark values for imports.
Additionally, government wants to increase fees and charges on government services in addition to a review of the threshold for the imposition of flat VAT rate on imports.
Nii Yarboi Annan says the government’s desperation for revenue would only worsen Ghana’s already bad plight.
He believes government’s focus should be on cutting down and tightening scrutiny on expenditure.
The Financial Analyst says the ripple effects from government’s insistence on pushing through the E-Levy would be dangerous for the economy.
He said the levy could ultimately reduce consumer spending and endanger government’s revenue projections.
Nii Yarboi Annan said the Nana Akufo-Addo led government was ‘fighting the forces of economics with political power’.
He is convinced government is fighting a losing battle.
Story: Sena Nombo/Radiogoldlive.com
