Professor Godfred Bokpin, an economist and senior lecturer at the University of Ghana, has urged the government to lessen its reliance on taxes and put policies in place that promote economic growth and output.
Prof. Bokpin stated that both major political parties had admitted that the economy was overtaxed and had promised to move toward production-driven policies in an interview with Channel One on Monday, March 10, 2025, prior to the budget announcement.
He anticipates that this commitment will be reflected in the 2025 budget.
“I expect the budget to outline clear tax revisions, given that both parties agreed that the economy was heavily taxed and pledged to transition from taxation to production,” he said.
In addition, he demanded that the COVID-19 levy be eliminated, claiming that it was a component of the government’s 120-day social contract with Ghanaians.
He asserts that rather than imposing more taxes, the state may regain lost money by implementing administrative changes and better tax compliance.
Professor Bokpin emphasized the necessity of more extensive fiscal reforms, stating that the budget should examine taxes as well as reduce government expenditures.
“We need to see actual budgetary statistics, even though the government has announced efforts to reduce unnecessary spending. Central government alone isn’t enough, he added; state-owned businesses also need to run more effectively. He added that an imbalance between aggregate supply and demand is the root cause of Ghana’s economic difficulties.
He called on the government to implement measures that increase output, generate employment, and support long-term economic stability in order to address this.
Expectations are still high as the finance minister gets ready to unveil the 2025 budget; many people are looking for measures that would lower taxes while promoting economic expansion.