The former New Patriotic Party Member of Parliament for New Juaben South, Dr Mark Assibey Yeboah, has asked the government to reconsider its decision not to return to the International Monetary Fund (IMF) in light of the country’s dwindling revenues.
Given the dire economic constraints, the former parliamentary finance Committee Chair believes that the government’s emphasis on passing the Electronic-Transaction Levy to meet its income target is incorrect.
Despite Ghana’s fiscal problems, the New Patriotic Party (NPP) administration has stated that it will not seek financial assistance from the IMF, preferring instead to focus on domestic revenue collection through the implementation of the E-Levy.
Going back to the IMF, according to Finance Minister Ken Ofori-Atta, will have disastrous economic consequences.
However, Dr Mark Assibey Yeboah, told Citi News that returning to the IMF as a monetary organization, should not be seen as a failure, but rather as a way to save Ghana’s ailing economy.
“Without a doubt, I think we should be placing a call to Washington if we haven’t really done that. We are just not going to ask for the funds just because E-levy has been passed or not. E-levy will just bring about GH¢5 billion. We are in a deep hole of our tax revenue and facing difficulties, so going to the Fund will give us some support.”
“So there is nothing wrong with going to the Fund. Ghana is a member of the IMF so what is wrong going to ask for support when we are in difficulties to go and pool resources. If I was the finance minister, I will be convincing the President that it is about time we went back”.
Dr Mark Assibey Yeboah also reiterated that the money predicted from the E-levy is insufficient and will not be able to achieve the economic stability that the government seeks.
“The GH¢6.9 billion target cannot be realized. There are a lot of exemptions so, in my estimation, the maximum amount we can get from the E-levy is GH¢5 billion, and that is less than a billion dollars, so I do not think that the E-levy is going to be a panacea to our revenues. Going to the IMF will ensure some stability and above all, we are going to get some $3 billion”.