An economist, Mr Evans Nunoo, says the government’s decision to remove the Electronic Transfer Levy and betting tax came too early and should have been delayed for some months. Speaking on The Teknokrat Show on Focus FM with Sika Audrey Dzifa, he said the removal of these taxes, although a fulfilled campaign promise, needed more time for review before implementation.
“I have no issue with abolishing the betting tax, e-levy and emissions levy, but they should have been kept until the first quarter to assess revenue. The toll booths could have operated alongside the e-levy,” he said.
Mr. Nunoo explained that the taxes could have supported the economy in the short term, while new revenue measures were being tested. He warned that if the new measures do not yield enough revenue, government may turn to borrowing from domestic markets through treasury bills.
“If the alternative measures do not do well, then obviously the government has to borrow more especially from domestic markets through Treasury bill,” he said.
He said government should have assessed the performance of alternative strategies before removing existing sources of revenue.
Mr. Nunoo urged policymakers to take careful steps in their economic decisions to avoid future financial pressure.