Dr Mark Assibey-Yeboah, a former New Patriotic Party (NPP) Member of Parliament (MP) for New Juaben South, has urged the government to go back to the International Monetary Fund (IMF) for financial support and assistance due to the economic challenges the country is experiencing.
“There is nothing wrong with Ghana returning to the Bretton Woods Institution because our nation is a member of the IMF,” he said.
Commenting on the Electronic Transaction Levy (e-levy) proposal in the 2022 Budget Statement and Economic Policy and the difficulties being encountered by the government in getting it passed by Parliament, Dr Assibey-Yeboah, who is also a former Chairman of the Finance Committee of Parliament stated that the Minority Members of Parliament (MPs) had rejected the proposal despite decision by Ken Ofori-Atta Minister ofFinanceto reduce the initial rate of 1.75 per cent to 1.5 per cent.
Despite the rejection by the Minority, the government has insisted on getting the bill passed because it did not want to return to the IMF for support and assistance and he noted that going to the IMF again would have dire implications on the economy.
However, DrAssibey Yeboah disagreed with Mr Ofori-Atta and maintained that a return to the IMF would salvage the country’s receding economy and without a doubt, be placing a call to Washington “if we have not really done that.
“We are just not going to ask for the funds just because e-levy has been passed or not since it will just bring GH¢5 billion and we are in a deep hole of our tax revenue and facing difficulties, going to the Fund will give us some support and assistance.
“There is nothing wrong with going to the Fund because Ghana is a member but what is wrong going to ask for support and assistance when we are in difficulties to go and pool resources, if I was the finance minister, I will be convincing the president it is about time we went back because revenue expected to be accrued from the levy is to ensure economic stability,” Dr Assibey-Yeboah entreated.
He cast doubt on the government’s ability to raise the projected GH¢6.9 billion target and insisted that the maximum the government could raise from the controversial e-levy was GH¢5 billion since GH¢6.9 billion target could not be realised.
According to him, there were lot of exemptions, in his estimation, maximum amount the government could accrue from e-levy was GH¢5 billion, less than a billion dollars, which was not a panacea to revenues but returning to IMF would for $3 billion would ensure some stability. –citinewsroom.com