The government will abolish the COVID-19 levy and implement sweeping tax reforms that will put GH₵5.7 billion back into citizens’ pockets, officials said Thursday.
Casper Sunday Kampoli, Director of Research and Innovation at the National Entrepreneurship and Innovation Programme, said the measures are part of the 2026 budget themed “Resetting for Jobs, Growth and Economic Transformation.”
“This budget abolishes COVID-19 e-levy, so after here when the budget is passed and you walk into any supermarket … that COVID-19 e-levy tax introduced, you will not be paying for it,” Kampoli told A1 Radio’s Seidu Mutawakil.
The COVID-19 levy, introduced in 2022, added 1% to the cost of goods and services. Its elimination alone will save Ghanaians GH₵3.7 billion annually, Kampoli said.
The budget also addresses education funding concerns. Free Senior High School will receive GH₵4.2 billion from the Ghana Education Trust Fund, up from GH₵3.2 billion the previous year.
“There’s dedicated funding for Free Senior High School. It has not been cancelled,” Kampoli said. “There’s no way you have students going to school and they’ll say there’s no food … or there are no stationery.”
The budget allocates more than GH₵200 million for teacher training allowances and over GH₵400 million for nursing training allowances. All tertiary students who started the 2024-25 academic year will have their admission fees reimbursed, with funding continuing for 2025-2026.
Finance Minister Dr. Cassiel Ato Forson presented the budget statement to Parliament on Thursday.
Kampoli said the government has stabilized the economy after inheriting challenges in 2024. The cedi has strengthened from 17 to the dollar to around 11 cedis, while inflation dropped from 26% to 8.5%, he said.
“The economy was on its knees,” Kampoli said. “So the first year, 2025, prudent fiscal policies, interventions has led to the economy being stable today.”
The budget proposes a value-for-money office to oversee all government contracts. The administration has reduced ministries from 124 to 16, saving GH₵2.7 million, Kampoli said.
Petrol prices have also declined. A liter now costs GH₵11.20, compared to GH₵14 before the current administration took office, he said.
The government is directing all schools to purchase supplies locally, banning rice, meat, eggs and chicken imports for secondary schools. Buffer stock has been allocated GH₵200 million to purchase local produce.
Source: a1radioonline.com|101.1Mhz|Mark Kwasi Ahumah Smith|Bolgatanga
