The Finance Minister-designate, Dr Cassiel Ato Forson has rejected claims that the government needs to raise taxes to generate revenue for the country’s rebuilding efforts.
While addressing questions before the Parliamentary Appointments Committee, Dr. Forson outlined his strategy for boosting revenue without increasing taxes. He emphasised the importance of improving tax compliance as a key measure.
"We don’t necessarily need to increase taxes to raise revenue. We have the tools at our disposal, and I will work closely with the Ghana Revenue Authority (GRA) to ensure we collect the necessary revenue by enhancing compliance," Dr Forson explained.
He expressed confidence that this approach would improve Ghana’s tax-to-GDP ratio, which currently stands at 13 per cent and raise it to 16 per cent, aligning with the country’s long-term development goals.
Additionally, Dr Forson reiterated the government’s commitment to reducing the tax burden on Ghanaians, promising to review and eliminate certain taxes where needed. He stated that this would provide relief to citizens and businesses while creating a fairer and more equitable tax system that supports economic growth.
Inflation
On inflation, Dr Forson said, "Mr Chairman, it is our responsibility to reduce inflation to 8 per cent in the shortest possible time. Expenditure management is key, and once we achieve this, it will help the central bank and monetary authorities to preserve reserves and protect the cedi or intervene when necessary."
As Finance Minister-designate, Dr Forson emphasised the need to strike a balance between revenue mobilisation and fostering a favourable environment for economic activity. His proposed strategies aim to support national development while addressing fiscal challenges without burdening taxpayers.
Vetting
The vetting process for the first set of ministerial nominees presented by President John Mahama began today (Monday, January 13,2025)
This follows the official approval of Parliament’s Appointments Committee on January 9, tasked with vetting and recommending nominees for ministerial and other senior government positions.
The vetting process will encompass a thorough examination of each nominee's qualifications and suitability for their respective roles, ensuring that only the most qualified individuals are appointed to serve in the new administration.
Among the first nominees to undergo the vetting process are John Abdulai Jinapor, nominated as Minister-designate for Energy ,followed by Dr Dominic Akuritinga Ayine, proposed as Attorney-General and Minister of Justice-designate.
With the committee now in place, Parliament is poised to ensure a transparent and thorough vetting process, which will play a crucial role in shaping the leadership team that will support President Mahama’s vision for his new term in office.
