The government has reduced the Electronic Transfer Levy rate from 1.5% to 1% ahead of 2023 to facilitate the roads and digitalization agenda. The 1.5% rate was a downward revision from the initially proposed 1.75%. The daily transaction threshold of ¢100 on the other hand, has been completely removed.
The reduction by 1% according to the government is to enable more Ghanaians to use the service.
Review the E-Levy Act and more specifically, reduce the headline rate from 1.5% to one percent (1%) of the transaction value as well as the removal of the daily threshold.
This was announced by the Finance Minister, Ken Ofori-Atta on November 24, during his presentation of the 2023 budget statement on the floor of parliament.
The Electronic Transfer Levy Act, 2022 (Act 1075) was contentiously passed in March 2022 and imposed a levy of 1.5% on electronic transfers.
This caused a surge in mobile money transactions from GHc 1.55 billion to GHc 9.86 billion between 2017 and 2021, but the number has significantly decreased after the implementation of the E Levy.
Story Written By: Mildred Xorlali Babantsi |univers.ug.edu.gh