“Ghana Scraps Covid Levy, Cuts VAT to Boost Economic Growth”

Ghana has abolished its Covid-19 Health Recovery Levy and reduced value-added tax as part of broader efforts to stimulate economic growth, the government announced on Thursday.

Finance Minister Cassiel Ato Forson said the reforms would return GHS 5.7 billion ($520 million) to households and businesses in 2026. Presenting the new measures to Parliament, Forson explained that the overhaul aims to modernise Ghana’s VAT framework and lower the cost of doing business.

“After months of detailed analysis and broad consultations with stakeholders, we have completed the design of a modernised VAT system fit for Ghana’s economic transformation agenda,” he said.

The government is projecting GDP growth of at least 4.8 percent next year, adding that inflation had eased to 8 percent in October — marking the tenth consecutive month of decline.

“The economy is breathing again — stronger, steadier and full of promise,” Forson added.