Ghanaians are highly optimistic of a fast-paced economic recovery under the new administration as 80% are confident that the policies of the 2025 budget, yet to be presented, will turn the economy around.
Already the government is basking in a very high goodwill of the people as indicated by the recent Afrobarometer survey confirming the confidence expressed in the KPMG and UNDP pre-budget survey.
This high confidence, according to the pre-budget survey, emanates from expectations of tax policy reforms, revenue mobilization strategies and fiscal reforms.
“80% of respondents expressed confidence in the Government’s ability to achieve economic recovery through the 202 budget,” excerpts of the report cited by The High Street Journal indicated.
The respondents, the survey indicated, recommended top 5 priorities for increasing the revenue mobilization. A major recommendation is expanding the tax base to include the informal sector, a move aimed at ensuring a fairer tax distribution. Ghanaians also advocate for the reintroduction of road tolls, which they believe could provide sustainable funding for critical infrastructure projects.
Respondents also support increasing taxes on high-end goods, alcohol, tobacco, and other consumption-heavy activities, arguing that such levies could boost government revenue without burdening essential goods and services. Furthermore, enhancing digital and e-commerce taxation is seen as a necessary step to capture revenue from Ghana’s rapidly growing digital economy. Another notable recommendation is the introduction of environmental taxes, which would not only generate funds but also incentivize sustainable business practices.
The respondents indicated that these measures must be complemented with fiscal austerity measures through the elimination of waste and the tackling of corruption.
A key recommendation from the survey is a ban on the importation of luxury vehicles for public institutions, which 30% of respondents believe would significantly reduce government expenditure.
Additionally, 28% of the respondents call for reducing subsidies to state-owned enterprises as a necessary step to curb financial leakages and encourage efficiency in state-run businesses.
26% also proposed cost-cutting measures, including increasing resourcing through local production, a move aimed at reducing dependence on expensive imports while boosting domestic industries.
Ghanaians also recommend a freeze on public sector recruitment to control the growing wage bill, alongside halting salary increases for public sector workers as part of broader efforts to manage government spending.
These measures, if implemented effectively, could help redirect funds toward critical development initiatives and enhance fiscal stability. Ghanaians believe these measures, when introduced in the 2025 budget, will strengthen domestic revenue mobilization and stabilize the economy while promoting long-term growth and resilience.
