The Ghana Revenue Authority (GRA) is banking on a significant uptick in vehicle import volumes to compensate for sharp revenue losses following the recent appreciation of the cedi, which has halved import duties on vehicles.
During a working visit to Tema Port, Commissioner of the Customs Division, Brigadier General Glover Ashong Annan, acknowledged the dual impact of the cedi’s strengthening reducing revenue from import duties while potentially boosting import volumes.
“The appreciation of the cedi has also impacted on the revenue but that is not all. For example, vehicles which fetch us more revenue the duties paid on these vehicles have reduced drastically. It is almost like half.” he explained.
The GRA is under mounting pressure to meet its revenue targets amidst exchange rate fluctuations, intensified smuggling operations, and persistent leakages at key entry points.
Despite the revenue challenge, Brigadier General Annan expressed optimism, stating that, “it is also good because, moving forward, those who are benefiting from the reduced duties will import more. By next month, we will see more volumes coming in, and that will also impact our revenue.”
His remarks come as the Finance Ministry intensifies its oversight of Ghana’s busiest port at Tema. Finance Minister Dr. Cassiel Ato Forson recently raised red flags about rampant revenue leakage and illicit trade, particularly smuggling from neighbouring Togo. The Finance Ministry has long cited porous borders and corruption at entry points as key contributors to tax shortfalls.
