It is a big sigh of relief for the mobile money community as it applauds the repeal of the controversial Electronic Transaction levy (E-levy) by the government.
The Mobile Money Agents Association of Ghana (MMAAG) says they find the development very welcoming given the negative impact of E-levy, since its introduction in 2022, has had on their businesses.
Parliament on Wednesday, March 26, 2025, passed a repeal of the levy, which is currently awaiting an assent by President John Dramani Mahama to make it operational. This move is in fulfillment of the campaign promise of the NDC to scrap some nuisance taxes to bring relief to businesses and individuals.
National Public Relations Officer (PRO). Charles Kwesi Addo reveals that the now-repealed levy did not only cause confusion among agents themselves, but customers and other stakeholders as well.
Many customers, due to levy, resorted to alternative and traditional means of transferring money hence leading to many businesses in the Momo sector collapsing.
A research the association conducted, Charles Kwesi Addo revealed that about 37% of their customers resorted to alternative money transfer options to circumvent the controversial levy.
“We outlined a lot of issues that we had with regard to the electronic levy. One was with the market women. It is so difficult for our mothers to understand the deductions. Most of them even thought that it is the agent who is taking the law into his own hands, thereby deducting the outgoing amount. A research was conducted and almost 37% of our customers resorted to alternatives way of spending money; taking money to the loan station. Our businesses folded up most of our agents who had two or three branches ended up closing some of the branches. So, the impact was huge,” the PRO recounted.
To the agents, given the impact the levy had on their businesses, they are very optimistic that the repeal will lead to a rebound of their businesses to the pre-e-levy levels. He, therefore revealed that the association is looking forward to the assent of the president to operationalize the repeal.
“It’s a good day to all the mobile money agents across the country. It’s good news that the President and Parliament have repealed it. We are waiting for the president to assent to it,” he added.
Meanwhile, following the repeal of the controversial levy, The High Street Journal is learning that the Ghana Revenue Authority (GRA) and the Electronic Money Issuers (EMI) Chamber are set to meet on Friday to spell out the technical modalities towards the discontinuation of the levy.
