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Business & Economy

Property Taxation: The Missing Link in Domestic Revenue Mobilization in Post-IMF Ghana

Dr. Atuahene proposes reforms to boost Ghana’s property tax from 0.05% to 2% of GDP, including digital platforms, land digitisation, taxpayer education, stronger administration, voluntary compliance, and improved collection systems to unlock domestic revenue potential.

Ghana’s High NPL Above 10% Puts Financial Sector Under ‘Seismic’ Risk – Finance Expert Says
Dr. Richmond Atuahene, Banking and Financial Consultant
Fredrick Addai Kwarteng
Jun 9, 2026

As Ghana navigates its economic recovery following the recent IMF bailout, the spotlight has intensified on Domestic Revenue Mobilization (DRM) as the only sustainable way to avoid future debt traps.

While developed nations like the UK and US generate between 3% and 4.2% of their GDP from property taxes, Ghana’s contribution languishes at a dismal 0.03% to 0.05%.

Banking and finance consultant Dr. Richmond Atuahene argues that “weaning ourselves from the feeding bottle of donor money” requires a radical transformation of how we tax immovable property.

To move from 0.05% toward a realistic 2% of GDP, Dr. Atuahene proposes ten strategic recommendations to wake this sleeping revenue giant.

Property Taxation: The Missing Link in Domestic Revenue Mobilization in Post-IMF Ghana

Launching a Unified Digital Platform

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The foundation of the reform is the urgent rollout of a Unified Digital Platform for Property Taxation. This system, which integrates the Ghana Card and Digital Property Addressing System, uniquely identifies over 9 million properties.

It allows property owners to verify rates and pay online while giving the GRA and MMDAs real-time visibility into who has paid and who is defaulting.

Bridging the Tax Education Gap

There is a massive knowledge deficit regarding property obligations. To fix this, the government must sustain the National Tax Education Programme to simplify billing and collection.

This policy aims to ensure that realistic property taxes in large cities become a primary engine for government revenue without needing to resort to massive rate hikes.

Fostering a Culture of Voluntary Compliance

The GRA must embark on a multi-year initiative (2025–2028) to build a strong culture of voluntary compliance. The goal is to create a “tax-conscious country” where citizens understand and value their civic duty, moving away from forced collection toward a system where people contribute willingly to national development.

Property Taxation: The Missing Link in Domestic Revenue Mobilization in Post-IMF Ghana

Diversifying Revenue through Digitalized Equity

Ghana must emulate success stories like Rwanda, which used decentralized, digitized administration to boost its tax-to-GDP ratio. This involves the Lands Valuation Authority ensuring market values for all lands and buildings are updated constantly

A credible tax regime depends entirely on a credible, digitized database.

Prioritizing Administration over Policy Changes

While legal changes are important, they are often slow; Dr. Atuahene recommends prioritizing the improvement of tax administration, which alone can realize significant revenue gains.

This means aiming for 100% coverage in property identification and using simplified mapping procedures to manage the fiscal record.

Digitizing Nationwide Land Administration

To stop “systemic bottlenecks” like multiple land sales and manual record fragmentation, Ghana must digitize land administration countrywide.

By using the Electronic Land Information System (ELIS), the state can secure property ownership and expand the tax base, making it easier for local governments to track and collect revenue from registered properties.

Committed Strategic Implementation

Property tax reform is not an overnight fix; Dr. Atuahene says international experience suggests it takes one to five years to see sustainable results.

The government requires a Strategic Implementation Plan that uses an iterative adaptation approach, allowing officials to monitor and adjust the policy periodically to ensure revenue and equity goals are met.

Property Taxation: The Missing Link in Domestic Revenue Mobilization in Post-IMF Ghana

Strategic Sequencing of Reforms

The finance expert further indicates that reformers must identify and sequence specific interventions for the best results. While improving the database increases potential, only improved collection transforms that potential into actual cash for public services

Reforms should be linked to visible service delivery, like road repairs and sanitation, to mobilize broad stakeholder support.

Specialized Training for Revenue Collectors

The capacity of human resources at the MMDA level must be enhanced through specialized training and sensitization.

This ensures revenue collectors can issue receipts correctly and use modern tools like POS devices, while taxpayers are sensitized through town hall meetings on exactly how to calculate and pay their bills.

Community-Driven Education for Geographical Neutrality

Finally, MMDAs must provide grassroots education on the “why” behind property taxes. These programs should focus on the legal requirements and the direct importance of these funds for local amenities.

The Bottomline

Dr. Atuahene maintains that policies must be geographically neutral to eliminate fiscal disparities between different localities, ensuring every community contributes its fair share to the national purse.

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