Ghana is pushing to lift tax-to-GDP ratio toward 15% by the end of 2026, led by a value-added tax (VAT) reform and artificial intelligence-driven customs enforcement, Finance Minister Dr. Cassiel Ato Forson said at the Ghana-UK Investment Summit.
Dr. Forson said the government expects VAT reforms, including the rollout of electronic point-of-sale devices in July, to be the single largest driver of near-term revenue gains, with collections projected to rise by at least 20% once fully implemented. The system is designed to reduce compliance gaps and improve real-time tracking of transactions across the retail economy.
According to the minister, the VAT overhaul follows a broader rationalisation of Ghana’s tax system, including the removal of distortions created by overlapping sales tax and VAT structures. The reforms are part of efforts to widen the tax base while eliminating what the government describes as inefficient or “nuisance” levies.
“Our VAT system was distorted,” Dr. Forson said. “We are correcting that and making it more efficient.”
The VAT push comes seeking to rebuild Ghana’s fiscal space after the 2022 debt crisis and subsequent restructuring, which exposed weaknesses in revenue mobilisation and spending controls.
Complementing the VAT reforms, Ghana has also deployed artificial intelligence in customs valuation to remove discretionary pricing decisions that previously allowed inconsistencies in import taxation. Dr. Forson said the system is already increasing customs revenue by about $3 million per day, equivalent to roughly $1 billion annually.
He said the AI system standardises valuation benchmarks and reduces opportunities for under-invoicing, adding that the reform has become a key pillar of the Ghana’s revenue recovery strategy.
Together, the VAT reforms and customs digitisation are expected to support Ghana’s medium-term goal of raising tax-to-GDP to 15% from current levels, strengthening domestic revenue mobilisation as the government reduces reliance on expensive domestic borrowing.
The remarks were made during a joint appearance with Bank of Ghana Governor Dr. Johnson Pandit Asiama, who outlined complementary monetary and financial sector reforms aimed at stabilising inflation, strengthening the currency, and restoring investor confidence.
Dr. Asiama said tighter monetary policy and liquidity controls had helped bring stability to the economy, allowing interest rates to ease before being temporarily disrupted by geopolitical tensions in the Middle East.
He said recent reforms have improved reserve buffers and reduced vulnerabilities in the financial system, creating room for the central bank to support credit growth and private-sector expansion.
Dr. Forson said fiscal consolidation measures, including strict controls on public expenditure and new approval requirements for state-owned enterprise commitments, have also been central to stabilisation efforts. He said government spending was reduced from 18.7% of GDP to 13.5% within a year without slowing economic growth.
Non-oil GDP growth rose from 6.1% to 7.6% over the same period, he said, arguing that tighter fiscal management has supported rather than constrained expansion.
Both officials sought to reassure investors that reforms introduced since the crisis have fundamentally changed Ghana’s policy framework, including new fiscal rules and amendments to central bank legislation aimed at preventing excessive monetary financing of government deficits.
Dr. Forson said the government’s priority is to entrench macroeconomic stability while broadening revenue sources through digital systems and structural tax reform, positioning Ghana for more durable investment inflows after years of volatility. “The goal is simple,” he said. “Stability that lasts.”
