The passage of the Electronic Transaction Levy (E-levy) on their daily business transactions has been termed as negative by the Traders Advocacy Group Ghana (TAGG).
Though not wholly opposed to the policy, the group has since lobbied against the e-levy module, claiming that it will merely return the business community to the era of cash-based transactions and the problems that come with them.
In an interview with Citi Business News, TAGG’s General Secretary, Yaw Poku, claimed that in order to save money, their members have agreed to switch from electronic money to cash-based transactions.
- Prof. Quartey believes that the 1.5 percent E-Levy rate will have a negative impact on the GH6.9 billion target.
- Use the proceeds of the e-levy for its intended purpose, says an economist to the government.
“People are not happy generally. The traders are not happy at all. And it’s as if when we talk, they just refuse to listen, so they’ve also taken their decision that they will move back to cash-based transactions,” he revealed.
Only a few days after the passage and further assenting to the electronic transaction levy by the President, Mobile Money Vendors tell Citi Business News, they have observed what can be termed as panic withdrawals from the general public. This has been corroborated by the Traders Advocacy group Ghana.
Mr. Poku added that a greater disadvantage will be suffered by local manufacturers. This is because the traders say they may be forced to import goods with would otherwise have been sourced from a local producer, all to avoid charges from the e-levy.
“This law (E-levy) seeks to direct that a token is taken from the seed money that I’m using for my business. Some of us have started sourcing locally because the Ministry of Trade per the advice they give is to source from the local industries and work. But in this situation, you’re redirecting our attention to foreign sources again because, with that, I’ll carry my money by air and then go and transact my business”.
