The Ghana Mobile Money Agents Association has applauded the adoption of a lowering in the Electronic Transfer Levy rate and the consequent reinstatement of the GH100 daily transaction threshold.
The Minority in Parliament was successful in ensuring that the government preserves the exemption from the E-levy, since the rate was decreased from 1.5 to 1% effective 2023.
Since its inception, the tax has failed to fulfill all of its income projections, creating worries among telecom providers about the feasibility of providing an efficient mobile money service with the charge in place.
Evans Otumfuo, General Secretary of the Ghana Mobile Money Agents Association, argued that the duty on electronic transactions must be cut further in future budgets.
In following budget preparations and reviews of the entire E-levy, the government must realize the benefit of further lowering the rate to encourage people to utilize the platform so that the government can collect a lot more income. If individuals believe the rate is too high, they will look for alternatives, which will lead to the policy's demise.
Mr. Otumfuo went on to say that the government should ramp up education on how to reduce e-levy rates on electronic transactions.
"Government should definitely consider good communication on this present review. I believe that if the message is effective, consumers who do not want to use MoMo will discover that it is now convenient."
The agents have been advocating for a further decrease in the E-levy) to between 0.1 and 0.5%.