February 10, 2022
Protest erupts in Ghana’s capital Accra over E Levy
Several member of the Ghanaian populace mostly including youths have taken to the street in protest of the E levy bill being introduced in the country.
Electronic Transaction Levy is a tax applied on transactions made on electronic or digital platforms.
The proposed levy, which was supposed to come into effect on 1 February 2022, is a charge of 1.75% of the value of electronic transactions. It covers mobile money payments, bank transfers, merchant payments, and inward remittances. The originator of the transactions will bear the charge except for inward remittances, which will be borne by the recipient. There is an exemption for transactions up to GH¢100 ($16) per day.
According to the finance minister, the total digital transactions for 2020 were estimated to be over GH¢500 billion (about $81 billion) compared to GH¢78 billion ($12.5 billion) in 2016. Huge growth in just five years.
However, there has been disagreements among people of influence in the country about if the e levy will truly serve its purpose or if the percentage set is too high.
Ghana’s finance minister Ken Ofori-Atta described the E levy as an attempt to “widen the tax net and rope in the informal sector”.
The protest appears to have been coordinated by the main opposition party in the country ; NDC Youth Wing.
Hundreds of people have been seen on the street carrying place cards expressing their disagreement with the government and reminding them of their previous promises and statements.
The protest is also trending on Twitter with the hashtag #YentuaElevy
