The Government of Ghana has set a bold target of GH¢268.1 billion in total revenue and grants for the 2026 fiscal year, marking an 18.3 per cent increase—over GH¢41 billion more than the GH¢226.5 billion collected in 2025.
Finance Minister Dr Cassiel Ato Forson, presenting the 2026 Budget Statement and Economic Policy to Parliament, highlighted that this target reflects the government’s commitment to maintaining macroeconomic stability and building on the progress achieved through the “Reset Agenda.”
“Mr. Speaker, Total Revenue, and Grants for 2026 is projected at GH¢268.1 billion, up from GH¢226.5 billion in 2025. This represents a strong revenue performance supported by new non-oil tax policy measures expected to yield at least 0.6 per cent of GDP.”
The 2026 budget anticipates non-oil tax revenue as the largest income source, projected at GH¢216.1 billion—an 18.8 per cent rise from 2025. This figure represents about 80.6 per cent of total revenue.
“Non-oil tax revenue, which accounts for about 80.6 per cent of total revenue, is projected at GH¢216.1 billion, reflecting a robust 18.8 per cent annual growth… non-tax revenue (non-oil) is estimated at GH¢20.9 billion, about 7.8 per cent of domestic revenue; GH¢18.2 billion will be retained by MDAs for operations, while GH¢2.8 billion will be lodged into the Consolidated Fund. The IGF Capping Policy will add GH¢329.6 million to the budget.”
This growth will be fuelled by improvements in the VAT system, enhanced customs administration, and the introduction of a digital compliance monitoring system across key sectors.
Non-tax revenue, including fees and internally generated funds, is expected to reach GH¢20.9 billion, while oil revenue is forecast at GH¢13.6 billion, supported by stable crude prices near US$70 per barrel. Grants and other support from development partners will complement domestic income.
Dr Forson stressed that the 2026 revenue strategy focuses on fairness and simplicity, aiming to foster business growth while preserving fiscal space for social and capital investments.
Key policy measures to reach this target include VAT reforms, such as removing VAT on mineral exploration and extending zero-rated VAT on local textiles to 2028 to encourage investment and job protection.
The government recognizes the challenge of mobilizing these resources without burdening the private sector’s ability to generate jobs and sustain growth.
Story by: Mercy Addai Turkson #ahotoronline.com