The Ghana Revenue Authority (GRA) has announced an ambitious goal to generate GH₵200 billion in revenue by 2025, a target that hinges on improved VAT compliance and broader tax reforms. Acting Commissioner-General Anthony Sarpong remains optimistic about the agency’s ability to achieve this despite widespread skepticism.
In an interview during the launch of the 2025 National Economic Dialogue, Sarpong acknowledged the magnitude of the challenge but expressed unwavering confidence in the GRA’s approach.
“On the surface, it seems like an insurmountable task. However, with determination, robust strategies, and collaboration across the board, I believe we can turn this into a success story,” Sarpong stated.
VAT Compliance at the Heart of Revenue Strategy
A cornerstone of the GRA’s strategy is boosting VAT contributions, which currently account for only 17% of Ghana’s domestic tax revenue—far below the 50% average in comparable economies. Sarpong stressed the importance of closing this gap, which he sees as a key lever for achieving the 2025 target.
“Focusing on VAT compliance offers a clear path to unlocking substantial revenue potential. By addressing inefficiencies and enforcing stricter compliance measures, we can significantly enhance our revenue base,” he explained.
Broader Economic Interventions in Focus
As the GRA refines its tax strategies, the broader economic landscape will also play a critical role. The Governor of the Bank of Ghana, Dr. Johnson Asiama, highlighted upcoming measures in the 2025 national budget aimed at tackling food inflation—a major contributor to the country’s overall inflation rate.
“The next budget will outline specific policies to address food inflation. If successfully implemented, these measures will steer us back onto a path of disinflation, stabilizing the economy and fostering growth,” Dr. Asiama revealed.
Collaboration for Success
The GRA’s ambitious target aligns with the government’s broader economic recovery agenda, requiring coordinated efforts from stakeholders across the public and private sectors. With improved tax compliance, particularly in VAT, and targeted fiscal policies, the GRA aims to set a new benchmark for revenue mobilization in Ghana.
As the 2025 deadline approaches, the GRA is determined to transform skepticism into a testament to what focused planning and execution can achieve for Ghana’s economy.
Story by: Mercy Addai Turkson #ahotoronline.com
