E-levy was a massive error committed by Ofori-Atta, it was a bad policy – Dr. Ashigbey

Dr. Ken Ashigbey, CEO of the Electronic Money Issuers Chamber of Ghana, welcomes the removal of the 1.0% Electronic Transaction Levy (E-levy). He believes its introduction was a major mistake by former finance minister Ken Ofori-Atta.

Industry players expected this change due to President John Mahama's commitment in the National Democratic Congress manifesto.

Parliament has unanimously approved the abolishment of the E-levy. This decision brings relief to about 23 million mobile money subscribers.

In an interview on Joy FM's NewsNight, Dr. Ashigbey stated that the E-levy failed to generate expected revenue. He called it a regressive tax.

He said, “This is good news; e-levy was a bad policy.” He noted that the government did not consult stakeholders before implementing it.

Dr. Ashigbey explained that transaction growth declined after imposing the E-levy. He criticized Finance Minister Ken Ofori-Atta for making a significant error with its introduction.

Some financial technology firms left Ghana due to losses from declining transactions caused by the E-levy.

Dr. Ashigbey is optimistic that removing the E-levy will allow customers to spend more and increase transaction volumes.

Telecommunication firms and Electronic Money Issuers will adjust their systems soon. They aim to ensure no e-levy charges apply to mobile money transactions going forward.