Akufo-Addo, e-levy, inflation, fuel price

4 challenges Ghanaians are currently enduring under Akufo-Addo’s govt

Ghanaians in the past few years have had to deal with hardships or challenges under the Akufo-Addo-led government.

Something interesting happened to Ghana’s enviable 4th Republic democracy on September 24, 2022, at the Independence Square in Accra, Ghana.

The president – Nana Addo Dankwa Akufο-Addo – was openly booed and heckled by a non-partisan youth crowd during the Global Citizens Festival.

This ‘unfortunate’ incident has triggered various reactions from government appointees, opposition members, and governance experts. But one thing that cuts across the divergent views expressed on the issue is the admission that times are hard.

For many, the youth who jeered the President cannot be blamed. The economy is tumbling. Food prices are skyrocketing. Fuel prices are rising by the day.

Based on the above, we chronicled 5 challenges – in no particular order – Ghanaians are grappling with under this New Patriotic Party (NPP) government.


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Nectar2Honey solutions, Man falls from Tamale interchange

Inflation

Ghana is currently facing its biggest inflatiοn figures in over three decades. In the data released by the Ghana Statistical Service, the inflation rate for July was 31.7%.

According to the data, food inflatiοn rose again to 32.3% while non-food inflatiοn was 31.3 percent.


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Government Statistician, Professor Samuel Annim highlighted the impact of the key drivers on the increase in the overall inflatiοn rate for July 2022.

“We composed this from two perspectives, the food and non-food inflatiοn and from a domestic and imported perspective. From the food and non-food inflation, we recorded food inflatiοn of 32.3% and 31.3% for non-food inflation.”

“From the domestic perspective, we recorded 29.2% and imported inflatiοn of 31.3%”, he said.


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Pre-paid electricity issues

Currently, there are scores of queues at regional and district offices of the Electricity Company of Ghana (ECG) due to issues with buying pre-paid credit.

The Electricity Company of Ghana Limited says a technical challenge has affected its prepaid metering systems.

Samuel Dubik Mahama, ECG MD

The Electricity company said this has interrupted the purchase of electricity credit.


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A statement from the electricity company said customers in the Volta, Kumasi, Accra, Takoradi, Tema, Cape Coast, Kasoa, Winneba, Swedru, Koforidua, Nkawkaw, and Tafo have been affected.

“Affected customers should please note that our ICT team is working assiduously to correct the anomaly and restore the system to normalcy”, the statement said.

“We apologise for the inconvenience caused by this technical challenge,” it added.

Nectar2Honey solutions, Akufo-Addo, E-levy, ECG, fuel price

E-levy

Arguably one of the most unpopular policies in President Akufo-Addo’s administration is the introduction of the electronic transaction levy (e-levy).

However, the underwhelming revenues the levy has generated do not come as a surprise to many Ghanaians.

Three-fourths of Ghanaians disapprove of the passed electronic transaction levy, a new Afrobarometer survey has shown.


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Finance Minister, Ken Ofori-Atta

The government introduced the electronic levy on May 1 in a bid to widen the tax net. However, a large majority of Ghanaians think it is a bad idea and will mean a greater tax burden on citizens.

Many do not trust that the government will use the revenues generated from the e-levy to fund development programmes, and citizens are almost evenly split as to whether they will continue to use electronic financial transactions.


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The study also showed that a majority of Ghanaians believe there are several important goals that a tax revenue system must achieve, including ensuring that people understand the taxes they owe, reducing the tax burden, using tax revenues more effectively, and ensuring that citizens and businesses pay taxes.

Nectar2Honey solutions, Akufo-Addo, E-levy, ECG, fuel price

Fuel prices

Presently, a litre of petrol is going for about GH ¢11 on average and GH¢13.70 on average for diesel.

These rampant increases in prices of fuel have led to an increment in transport prices within the past 6 months.

Earlier this month, the leadership of the Ghana Private Roads Transport Union (GPRTU) indicated it will soon communicate to the public new transportation fares following the incessant increase in prices fuel.

Energy Minister, Matthew Opoku Prempeh

The union says the continuous rise in the price of petroleum products is draining the finances of commercial vehicle owners.


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In a Citi News interview, Head of Communications at GPRTU, Abbas Moro stressed that members of the union are pushing for an increase in transport fares.

“We have sensitized the general public that whenever the prices of fuel go up 10 percent above the existing price, automatically we are supposed to increase fares.

“There are so many things to look out for including the current economic situation. So for where we are heading towards, we cannot keep sacrificing – definitely when our leadership meets something positive must come out.”

Transport fares went up by 20 percent in May.

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