E-levy Would Play A Major Role In IMF Bailout – Prof. Lord Mensah

Economics Professor at the University of Ghana Business School, Lord Mensah has disagreed with calls for the scrapping of the e-levy since the government announced an IMF programme.

Speaking on Top Story, Tuesday, Prof. Lord Mensah explained that the levy could play a major role in Ghana being provided the required support from the Fund.

“The e-levy is going to be a tracker on the table in engaging the IMF, because when the IMF comes in, they may have to look at the country’s position in accepting some of the conditions they would give. I believe this government knows very well that the e-levy is going to play that role,” he said.

He noted that the Fund back in 2011 and 2015 asked government to revise and introduce some tax measures. Thus, he doubts if the Fund would encourage the scrapping of the levy.

Prof. Lord Mensah believes the government knew how important the levy could be in their achievement of the IMF support programme.

This, he said is the reason government has announced an IMF bailout despite its earlier claim.

“That is why they ended up with IMF even though the political packaging was that if we take the e-levy, we may not go to IMF. But that was not the case, it was a third choice they gave us which is going to be the both of them and e-levy is going to play a major role in the IMF programme this time around,” he told Evans Mensah.