Parliament of Ghana has passed a bill to abolish the infamous Electronic Transaction Levy widely known as E-Levy. The abolishment process which was carried out on the floor of the House on Wednesday, March 26, 2025, threw Ghanaians into a state of jubilation.
The tax abolishing bill now awaits the final approval (Presidential Assent) by H.E. John Dramani Mahama, President of the Republic.
The controversial electronic transactions tax was introduced by the erstwhile Akufo-Addo government in 2022, imposing 1.5% deductions from such transactions including online payments, mobile money and bank transfers.
The introduction of the tax generated a public uproar and broke the citizenry into two divides. While some touted its ability to generate revenue for development, others including businesses and political stalwarts lamented the unbearable economic hardship it poses to livelihood especially on digital socio-economic activities.
The public subsequently protested its introduction, criticising government of exploiting low-income earners as it forced Mobile Money (MoMo) venders to roll out of business.
However, Ghanaians would now breathe a sigh of relief after Parliament passed the repeal bill to scrap the E-Levy, awaiting final approval by the president.
The abolishment of the tax is a fulfillment of a 2024 campaign promise made to Ghanaians by President John Dramani Mahama and the NDC during the electioneering season.
By: Maxwell Woyram Tsigbe