Finance Minister Dr Ato Forson is set to announce a reduction in the effective Value Added Tax (VAT) rate to be paid by businesses from next year. The adjustment will be captured in the 2026 Budget, which will be presented to Parliament later today.
In addition to the VAT cut, Dr Ato Forson is expected to announce a comprehensive review of Ghana’s tax laws, with strong indications that the controversial COVID-19 Levy will be scrapped.
Some analysts have described the upcoming reforms as a “total revamp” of the country’s tax regime — similar to the wide-ranging changes implemented between 2013 and 2016.
According to sources, the move forms part of the government’s broader plan to simplify the tax system, enhance compliance, and address persistent revenue mobilisation challenges.
The Finance Minister is also expected to propose amendments to the Public Financial Management Act to tighten expenditure controls. This will be complemented by upgrades to the Ghana Integrated Financial Management Information System (GIFMIS) to improve fiscal oversight and debt management.
The 2026 Budget will further highlight key government initiatives such as the “Big Push” and the “24-Hour Economy” programme, both aimed at expanding the economy and creating sustainable jobs.
Dr Forson is likely to stress how prudent economic management has maintained stability and will outline strategies for sustaining growth beyond Ghana’s IMF-supported programme.
