Minister of State for Government Communications, Felix Kwakye Ofosu, has urged the Ministry of Finance and the Ghana Revenue Authority (GRA) to grant tax exemptions to state-owned media houses to help them continue delivering vital public services.
He also appealed to Parliament to support the tax waivers, stating that the relief would make state media more competitive and efficient.
Mr. Ofosu highlighted that key state media organisations, including the Graphic Communications Group Ltd (GCGL), Ghana Broadcasting Corporation (GBC), Ghana News Agency (GNA), and New Times Corporation, face high import duties when bringing in essential equipment.
He stressed that granting tax waivers would ease the growing financial burden on these entities. “Indeed, since assuming office, I have been inundated with requests from all state media. The Graphic Communications Group has raised concerns, for instance, about newsprint and how expensive it is to bring them and clear them at the ports,” he said.
GCGL, for example, relies solely on internally generated funds to pay salaries and import vital inputs such as newsprint, ink, plates, chemicals, and machine parts, all procured in foreign currencies. Each year, the company pays about GH¢4.5 million in duties and taxes, excluding costs borne by its subsidiary, GPak.
Despite this, it must still meet its constitutional mandate to publish and disseminate news nationwide, while complying with bureaucratic laws like the Public Procurement Act, which slow down operations. The digital shift also demands capital injection for growth and diversification.
In Parliament last Thursday, Mr. Ofosu responded to questions from MPs Alexander Afenyo-Markin and Jerry Ahmed Shaib regarding steps being taken to support GBC and other state media.
He explained that, like GCGL, GBC also pays high import duties, especially on transmitters. The Ghanaian Times faces similar issues when importing printing equipment.
He argued that outdated legislation hampers the competitiveness of state media and called for reform. “If they are state-owned organisations, what advantages are they deriving from that status compared to private organisations? I believe that at least the request for tax exemptions should be heeded by the GRA and the Ministry of Finance,” he said.
He promised to continue engaging both institutions and assured the House of future updates. “I trust that we will get the full support of Parliament if such a request were put before us,” he said.
On GBC’s challenges, Mr. Ofosu revealed the corporation is saddled with legacy electricity debts totalling GH¢18.8 million, GH¢13.77 million owed to the Electricity Company of Ghana and GH¢5.11 million to the Northern Electricity Distribution Company. These debts stem from unpaid utility bills for national security agencies co-located at GBC’s facilities.
Although GBC is currently meeting its electricity bills, the historical debt remains a burden. Mr. Ofosu also noted that for over 25 years, GBC has had minimal capital investment from the government. Most of its equipment is outdated, and upgrades rely on internally generated funds and limited foreign aid, mostly from Japan.
Furthermore, GBC is required to operate in all regional capitals, but the creation of six new regions has added pressure. He revealed that under the previous government, GBC traded prime land near Jubilee House for funding to expand into these regions, but the Finance Ministry has not fulfilled its end of the deal.
The corporation still depends on analogue equipment, including a nearly 20-year-old outside broadcasting (OB) van. For high-profile events, it must rent advanced OB vans at daily rates of up to $15,000.
“This practice is not only economically unsustainable but also emblematic of the broader resource constraints that continue to cripple the corporation’s ability to operate with autonomy, efficiency and dignity on the global media stage,” he concluded.
