Economist Dr. Adu Sarkodie has urged the government to rethink its approach to revenue mobilisation by adopting a more aggressive strategy aimed at unlocking untapped sources of revenue to support national development.
According to him, Ghana’s poor revenue performance over the years requires a complete reset of the existing approach, with renewed focus on reforms, research and strategies that can expand the country’s revenue base.
Speaking on Eyewitness News on Thursday, July 23, Dr. Sarkodie argued that improving revenue generation is critical to enabling government to finance development projects without relying heavily on borrowing.
“When it comes to revenue performance, we should reset our mind, reset the strategy, research the reforms and strategize, and be aggressive in the revenue mobilisation,” he said.
He noted that Ghana has significant revenue potential from areas such as natural resources, the informal sector and property taxation, but has not fully benefited from these sources due to existing policy gaps.
“God has blessed us with these minerals and yet we are not benefiting enough. Their contribution to public finance is so minimal because of the contracts that we have signed,” he stated.
Dr. Sarkodie explained that with more than 80% of Ghana’s workforce operating in the informal sector, innovative measures and incentives could encourage more people to enter the tax system.
He also pointed to property taxation as another untapped source, arguing that improving collection mechanisms could significantly boost government revenue.
“The best idea is to raise and spend. We should move from this expenditure-led fiscal consolidation to a more aggressive revenue-led fiscal consolidation,” he added.
