Revamping the Strategy for Revenue Generation

As Ghana navigates an increasingly complex economic environment, a recent analysis by Deloitte Ghana on the 2025 Mid-Year Budget Review underscores the pressing need for a transformative shift in how the country mobilises revenue. Traditional reliance on direct taxation and incremental revenue targets is no longer adequate to meet the demands of sustainable economic development.

Ghana’s public finance framework has, for too long, leaned heavily on conventional tax structures—corporate taxes, VAT, and income levies—while offering limited innovation in policy and execution. However, with persistent structural challenges such as currency volatility, dependency on raw commodity exports, and inefficiencies in tax collection systems, this model is proving unsustainable. A fundamental rethink of our revenue mobilisation approach is overdue.

Rather than continuing to raise tax rates or introduce new levies that burden businesses and citizens, Ghana needs a strategy focused on growth, innovation, and resilience. A forward-thinking revenue mobilisation plan must leverage entrepreneurial finance, technology, and public-private collaboration to expand the tax base and unlock new sources of income for the state.

One key area of opportunity is digital transformation. Advancements in data analytics, automation, and digital payments can enable the Ghana Revenue Authority to improve compliance and reduce leakages. Formalising taxation in the digital economy—especially online retail, freelance services, and content creation—can generate new revenue without significantly increasing the tax burden. In an era where mobile transactions and e-commerce are surging, it is imperative that public policy keeps pace.

At the same time, non-tax revenues remain an underutilised asset. Environmental fees, tourism levies, and creative licensing arrangements present viable channels to diversify the country’s income. By expanding these alternative streams, Ghana can ease pressure on tax revenues while promoting more sustainable and inclusive economic development.

Another significant opportunity lies in reforming the performance of state-owned enterprises (SOEs). Many SOEs hold valuable assets but are underperforming due to governance challenges and limited oversight. Institutions such as the State Interests and Governance Authority (SIGA) can play a transformative role by ensuring that SOEs operate efficiently, deliver value for money, and return profits to the state in the form of dividends. Optimising these assets could significantly reduce Ghana’s fiscal deficits.

Equally critical is the role of the private sector. A thriving private sector fosters job creation, innovation, and investment, which naturally broaden the tax base. Beyond direct taxes, private companies also support public infrastructure and social programs through corporate social responsibility (CSR). These initiatives reduce the fiscal burden on the government and contribute to national development.

Moreover, strengthening Ghana’s capital markets and encouraging domestic savings mobilisation can unlock long-term financing for development. A deeper, more liquid financial system allows for more effective mobilisation of resources from within the country, reducing dependence on external loans and aid. Such a system also empowers local entrepreneurs and businesses to scale, further expanding the government’s revenue potential.

Ultimately, Ghana’s fiscal sustainability depends on its ability to move beyond outdated models of revenue generation. It is time to adopt an adaptive, technology-driven, and investment-friendly approach that aligns with the realities of a modern economy.

A cohesive strategy—built on innovation, good governance, and collaboration—can help Ghana not only meet its fiscal targets but also build a more inclusive and resilient economy. The government, private sector, and oversight institutions must work in concert to redefine how the country raises and manages public funds.

Only through such a transformation can Ghana secure a stronger economic future for its citizens—one where growth and revenue generation go hand in hand with opportunity and prosperity.