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Phone Transactions Levy To Pay For Roads – Finance Minister

The Finance Minister says government is looking to introduce innovative ways of raising revenue after it scrapped the payment of tolls on tolled roads.

Ken Ofori-Atta said government is proposing a 1.7% phone transactions levy payable by mobile money users per transaction above ¢100.

He said this will help government to shore up revenue inflows to fund road projects in the country.

Government has scrapped the payment of road tolls by motorists who ply tolled roads across the country.

Finance Minister Ken Ofori-Atta, who announced this before Parliament during his 2022 Budget presentation on Wednesday, said it should be a relief for road vehicle users given the heavy vehicular traffic it engenders.

He said it will shorten travel time and ineffective revenue collection at tolling points on public roads.

Explaining the rationale behind the scraping of the road tolls, the Minister said the revenue that accrues to the state for the construction and maintenance of roads is inadequate “hence, government has to look elsewhere to equitably generate revenues for the construction and maintenance of our roads.”

“Over the years, the tolling points have led to heavy traffic on our roads and lengthened travel time from one place to another, impacting negatively on time and productivity.

The congestion generated at the tolling points, besides creating these inconveniences, also leads to pollution in and around those vicinities.

“To address these challenges, government has abolished all tolls on public roads and bridges. This takes effect immediately after the Budget is approved. The toll collection personnel will be reassigned.

“The expected impact on productivity and reduced environmental pollution will more than offset the revenue forgone by removing the tolls,” he added.

 

Source: myjoyonline.com

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