Stanbic Bank Ghana’s Head of Global Markets, Corporate and Investment Banking, Afua Bulley, has called for a reduction in taxes and fixed-rate charges at ports to combat tax evasion and the proliferation of black markets. According to Bulley, the high duties, charges, and taxes faced by importers drive them to evade these charges by resorting to black markets, fueling the growth of illegal activities.
Simplifying Port Procedures
Bulley emphasized that a more efficient port system would not only curb tax evasion but also make Ghana a more attractive destination for international trade. She advocated for further education and enlightenment to make it easier for clients to acquire the requisite documentation to buy foreign exchange at banks ¹ ².
Supporting Small and Medium-Sized Enterprises
Bulley also proposed targeted support for Small and Medium-Sized Enterprises (SMEs), which form a significant portion of Ghana’s import sector. She suggested that banks and regulatory bodies work together to provide tailored financial products and simplified compliance procedures to help SMEs navigate the foreign exchange market legally.
Leveraging Technology
Bulley highlighted Stanbic Bank’s ongoing efforts to introduce digital platforms that make it easier for clients to access foreign exchange and comply with regulatory requirements. She urged policymakers to align regulations with technological advancements to create a more seamless and competitive business environment.
Structural Reforms
Bulley called for structural changes to the economy to complement the recent appreciation of the national currency and de-dollarization efforts. “The recent upsurge in the cedi’s value is a positive step, but it must be complemented by deliberate structural reforms to ensure long-term stability,” she stated.
Stanbic Bank’s Commitment
Bulley reaffirmed Stanbic Bank’s commitment to supporting initiatives that promote financial inclusion and economic resilience. She emphasized the bank’s role in providing innovative solutions to meet the needs of businesses navigating Ghana’s complex economic landscape.
Streamlining Taxation
Experts, such as economist Dr. Paul Appiah Konadu and former Finance Minister Seth Terkper, have also advocated for a more streamlined tax system, highlighting the need to eliminate illegal charges and reduce the tax burden on importers. According to Dr. Konadu, clamping down on port charges could reduce the cost of machinery and curb imported inflation. Terkper suggested that a rationalized tax system would promote transparency, equity, and sustainability.
