General Secretary of the Mobile Money Agents Association of Ghana, Evans Otumfuo has revealed that the introduction of the electronic transaction levy (E-Levy) led to the collapse of nearly 17,000 mobile money businesses nationwide.

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In an interview with the media yesterday, Otumfuo indicated that the excessive taxation drained the working capital of many agents, ultimately pushing them out of business.

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After a conducted internal survey, the association discovered that that numerous agents shut down their operations due to repeated deductions on transactions, whether carried out through banks or among fellow agents.

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“Momo agents at a point were subjected to the various forms of levy deductions. We lost our working capital, it hasn’t been in the interest of our business so far. We received it as a piece of good news, the cancellation of E-levy, we really look forward to its implementation.”

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The former President Akufo-Addo signed the E-Levy Bill into law on March 31, 2022.

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Subsequently, the Electronic Transaction Levy (E-Levy) was introduced to Ghanaians by the finance ministry on May 1, 2022.

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Its implementation was met with significant public opposition, as many Ghanaians raised concerns about the financial burden it imposed. The levy was widely regarded as an additional strain on citizens, leading to widespread dissatisfaction.

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However, in a recent development, the current Finance Minister, Dr. Cassiel Ato Forson, announced the abolition of the E-Levy as part of the 2025 budget.

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This decision has been welcomed by many Ghanaians, who view it as a much-needed relief from the financial strain caused by the levy.

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