MTN Ghana CEO Stephen Blewett has emphasized that the abolishment of the Electronic Transfer Levy (E-Levy) cannot be done hastily.
Speaking at the MTN House in Accra, he noted that a strict process must be followed, stressing that “there’s a process that has to be followed.”
Mr. Blewett explained that he cannot unilaterally abolish the E-Levy, stating, “I can’t abolish E-Levy until I’m told to do it. If I do it ahead of time, the Bank of Ghana will catch me.”
The E-Levy was introduced to generate significant revenue for Ghana’s economy, but it has fallen short of expectations.
According to Blewett, the levy’s performance has been underwhelming, revealing that “in terms of what it actually delivered for the fiscals, it was not nearly as high as the predictions”.
Blewett believes that removing the levy is crucial for driving financial inclusion and encouraging mobile money transactions.
He emphasized that the primary reason for abolishing the E-Levy is to “encourage momentum in mobile money”.
Before the levy’s introduction, mobile money was rapidly gaining traction, particularly among those without access to traditional banking services.
However, the E-Levy has discouraged transactions, slowing adoption rates and impacting businesses reliant on digital payments.
While the removal of the E-Levy is anticipated, Blewett’s remarks underscore that it won’t happen instantly. MTN and other financial institutions must await the official directive before making changes to their mobile money operations.
Once the levy is abolished, mobile money transactions are expected to rebound, benefiting both individual users and businesses dependent on seamless digital payments.
Blewett assured, “We will follow the process… And once it’s gone, mobile money will regain its strength”.
