The much-debated Electronic Transfer Levy (E-Levy) continues to be a major topic in Ghana’s financial landscape, but MTN Ghana CEO Stephen Blewett has made it clear that its abolishment cannot happen overnight.
Speaking at the MTN House in Accra on Wednesday, April 2, he addressed public concerns over the levy, the regulatory constraints involved, and what its removal would mean for mobile money users.
“There’s a process that has to be followed,” he stated emphatically.
“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.”
His comments highlight the fact that while the government has expressed intentions to scrap the levy, the telecommunications sector, including MTN, is bound by strict regulatory frameworks that must be adhered to before any changes take effect.
E-Levy was introduced with the expectation of generating significant revenue for Ghana’s economy, but according to Mr Blewett, it has failed to live up to those projections.
“I read an article a few days ago, and in terms of what it actually delivered for the fiscals, it was not nearly as high as the predictions,” he revealed.
With the levy underperforming, he believes the decision to scrap it is justified, especially if the goal is to drive financial inclusion and encourage mobile money transactions.
“People have this perception that suddenly there’s a lot of money flying around the ecosystem. No,” he emphasised.
For Blewett, the real reason behind the push to remove the levy is to reignite growth in Ghana’s mobile money sector, which took a hit following the introduction of the tax.
“The reason for the abolishment of E-Levy is to encourage momentum in mobile money,” he explained.
Before the levy was introduced, mobile money was rapidly becoming the dominant financial tool for millions of Ghanaians, particularly those without access to traditional banking services.
However, the E-Levy discouraged transactions, slowing down adoption rates and impacting businesses that rely on digital payments.
“So that’s what [the removal] will deliver. It will get us back on a faster momentum,” Mr Blewett said confidently.
While the removal of the E-Levy is widely anticipated, Blewett’s remarks make it clear that it won’t happen instantly.
MTN, like other financial institutions, must wait for the official directive before making changes to its mobile money operations.
However, once the levy is abolished, mobile money transactions are expected to rebound, benefiting both individual users and businesses that depend on seamless digital payments.
“We will follow the process,” Mr Blewett assured. “And once it’s gone, mobile money will regain its strength.”
Source: myjoyonline.com