Rédaction Africa Links 24 with Ghanaian Times
Published on 2024-03-08 08:05:25
The Ghana Union of Traders’ Association (GUTA) has raised concerns about the impact of exchange rates being tied to duties at the country’s ports. The Union believes that this practice has led to inflation in the country, as any fluctuation in the exchange rate directly affects the prices of goods.
The Union has called on the government to address this issue and also remove certain taxes, such as the COVID-19 and Special Import Levies, which are further exacerbating the decline in businesses. This sentiment was echoed by Anthony Oppong, the Ashanti Regional Chairman of GUTA, who expressed that many businesses are struggling and on the verge of giving up.
Mr. Oppong made these remarks on the sidelines of an intensive training session for Small and Medium-sized Enterprises (SMEs) organized by Access Bank in collaboration with Deloitte Ghana. The training, themed “SME Financial Empowerment: An Imperative for Business Resilience,” saw the participation of about 500 SMEs who were educated on topics like record-keeping, business growth, and tax obligations in Ghana’s corporate governance.
Highlighting the financial challenges faced by businesses, Mr. Oppong emphasized the impact of high exchange rates on their capital, making it incredibly difficult to operate. He reiterated the urgent need for the government to eliminate the COVID-19 and Special Import levies to alleviate the burden on businesses.
Thompson Apam, the Ashanti Regional Manager of the Association of Ghana Industries, focused on the importance of tax education, particularly regarding withholding tax. He highlighted the lack of understanding among many people, including SMEs, about this concept and called for government intervention to address the multitude of taxes that are causing businesses to collapse gradually.
Speaking through a representative, Ashanti Regional Minister Mr. Simon Osei Mensah acknowledged the economic struggles faced since 2020 due to the impact of the coronavirus. He assured that the government is committed to supporting SMEs to thrive and contribute significantly to the economy, recognizing their vital role in economic growth, job creation, and poverty reduction. SMEs account for over 50 percent of the private sector output, underscoring their importance in driving the economy forward.
In conclusion, the training session aimed to equip SMEs with the necessary knowledge and skills to navigate the financial challenges they currently face. The Ghana Union of Traders’ Association continues to advocate for policy changes to alleviate the burden on businesses and ensure their sustainability in the long run.
Read the original article on Ghanaian Times
