PwC Ghana’s Vish Ashiagbor emphasizes the need for ongoing dialogue between the government and mining firms following an increase in the Growth and Sustainability Levy from 1% to 3%. This change, announced by Finance Minister Dr. Cassiel Ato Forson and effective until 2028, has raised concerns about short notice and lack of consultation within the industry. Ashiagbor highlights how sudden policy changes could disrupt long-term investment strategies, urging for structured communication to balance revenue generation and industry sustainability.
Vish Ashiagbor, the Country Senior Partner at PwC Ghana, has underscored the significance of ongoing communication between the government and mining companies regarding the increase in the Growth and Sustainability Levy from 1% to 3%. This increase was announced by the Minister of Finance, Dr. Cassiel Ato Forson, on March 11, 2025, and is set to continue until 2028.
Many industry leaders expressed concern over the lack of advance notice and meaningful consultation regarding this change. During PwC’s 2025 Budget Digest Forum in Accra on March 18, 2025, Ashiagbor recognized these concerns while also addressing the government’s fiscal pressures. He noted that mining companies base their investment decisions on long-term strategies, making them vulnerable to abrupt policy alterations.
Such unexpected changes, like the levy increase, can disrupt financial forecasts and profitability for these companies. Ashiagbor stated, “The argument that those in the mining sector are making is that they make their plans or their investments based on a long-term plan. So, when you suddenly impose or increase the levy and extend its tenure, it disrupts their planning and may affect their expected returns.”
PwC advocates for a structured dialogue between the government and industry stakeholders to find a balance between effective revenue generation and sustainability in the mining industry.
In summary, PwC Ghana calls for improved communication between the government and mining companies following the increase in the Growth and Sustainability Levy. This dialogue is essential to alleviate concerns about investment stability and ensure sustainable practices in the industry. Addressing the needs of both sectors could foster a collaborative environment for future fiscal policies.
Original Source: www.ghanaweb.com
