President John Dramani Mahama says his administration is prioritising the use of technology and artificial intelligence (AI) to improve tax collection efficiency, a move he believes could create room for future reductions in corporate income tax and other taxes.

Speaking during a courtesy call by the Kwahu Business Advocacy Group at the Jubilee House, the President said government is shifting its focus from introducing new taxes to improving revenue mobilisation through more efficient tax administration.

He explained that his administration believes higher tax compliance and better collection systems can generate sufficient revenue without placing additional burdens on businesses and citizens.

“We’re concentrating on efficiency in collecting the taxes because we believe that if we collect the taxes more efficiently, we don’t need to introduce new taxes,” Mahama said.

The President noted that government has already abolished what many Ghanaians described as nuisance taxes, including the COVID-19 Levy and the Electronic Transfer Levy (E-Levy), while reducing the overall value-added tax (VAT) burden.

Looking ahead, Mahama said technology, particularly artificial intelligence, will play a central role in modernising tax administration.

“When we start AI in VAT collection and AI in corporate income tax collection, please don’t be afraid because if it increases revenue and it’s doing well, then we can reduce the corporate income tax. We can reduce the VAT rate,” he said.

He, however, cautioned that any future tax reductions would depend on sustained improvements in revenue collection and should not be interpreted as an immediate policy announcement.

“I don’t want you to say government will reduce VAT and taxes soon. I said if, in future, we collect more efficiently, then we can give the benefits to businesses by reducing the taxes,” the President clarified.

Mahama said improving tax administration forms part of his government’s broader economic reform agenda aimed at creating a more business-friendly environment, strengthening investor confidence and supporting private sector growth.

President John Dramani Mahama has reiterated his administration’s commitment to reducing the cost of doing business through sustained economic reforms, saying government is focused on creating a stable and predictable environment that allows businesses to grow and create jobs.

Speaking during a courtesy call by the Kwahu Business Advocacy Group at the Jubilee House, the President said the government’s economic agenda is centred on restoring macroeconomic stability, strengthening investor confidence, improving infrastructure and removing barriers that increase business costs.

“Our reset agenda is centred on restoring macroeconomic stability, currency stability, rebuilding investor confidence, lower interest rates for businesses, improving infrastructure, strengthening institutions and removing unnecessary barriers that increase the cost of doing business,” he said.

Mahama noted that after one and a half years in office, his administration has made significant progress in stabilising the economy, particularly by improving exchange rate stability, which he described as critical for business planning.

“Businesses cannot flourish where uncertainty prevails. Businesses need predictability, consistency and trust, and those are the principles that guide our economic management today,” he stated.

The President said government has also undertaken major reforms in the energy sector by reducing debts owed to Independent Power Producers (IPPs), improving revenue collection by the Electricity Company of Ghana (ECG) and settling outstanding payments to upstream gas suppliers.

According to him, ECG’s monthly revenue collection has increased to nearly GH¢2 billion, enabling the company to pay power producers on time and end the accumulation of new debts.

He added that increased gas supplies from the Jubilee and Sankofa fields have strengthened electricity generation and improved the reliability of power supply for businesses.

Mahama also highlighted ongoing investments in roads, water supply and digital infrastructure, describing them as essential to improving Ghana’s competitiveness and lowering operating costs for businesses.

He said government would continue implementing the 24-hour economy programme and the Accelerated Export Development Programme to support industrial expansion and encourage greater private sector participation.

On access to finance, the President explained that lower government borrowing has reduced treasury bill rates, compelling commercial banks to lend more to businesses instead of relying on investments in government securities.

He encouraged entrepreneurs to take advantage of the improved lending environment to expand their businesses.

Ghana’s financial sector recorded a sharp increase in fraud incidents in 2025, largely driven by rising electronic fraud cases within the Payment Service Providers (PSPs) sector, according to the latest fraud report from the Bank of Ghana.

The report, released by the Financial Stability Department of the central bank, revealed that total reported fraud cases across banks, Specialised Deposit-Taking Institutions (SDIs), and PSPs increased from 16,733 cases in 2024 to 24,778 cases in 2025, representing a 48 per cent rise.

The total value at risk also increased slightly from GH¢99 million in 2024 to GH¢101 million in 2025.

According to the report, the sharp rise was mainly influenced by developments in the PSP sector, where fraud cases increased significantly alongside the rapid growth of digital financial transactions.

PSPs Record Nearly 98% of Fraud Cases

The PSP sector accounted for the overwhelming majority of reported fraud cases in 2025, recording 24,124 incidents compared to 15,673 cases in 2024.

This represents a 54 per cent increase, with the value at risk rising by 95 per cent from GH¢19 million to GH¢37 million within the same period.

The Bank of Ghana attributed the increase to the expansion of digital payment platforms and relatively lower levels of digital financial literacy among some users.

The report noted that fraud activities have gradually shifted towards PSPs as more Ghanaians adopt electronic payment channels.

Banks Record Decline in Fraud Cases

Unlike PSPs, banks experienced a reduction in fraud incidents in 2025.

The number of fraud cases reported by banks dropped from 716 in 2024 to 472 in 2025, representing a 34 per cent decline.

The value at risk also reduced by 24 per cent, falling from GH¢75 million to GH¢57 million.

The top fraud categories recorded in banks were ATM/POS fraud, fraudulent withdrawals, cash suppression, cyber and information systems fraud, and forgery or manipulation of documents.

Cash suppression emerged as the biggest financial threat to banks, accounting for GH¢40.7 million in value at risk, largely due to an isolated GH¢36 million incident.

SDIs Record Fewer Cases but Higher Exposure

Specialised Deposit-Taking Institutions (SDIs) also recorded a decline in fraud cases, moving from 344 cases in 2024 to 182 cases in 2025, a 47 per cent reduction.

However, the value at risk increased significantly from GH¢4.5 million to GH¢8 million, representing a 77 per cent rise.

Forgery and manipulation of documents recorded the highest value at risk in the SDI sector at GH¢4.2 million, while cash suppression remained one of the major fraud concerns.

Rural and Community Banks (RCBs) accounted for a significant portion of cash suppression cases within the SDI sector.

Staff-Related Fraud Declines

The report also showed a decline in staff involvement in fraudulent activities across banks and SDIs.

The number of staff implicated in fraud reduced from 365 in 2024 to 219 in 2025, representing a 40 per cent drop.

Out of the 219 staff-related fraud cases recorded, 139 cases involved cash theft and cash suppression.

Banks and SDIs dismissed 75 employees over fraud-related offences in 2025, compared to 155 dismissals in 2024.

BoG Calls for Stronger Fraud Prevention Measures

The Bank of Ghana stressed that tackling fraud requires coordinated efforts among financial institutions, regulators, law enforcement agencies, and the public.

The central bank said increasing digitalisation and innovation have created new opportunities but have also introduced more complex fraud risks.

It reaffirmed its commitment to strengthening supervision, improving regulatory frameworks, and supporting initiatives aimed at protecting Ghana’s financial sector and maintaining public confidence.

Source: Bank of Ghana 2025 Fraud Report