Seoul: Deputy Finance Minister Thomas Nyarko Ampem has announced that Ghana's tax-to-GDP ratio has increased from 12.3% to 14% in 2025. This development points to the country's efforts in boosting domestic revenue mobilization and enhancing fiscal sustainability.
According to Ghana Web, Ampem made these remarks during the opening session of the Korea High-Level Invitational Visit by the Ghanaian delegation, part of the Ghana Tax Modernisation Project (2023-2026) in the Republic of Korea. He emphasized the government's commitment to maintaining macroeconomic stability after successfully completing Ghana's IMF-supported economic program. The government aims to implement policies to boost domestic revenue generation and promote inclusive growth.
Despite the improvement, Ampem acknowledged that Ghana's tax performance still lags behind countries with similar economic profiles. "Ghana's tax-to-GDP ratio, although improving from approximately 12.3 percent to about 14 percent in 2025, remains below the average for countries at similar levels of development," he noted. This situation highlights the need for further reforms to improve revenue collection efficiency, reduce leakages, broaden the tax net, and encourage voluntary tax compliance.
Ampem identified key measures required to sustain the progress achieved so far, including the adoption of modern revenue administration systems, stronger institutional capacity, enhanced collaboration among state agencies, and increased use of technology. These considerations underscore the importance of the Ghana Tax Modernisation Project to the country's revenue mobilisation agenda.
The project is being implemented with support from the Korea International Cooperation Agency (KOICA), the Korea Institute of Public Finance, and other development partners. It aims to transform Ghana's tax administration system through innovation, technology, institutional reforms, and capacity building. Ampem explained that the project's objective extends beyond improving tax collection, aiming to build a modern, technology-driven tax administration framework that promotes efficiency, strengthens transparency, enhances public trust, and supports Ghana's long-term development aspirations.
Ampem expressed optimism that lessons from Korea's development journey, along with recommendations from the project, would assist Ghana in building a more resilient and effective tax system capable of financing the country's development priorities.