Ghana raising corporate tax on miners to secure IMF funding
The Ghanaian government has indicated in a letter to IMF managing director Christine Lagarde that it expects to bring in as much as $165 million from the increased corporate tax rate on mining firms.
The letter – signed by finance minister Kwabena Duffuor and Central Bank Governor Kwasi Amissh-Arthur – outlines a number of policies being undertaken by Ghana as part of its attempts to secure funding from the IMF. More than $600 million could be granted to the country from the IMF’s Extended Credit Facility Program for Ghana.
The corporate tax rate on miners was increased from 25% to 35% in this year’s budget.
Fears that the increased rate will deter investment in the sector have been cast aside by government claims that the measures are necessary to bring in extra revenue.