In a significant move to bolster its economy, the Ghanaian government has announced the abolition of the Covid-19 Health Recovery Levy and a reduction in the Value-Added Tax (VAT). Finance Minister Cassiel Ato Forson presented these measures to Parliament on Thursday, November 14, 2025, stating they are designed to modernise the tax system and ease the cost of doing business.
Economic Relief and Growth Forecast
Finance Minister Cassiel Ato Forson revealed that the dual policy of scrapping the Covid levy and cutting VAT will return GHS 5.7 billion (approximately $520 million) to businesses and households in 2026. He emphasised that these decisions followed months of detailed analysis and broad consultations with stakeholders.
"After months of detailed analysis and broad consultations with stakeholders, we have completed the design of a modernised VAT system fit for Ghana's economic transformation agenda," Forson told lawmakers. The government is projecting a GDP growth of at least 4.8 percent for the next year.
Providing further evidence of economic recovery, Forson noted that inflation had slowed to 8 percent in October, marking the tenth consecutive month of decline. He also highlighted that GDP grew by 6.3 percent in the first half of 2025, a notable increase from the 5.3 percent growth recorded in 2024. "The economy is breathing again — stronger, steadier and full of promise," the Minister declared.
Tragic Stampede Overshadows Economic News
While the government unveiled its economic plans, a sombre event unfolded in the capital. A tragic stampede during a military recruitment drive at the El-Wak Sports Stadium in Accra on Wednesday resulted in the deaths of at least six people.
According to the army, the incident occurred around 6:20 am (0620 GMT) when a large crowd of job seekers surged through the stadium gates, breaching security protocols. Six potential recruits were crushed to death, and twenty-two others were injured, with at least five reported to be in critical condition by Ghana military hospital official Evelyn Abraham-Kwabiah.
A similar incident in Kumasi, in the southern part of the country, left five people injured. The Ghana Armed Forces has since suspended the recruitment exercise and established a committee to investigate the cause of the "unfortunate incident".
Aftermath and Presidential Response
The aftermath of the stampede was one of grief and confusion. At the 37 Military Hospital in Accra, distraught families crowded the emergency ward, desperately seeking information about their loved ones. Security officers struggled to manage the swelling crowds as medical teams worked tirelessly.
President John Mahama visited the injured at the hospital under tight security. He expressed his sorrow, stating, "We witnessed a sad event today, we encountered a disaster. The violence ensued when the gates were opened for people to enter, but the youth rushed in, and sadly, some fell and were stomped on."
President Mahama explained that his government had mandated an open recruitment process to ensure equal opportunity for young people across the country to join the military. In Ghana, soldiers are not only involved in常规 military activities but are also tasked with targeting illegal mining operations in the resource-rich nation.
