Trades Union Congress Demands Suspension Of All Taxes On Fuel After 54% Increase In Price Since January

• The Trades Union Congress (TUC) has said the rampant fuel price increase was taking a toll on the incomes of Ghanaians
• Per the TUC's calculation, since the start of the year, fuel prices have been increased by 54% in total
• The TUC has said a good way to relieve Ghanaians would be for the government to suspend all the taxes and levies on petroleum products

The Ghana Trades Union Congress (TUC) has called on the government to suspend all taxes on petroleum products, citing the 54% increase on the commodity since January 2022 as debilitating.

In a statement, the association of over 6,000 workers from 14 different unions said the rampant increase in fuel price was draining Ghanaians' income.

"We propose that government must immediately suspend all taxes and levies on petrol, diesel, LPG and kerosene. This should bring down the prices of these fuels by an average of about 15%," the TUC said in the statement.

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The current charge is about 80 pesewas in taxes and levies per litre of petrol or diesel.

The TUC stated the astronomical increase in fuel prices was eroding the values of incomes of Ghanaian workers on fixed salaries.

"Many more Ghanaians have been pushed into poverty because of the rippling effects of higher fuel prices on the general level of prices of other essential items," the TUC statement added.

Proposing what it calls a permanent solution to the impact of fluctuations of global crude prices on the pump price in Ghana, the TUC urged the government to begin refining crude in Ghana.

"Government should also be serious about reviving the Tema Oil Refinery (TOR) to refine oil for the domestic market," the TUC admonished the government.

The prices of petrol and diesel at pumps in Ghana currently average around GH¢10 per litre, which is a significant jump in the commodity price by GH¢2 at the last pricing window.

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Bank of Ghana raises rate at which it lends to banks to 17%; first increase since 2018

Meanwhile, the Chamber of Bulk Oil Distributors (CBOD), a representative of bulk petroleum importers and exporters, has disclosed that the central bank is pumping enough forex into the petroleum sector to fight the cedi depreciation that contributes to fuel price hikes.

Bank Of Ghana Policy Rate Raised By 2.5% To 17% In First Increase Since 2018

The Bank of Ghana has raised the rate at which it lends to commercial banks by 2.5%, from 14.5% to 17%.

This means commercial banks will also increase the rate they lend to their customers in the coming days.

Bank of Ghana’s Monetary Policy Committee (MPC) announced the decision today, Monday, March 21, at a meeting with journalists and key stakeholders.

Source: YEN.com.gh