President Mahama Officially Abolishes Covid-19 Levy: "Campaign Promise Fulfilled"

• President John Mahama has officially signed into law the repeal of the Covid-19 Health Recovery Levy introduced in 2021
• The levy, which imposed a 1% charge on goods and services, will be scrapped entirely starting January 2026
• The move fulfils a key 2024 campaign promise to eliminate so-called nuisance taxes and reduce the cost of living for Ghanaians
• Emmanuel Ega Abledu, a young NDC activist and former Tein UPSA vice president, shared his views on this in a discussion with YEN.com.gh

President John Dramani Mahama has officially scrapped the Covid-19 levy that was introduced in 2021 at the height of the global pandemic.

The president, on Wednesday, December 10, 2025, assented to the COVID-19 Health Recovery Levy Repeal Act, 2025, which was recently approved by the Parliament of Ghana.

This comes after Parliament approved the COVID-19 Health Recovery Levy Repeal Act, 2025, following debates between the Minority and Majority members of the House.

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The repeal of the Act will pave the way for the complete scrapping of the levy starting from January 2026, as captured in the budget statement presented by the Finance Minister, Dr Cassiel Ato Forson.

Why the Covid-19 levy was introduced

The Covid-19 levy, introduced by the erstwhile Nana Akufo-Addo administration at the peak of the pandemic, was imposed on goods, services, and imports.

Act 1068 imposed a 1 per cent levy on the value of taxable goods and services in Ghana, as well as on imports, excluding items exempt under VAT regulations.

This, together with other levies such as the betting tax and the Electronic Transaction Levy (E-levy), has brought significant hardship to the people of Ghana.

However, during the 2024 elections, candidate John Mahama of the National Democratic Congress promised to abolish what he described as nuisance taxes, including the one mentioned above, if voted into power in 2025.

The fulfilment of this major campaign pledge is in line with the Mahama-led government’s effort to eliminate what it has described as nuisance taxes and ease the cost of living for households and businesses.

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Mahama’s Covid levy repeal earns praise

Reacting to this in an interview with YEN.com.gh, Emmanuel Ega Abledu, a young NDC activist and former Tein UPSA vice president, described the repeal of the Covid-19 levy as a political win for his party.

"This feels like a promise kept and a huge relief for ordinary people and businesses. When that levy was introduced in 2021, many of us in the NDC argued that it was a burdensome tax on an already struggling population. It was meant to be a temporary measure for recovery, but it started to feel like a permanent fixture," he said.

"Seeing President Mahama sign its repeal isn't just a political win for our party; it's a tangible demonstration of a government listening to the groans of market women, drivers, small shop owners, and salaried workers. It puts a little more breath back into people's pockets. It shows a government that is sensitive to the cost of living crisis. For us activists, it strengthens our message that the NDC is proactive about removing needless tax burdens when we have the mandate to do so," he added.

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Ghanaians react to repeal of Covid-19 levy

Ghanaians on social media have reacted to the repeal of the Covid-19 levy.

YEN.com.gh has compiled a few of the reactions below:

@Nana Yaw Kumkuma said:

"Good, but please follow it with probity and accountability. They must answer for the millions that they have squandered, hiding behind COVID-19."

@Mohammed Fuseni also said:

"Ɛgyimifoɔ aban, and why did you wait to collect revenues from the COVID tax for a year before cancelling it moaaa."

@Noah Young Narteh commented:

"Can we get serious for once? In a few days, utility tariffs will skyrocket to close to a 30% increase. So who are we fooling??"

Mahama scraps betting tax and e-levy

YEN.com.gh reported earlier that President John Mahama had assented to the Electronic Transaction Levy (Repeal) Bill to scrap the unpopular tax.

The Electronic Transaction Levy was a 1% tax on all electronic transactions, with a daily free limit and certain exemptions.

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He also assented to the Income Tax (Amendment) Bill and the Emissions Levy (Repeal) Bill.

Proofreading by Samuel Gitonga, copy editor at YEN.com.gh.

Source: YEN.com.gh