President John Dramani Mahama has assured Ghanaians that the newly introduced GHS1 fuel levy will not lead to an immediate increase in fuel prices at the pump.
Addressing concerns following the implementation of the levy, the President cited recent improvements in Ghana’s macroeconomic stability and a stronger cedi as key reasons why the impact on fuel prices will be minimal in the short term.
“With the recent gains in macro stability and the strengthening of the Ghana cedi, this levy is not expected to result in immediate fuel price increases at the pump,” President Mahama stated when the National Economic Dialogue committee presented its final report to him at the Jubilee House in Accra on Wednesday June 4.
He acknowledged the financial strain the levy may place on households and businesses but stressed that the decision was made with careful consideration.
“We are fully aware of the burden this will place on households and businesses, but I want to assure Ghanaians that this decision was not taken lightly,” he said.
The GHS1 fuel levy, part of broader efforts to address energy sector debt and ensure a stable power supply, is expected to generate GHS5.7 billion annually. The government has pledged that all revenue from the levy will be ringfenced for specific energy-related purposes, including debt repayment and fuel procurement.
