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MTN, AirtelTigo to reduce MoMo charges by 25% to lessen the burden of the e-Levy

Mobile Money operators, MTN and AirtelTigo, have agreed to reduce MoMo charges by up to 25% to lessen the impact of the 1.75% e-Levy on their customers when it takes effect next year.

According to the Ghana Chamber of Telecommunications (GTC), the decision to reduce Momo charges by 25% was reached after several rounds of thoughtful considerations with the government and all stakeholders.

“We have had extensive deliberation with government on the need to lessen the impact on our consumers. We acknowledge the need to expand the tax base.”

“However, to reduce the overall impact of the new levy on consumers, MTN and AirtelTigo have agreed to downward revision of their P2P (person to person transfer) fees by up to 25% depending on respective operator,” the GTC noted in a press release.

SOURCE: citinewsroom

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When will the 25% e-levy Momo charges reduction take effect?

According to the Ghana Telecoms Chamber (GTC), “Each operator would notify their customers of the applicable revised rate when the e-levy bill is passed into law.”

Vodafone currently has a zero charges policy MoMo transfers.

Background of e-levy

The Finance Minister, Ken Ofori Atta Hon., announced a new 1.75% e-levy on all electronic transactions in the 2022 budget presentation. The new economic policy has since its announcement generated a massive public outcry.

Although the government claims that the new 1.75 percent e-levy will be an innovative way to increase sustainable revenue by “taxing” Ghana’s ever-growing “digitization” space, experts and stakeholders believe that the policy is ill-timed and will intensify the plight of ordinary Ghanaians in the country’s current hardships.

Meanwhile, the Minority caucus in Parliament has pledged to reject the e-Levy bill whenever it is been debated in Parliament.

The e-levy policy is scheduled to kickstart somewhere in January 2022, after all the deliberation has been done and approved by Parliament.

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