Charles Kusi Appiah, Executive Secretary for Ashanti Business Owners Association
The Executive Secretary for Ashanti Business Owners Association, Charles Kusi Appiah, has disclosed that prices of goods on the market may not go down as expected due to the 2.5 per cent increase in Valued Added Tax, VAT.
“Government in the 2023 budget statement introduced the 2.5 per cent increase in VAT which has been approved by parliament, inflating the cost of business and by the principles of business, the final consumer will have to bear the brunt.
“...As a business, one of our major objectives is to give competitive prices while getting profits at the same time, so in the government increases the cost of doing business, we as traders will surely pass on the additional cost to the final consumer," he said.
Speaking on Kumasi-based FM station OTEC 102.9 FM’s breakfast show “Nyansapo”, on Friday, January 6, 2023, hosted by Captain Koda, Kusi Appiah said that the VAT increment alone has inflated their operations by 250 basis points, adding that the situation will push the price of goods up.
Consumers prior to the festive season complained about the high prices of items.
The calls have however been intensified following a reduction in the cost of fuel in recent times.
Meanwhile, Kusi Appiah has emphasized that it will be very difficult for traders to slash the prices due to the increase in VAT and some other factors beyond their reach.