Ghana has hired McKinsey to boost its revenue

The Ghanaian government has hired McKinsey & Company to help boost tax revenue.

Emmanuel Kofi Nti, Commissioner General of the Ghana Revenue Authority, disclosed to reporters on Wednesday, September 12, 2018.

McKinsey is here to “change GRA’s systems to be comparable to the best in revenue administration in the world through simplifying our processes and introducing innovation,” Bloomberg quoted Nti as saying.

The consultancy firm will build staff skills and is expected to help reverse a trend of missing revenue targets, he said.

The west African country missed its tax revenue target for the first 8 months in 2018 by 1.8 billion cedis ($367 million), Bloomberg reports.

The shortfall was attributed to drop in Customs collections in the region.

Two weeks ago, Ghana's Finance Minister Ken Ofori-Atta announced an imposition of a luxury vehicle tax on vehicles with a capacity of 3.0 litres and above.

Ofori-Atta had attributed the increase on the under-performance for the first five months of 2018 with an estimated deficit of 4.9% of GDP compared to the programmed target of 4.5%.

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