The Korea International Corporation Agency (KOICA) has signed a $2.2 million grant Memorandum of Understanding (MoU) with the government, through the Ministry of Finance to strengthen the capacity of Ghana's tax policy.
Per the MoU, KOICA will collaborate with top tax experts from Korea to establish a master plan tailored to the Ghanaian context, to improve tax administration in the country.
The Deputy Minister of Finance, Dr John Ampontuah Kumah, yesterday signed on behalf of the government, whilst the Country Director of KOICA, Mr Dong Hyun Lee, signed for Korea at a brief ceremony in Accra.
Dr Kumah said the grant agreement would help the government to broaden the tax system in order to increase revenue to the country's national development.
He said the government would leverage the Information Communication and Technology (ICT) tools, in addressing the loopholes in the country's tax collections.
Dr Kumah said the MoU represented the tangible efforts and collaboration between the government of Ghana, and the people of Korea to improve lives, and as well contribute to the sustainable development of Ghana.
He assured that the Ministry of Finance was determined to reducing the budget deficits and control the national debt, adding that "the surest way to reducing the deficits and control the national debt is to increase revenue."
On his part, Mr Lee said KOICA would lay the foundation for a significant transformation in Ghana's tax administration by diligently sharing Korea's knowledge and vision with Ghana.
He said Korea's remarkable economic growth was not solely achieved through business development, but rather through dedicated efforts of the government and officials, who engaged in extensive learning through various master plan initiatives.
"Korea has also built its institutional systems through the development of master plans and research tailored to its own circumstances.
The significance of tax revenue to socio-economics is unquestionable because, tax is the crucial resource for development like energy, land and human empowerment," Mr Lee said.
