Tax-to-GDP ratio: Tax survey shows Ghana ranks 16th among lower middle-income countries

Ghana's tax-to-GDP ratio, at 13.8% in 2022, ranks 16th among 28 lower-middle-income countries, according to a joint report by the Finance Ministry and the UK's Institute for Fiscal Studies.

Despite a six-point increase since 2000, the ratio remains below the government's 18-20% target for 2027.

The report attributes much of the revenue growth to corporate, personal income taxes, and VAT, which made up 70% of tax collections in 2022.

However, growth in personal income tax and VAT has slowed, while trade taxes' contribution has significantly decreased, reflecting a shift from reliance on trade-based revenue.