Tax-related challenges continue to pose significant threats to Ghana’s petroleum industry, according to Deloitte’s October 2024 Oil and Gas Industry Survey.
The report reveals that 46% of industry stakeholders consider “high tax rates” to be the most critical issue facing the sector.
These tax challenges not only affect profitability but also impede the industry’s growth and competitiveness.
Around 42% of industry players are calling for a tax amnesty, believing it would foster a more business-friendly tax environment.
The survey also shows that approximately 80% of players depend on foreign currency to fulfill payment obligations but face difficulties in acquiring it due to high exchange rates. They suggest that resolving the forex shortage could alleviate this challenge.
Additionally, the report indicates that 91% of respondents view local content regulations as adequate or somewhat adequate in promoting Ghanaian participation in the sector, though a small fraction believes these rules deter foreign investment.
Moreover, most top executives emphasize the importance of companies publicly disclosing their Environmental, Social, and Governance (ESG) practices.
The value of transparency is further underscored by a 4.22 rating for the significance of reporting on environmental and social impacts.
Source: Adomonline
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