VAST Ghana calls for excise tax reforms in 2027-2030 budget

VAST Ghana has formally called on the Ministry of Finance to integrate comprehensive excise tax reforms into the upcoming 2027-2030 Budget Statement. The advocacy group argues that these fiscal measures are essential to address the escalating burden of non-communicable diseases (NCDs) across the country. By restructuring how harmful products are taxed, the organisation aims to create a sustainable stream of health financing while simultaneously discouraging the consumption of products that contribute to chronic illness.

The proposed reforms highlight several specific adjustments to the current tax regime, most notably the extension of hybrid excise taxes to all categories of alcoholic beverages. Currently, excise structures may vary across different product types, but VAST Ghana is pushing for a uniform application to ensure all alcohol products are appropriately priced to reflect their health impact. Additionally, the group is advocating for a significant increase in tobacco taxes and the introduction of a minimum pricing policy. These measures are designed to curb the accessibility of tobacco and alcohol, particularly among young people and other vulnerable populations who are most at risk from the long-term health consequences of consumption.

Beyond immediate health benefits, VAST Ghana emphasizes that these reforms should be a cornerstone of Ghana’s broader fiscal policy. By aligning taxation with public health objectives, the organisation believes the government can generate the necessary revenue to fund health infrastructure and NCD management. As the Ministry of Finance prepares the 2027-2030 Budget Statement, the group maintains that these tax adjustments represent a critical step toward reducing the national health expenditure associated with preventable lifestyle diseases and enhancing the overall well-being of the Ghanaian populace.