Former Finance Minister Mohammed Amin Adam says reducing petroleum taxes will not affect Ghana’s 2026 budget, citing windfall oil revenue from rising crude prices.
His comments come as pressure mounts on government to scrap the GH¢1 levy imposed on every litre of petroleum product.
Transport unions, including the Ghana Private Road Transport Union (GPRTU), alongside civil society groups and other driver associations, have warned that failure to remove the charge could trigger an increase in transport fares.
Although government has insisted it is too early to review the levy, Dr Amin Adam says the country has enough fiscal room to cushion consumers.
Higher crude prices offer fiscal space
In a Facebook post on April 2, the former minister maintained that current global oil market conditions are already benefiting the state and should make tax relief possible. “Reducing petroleum taxes will not affect the 2026 Budget,” he stated.
According to him, the government is earning more than expected because crude oil prices have remained significantly above the benchmark used in the budget.
“What the government has not told Ghanaians is that it has been gaining from the increase in international crude oil prices since the US-Israel-Iran war started.” - Mohammed Amin Adam
Dr Amin Adam explained that the 2026 Budget was based on a projected crude oil price of $76.22 per barrel and estimated production of 37.95 million barrels. However, he noted that actual prices rose above $100 per barrel for much of March 2026.
Calls grow for urgent intervention
He argued that the excess revenue from crude exports could offset any shortfall resulting from reduced fuel taxes.
“At these prices, the government is gaining additional windfall revenue of more than GH¢8 billion this year,” he said, adding that “revenue shortfalls… will be recovered from the new additional revenue.”
The former finance minister said the calls for intervention are justified and urged government to move quickly to protect households and businesses from the rising cost of fuel. “Government must act now,” he stressed.
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