Accra: In a strategic move to combat the impacts of inflation and currency depreciation, Ghana is considering pegging its Excise Specific Tax on tobacco to the dollar. This initiative, recommended by the Vision for Alternative Development - Ghana (VALD-Ghana), aims to enhance the effectiveness of the tax system in reducing tobacco consumption and maintaining public health standards. According to Ghana News Agency, Mr. Labram Musah, Executive Director of Programmes of VALD-Ghana, advocated for this change during a stakeholders' meeting on Excise Tax Implementation in Ghana. The proposed adjustment is designed to counteract the diminishing real value of tobacco taxes caused by the country's high inflation rate. By linking the tax to the dollar, the policy aims to ensure a consistent real value and sustain its deterrent effect against tobacco use. Mr. Musah noted that recent economic fluctuations have inadvertently made tobacco products more affordable, undermining the intended impact of the taxes. He referenc ed the World Health Organisation's stance that if tobacco taxes fail to match inflation, they lose their efficacy in curbing tobacco consumption, particularly among price-sensitive groups. Dr. Alex Kombat, Senior Revenue Officer of the Ghana Revenue Authority, highlighted the successes of the Excise Duty Amendment Act. Since its implementation, the Act has generated substantial revenue and reduced tobacco use prevalence. The government aims to use these funds to support priority sectors, such as healthcare, while also addressing the health risks associated with harmful products through the imposition of health taxes. Dr. Kombat emphasized the ongoing battle against tax evasion and illicit trade in tobacco products, urging a collective effort to combat these issues. He also called for research to assess the impact of the current tax amendments, which could inform future legislative changes. Dr. Olivia Agyekumwaa Boateng from the Food and Drugs Authority acknowledged the significant progress made with the Ex cise Duty Amendment Act in tobacco control. She emphasized that continued support and enforcement are crucial to fostering healthier communities. The Authority is actively engaged in initiatives like the Tobacco Policy Action Fund for Africa (TOPAFA) project, which plays a vital role in implementing tobacco control measures across the continent. Source: Ghana News Agency