Suspension of 5% capital gains tax to attract potential investors – GSE MD
Economic news for Tuesday, March 30, 2021
The Managing Director of Ghana Stock Exchange, GSE, Ekow Afedzie welcomed the government’s decision to withdraw the 5.0 percent capital gains tax on the profits made by investors in the capital market.
His comments come after Parliamentary Affairs Minister Osei Kyei-Mensah-Bonsu announced the decision to permanently exempt listed securities from payment of capital gains tax, as outlined in the government’s 2021 budget statement .
The GSE MD believes this move is a game-changer for the growth of the stock market, which could attract more potential investors to the country.
“As I indicated earlier, this is very encouraging news for us and we, as managers of the stock market, are very grateful to the government for this bold move.”
“I think this will be a game-changer for the growth of the market and many investors will be encouraged to enter the market. This has been a practice in other countries and it has attracted a lot of businesses as well, ”Afedzie told Accra-based Joy Business.
Ekow Afedzie further stressed that the suspension of capital gains tax would encourage more entrepreneurs to invest in the capital market and the stock market.