UNDP Supports Ghana's Efforts to Align its Tax System with the Sustainable Development Goals

May 21, 2024

Group photo of participants

Photo @Ernestina Ocansey/ UNDP Ghana

 

In a concerted effort to align Ghana's taxation system with the Sustainable Development Goals (SDGs), the United Nations Development Programme (UNDP) through its Tax for SDGs initiative, in collaboration with the Ministry of Finance, Ghana Revenue Authority, and other key stakeholders have held an evaluation exercise for the Sustainable Taxation Framework (STF). 

The Sustainable Taxation Framework (STF) is a tool designed to align tax systems with the SDGs. It analyzes the linkages between taxation, specific SDGs targets and opportunities for tax policies and administration to contribute to achieving the SDGs. For Ghana, the STF will focus on specific SDGs including Goal 2 (Zero Hunger), Goal 3(Good Health and Well-being), Goal 4(Quality Education), Goal 9(Industry, Innovation and Infrastructure), Goal 13(Climate Action), and Goal 17(Partnership for the Goals). 

The evaluation exercise, which saw the participation of the Ministry of Health, Ministry of Environment Science, Technology, and Innovation (MESTI), Ministry of Education, and Academia, marks an inclusive approach in Ghana's journey towards achieving the SDGs. Through series of discussions and engagement, which was guided by specific global best practices, stakeholders delved into Ghana's performance within the STF, aiming to enhance understanding and synergies between tax policy, administration, and the selected SDGs. 

“We are committed to supporting Ghana's efforts to achieve the SDGs. The Tax for SDGs initiative, based on the STF, is an important step towards ensuring that the country has the resources it needs to achieve its SDGs”, noted Edward Ampratwum, Head of Inclusive Growth and Accountable Governance.

Through the Tax for SDGs initiative, UNDP is providing training and technical assistance to officials from the Ministry of Finance and the Ghana Revenue Authority. The goal is to enhance their understanding of the SDGs and how taxation can be used as a tool to achieve them, in line with the STF. The initiative will focus on strengthening tax policy and administration, improving tax compliance, and enhancing international cooperation to combat tax evasion and avoidance.

Over the next year, key stakeholders will be engaged to develop a comprehensive tax strategy that aligns with the SDGs, provide training and capacity-building programs for tax officials, and support the development of innovative tax instruments to finance SDG-related projects.

By supporting Ghana's efforts to align taxation with the SDGs, UNDP is helping to ensure that the country has the resources it needs to achieve its development goals and create a more sustainable and prosperous future for all its citizens.