IEAG Calls on President Mahama to Terminate Controversial SML Contract to Safeguard Public Purse

The Importers and Exporters Association of Ghana (IEAG) has issued a strong appeal to President John Dramani Mahama, urging him to decisively terminate the controversial contract between the Ghana Revenue Authority (GRA) and Strategic Mobilisation Limited (SML). The Association describes the deal as a drain on public finances and an unnecessary duplication of existing systems.

Speaking at a press briefing in Accra, IEAG's Executive Secretary, Mr. Samson Asaki Awingobit, expressed grave concern over the continued existence of the SML-GRA agreement, despite numerous public calls for its revocation.

“The SML contract is not only redundant but also burdensome to taxpayers,” Mr. Awingobit stated. “This government must demonstrate fiscal discipline by walking away from arrangements that do not provide real value to the nation, especially in these critical economic times.”


IEAG’s Position on the SML Deal

The Association argues that the services provided by SML are already being performed by established state institutions such as the Customs Division of the GRA and the National Petroleum Authority (NPA). According to IEAG, maintaining the contract with SML only adds another layer of cost to government revenue collection mechanisms—without offering measurable efficiency gains.

“What we see is a case of overlap. The Customs Division has the structure and capacity to monitor petroleum volumes and revenues. Bringing in a private entity to do the same job only means more money out of the public purse for no additional value,” Mr. Awingobit emphasized.


Call for Leadership and Accountability

IEAG reminded President Mahama of his long-standing commitment to protecting the public purse and called for immediate steps to uphold transparency, accountability, and prudent economic management.

“This is an opportunity for the President to reaffirm his dedication to good governance. The business community is watching, and so are the citizens who expect government to act in their best interest,” the statement added.


Broader Impact on Business and Trade

IEAG also highlighted how wasteful public contracts affect the larger business ecosystem, particularly importers and exporters who are already overburdened by taxes, levies, and compliance costs.

  • Reduced fiscal space caused by unnecessary contracts leads to increased pressure on businesses to generate revenue through heightened taxes and fees.
  • Investor confidence is weakened when public institutions appear inefficient or politically manipulated.

“Every pesewa misused through inefficient contracts is a pesewa not spent on roads, infrastructure, customs modernization, or the kinds of trade support Ghana’s business community urgently needs,” Mr. Awingobit said.


A Final Appeal

IEAG concluded its press interaction by urging President Mahama to take a firm, bold step in ending the contract with SML, and instead reinvest such resources into modernizing GRA systems, empowering Customs operations, and enhancing technological innovations that truly drive trade facilitation and economic growth.


📞 For media inquiries or interviews:
IEAG Public Affairs Unit
info@ieaghana.com

📰 Published by:
Importers and Exporters Association of Ghana
www.ieaghana.com

Source: Original Report on MyJoyOnline

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