The Ghana National Chamber of Commerce and Industry (GNCCI) has urged the government to reconsider its plan to re-enter the domestic capital market, cautioning that the move could further limit private-sector access to credit.

Presenting the 2026 Budget, Finance Minister Cassiel Ato Forson announced that government intends to return to the domestic market as post–Domestic Debt Exchange Programme (DDEP) restrictions ease. He explained that the objective is to refinance existing obligations, extend maturities, and minimise rollover risks—not to accumulate new expansionary debt.

However, speaking at the Chamber’s 2026 Budget Review Seminar, GNCCI President Stephane Miezan warned that the decision, if pursued now, could intensify competition for loanable funds and crowd out businesses already facing restrictive credit conditions.

“We recommend that the government reconsider its plans to re-enter the domestic bond market—even cautiously—to avoid crowding out the private sector and prevent a return to debt distress. We believe it is too early to begin taking on additional debt,” he said.

Miezan also called for the integration of firms previously supported under the One District, One Factory (1D1F) initiative into the proposed Agro-Processing Parks under the 24-Hour Economy agenda. Additionally, he urged the government to expedite the implementation of tax reforms outlined in the 2026 Budget to stimulate industrial growth.

He noted that despite the proposed reduction of the effective VAT rate from 21.9% to 20%, the burden remains too high for businesses.

“We recommend reducing taxes that directly affect productive and non-extractive sectors, including corporate tax. The proposed effective VAT rate of 20% is commendable but still high, as are utility tariffs. We also urge the swift rollout of the tax reforms announced in the 2026 budget,” he added.

The GNCCI further called on government to ensure the effective execution of policies and programmes contained in the 2026 Budget to restore business confidence and support economic recovery.

“The success of this budget depends on effective implementation. We urge government to remain committed to fully executing it,” Miezan stressed.