The Ghana Revenue Authority (GRA) is accelerating its adoption of Artificial Intelligence (AI) and machine learning (ML) technologies to combat persistent tax revenue leakages and modernise the country’s tax administration system.

This push forms part of Ghana’s broader effort to improve transparency, boost efficiency, and enhance domestic revenue mobilisation.

Speaking at a National Dialogue on Tax Revenue Leakages held at the University of Professional Studies, Accra (UPSA), GRA Deputy Commissioner Elsie Appau-Klu announced that the Authority is rolling out AI-powered systems to enhance real-time data analysis across sectors such as banking, telecommunications, customs, and utilities.

“These technologies are allowing us to detect irregularities in tax filings, flag suspicious transactions, and initiate more targeted audits. Innovation is becoming central to how we prevent revenue losses and recover unpaid taxes,” she stated.

The dialogue also spotlighted the role of Strategic Mobilisation Ghana Limited (SML)—a local firm that has emerged as a key partner in revenue assurance. Over five years of collaboration with the GRA, SML has transitioned from a subcontractor auditing import transactions to a strategic player in the downstream petroleum sector.

Dr Yaa Serwaa Sarpong, Director of Support Services at SML Ghana, shared how the firm’s centralised monitoring platform—integrating data from the GRA, National Petroleum Authority (NPA), and depot operators—has significantly improved transparency in fuel volume reporting.

“Before our involvement, reported fuel volumes were around 208 million litres monthly. Now, that figure has more than doubled to 450 million litres,” Dr Sarpong said.

Between May 2020 and December 2024, SML’s systems captured 14.1 billion litres of previously unreported fuel, contributing over GH¢20 billion in additional tax revenue. The company now plans to extend its technology-driven auditing services to Ghana’s upstream petroleum and mining sectors.

Despite these gains, former Finance Minister Dr Mohammed Amin Adam cautioned that digital tools alone will not resolve Ghana’s deep-rooted revenue problems.

“We’ve implemented more than 20 tax software systems and launched multiple reforms, but tax revenue still underperforms. The problem is weak enforcement and inefficient administration,” he said.

Dr Adam compared the tax system to a leaking pipe, arguing that simply raising tax rates won’t work without first fixing systemic inefficiencies. He pointed to a 2022 audit which showed that only 39% of potential VAT revenue was collected, and corporate tax compliance was as low as 18.5%. Ghana’s tax-to-GDP ratio remains around 14%, below both the Sub-Saharan African average of 16% and the OECD’s 30%.

He urged comprehensive reform in the extractive sector’s fiscal framework, calling for the implementation of windfall taxes, better oversight of multinational tax practices, and more aggressive enforcement of transfer pricing and debt loading regulations—areas where AI could be effectively applied.

“Without bold reforms, our domestic revenue will continue to fall short of what’s needed to fund national development—especially in the face of dwindling donor support and post-debt-restructuring challenges,” he added.

In response, the GRA is pursuing deeper partnerships with institutions such as the Financial Intelligence Centre and Bank of Ghana to monitor financial transactions, capital flows, and illicit activities, including cryptocurrency usage. The Authority is also enhancing customs intelligence, automated post-clearance audits, and port surveillance to combat smuggling and trade-based tax evasion.

Francis-Xavier Sosu, Member of Parliament for Madina and GRA board member, assured stakeholders that insights from the dialogue would guide future tax policy reforms.

“This conversation is vital. It challenges our current strategies and helps us design smarter, more effective tools to safeguard national revenue,” Sosu said.