By Mabinty M. Kamara
Amidst the global economic challenges posed by the COVID-19 pandemic, Sierra Leone’s GDP according to officials of the National Revenue Authority has reached 15.3 percent.
The figure according to the Director-General of NRA, Samuel S. Jibao is the first in the country’s economic history.
Director Jibao noted that initially, they had a target of 6.6 trillion Leones for 2021 and that based on the performance from January to September, there was a slight overperformance.
“And coupled with the fact that we are also expecting payment from a mining sector, the target was increased to 6.8 trillion (Leones). So if we achieve the 6.8 trillion, what that means is that we are now talking about 15.3 percent GDP and this is one thing which the country has never achieved in the history of revenue generation even when the country’s economy was booming, they have never entered into a 15.3 percent GDP,” he said.
He added: “Despite the global economic challenge, we are confident that we will reach the 6.8 trillion target by the end of the year. And once that is being done, that will be a record-making.”
He, therefore, expressed gratitude to the government, the Board, and the ministry of finance for their continued support. However, he said change management has been a major challenge faced by the institution as it is difficult for people to accept and adapt to the reforms introduced but said the Integrated Tax Administration System has been effective. The Commissioner-General called on all to ensure tax compliance by requesting GST receipt from businesses upon purchase of goods and services. He warned against tax evasion as it will attract the necessary penalties as stated in the law.
Speaking at the 9th annual NRA Board retreat, held at the Place Resort in Tokeh, in the outskirts of Freetown on the 1st of December this year, the Board Chair Tuma Adama Jabbi said the occasion was for the board and the institution’s management to look back on their actions and plan for the coming year.
She said as a board, they are aware of the growing need of resources by the central government which they work towards bearing in mind the estimated GDP ratio to be achieved by 2023.
“The figure stands to be about 20% GDP ratio by the year 2023. That is a mandate to which we aspire. I am informed that the estimated revenue to GDP ratio at the end of 2021 is 15.3(percent). With the advent of the current reforms, we hope to make these figures and more by 2023,” she assured.
Madam Jabbi added that they have in addition supported the revenue generation agency’s senior management to institute digital reforms for effective and efficient tax administration systems such as the Asycuda World, and the Integrated Tax Administration System which she said is currently functional.
In his statement, the chairman of the occasion, Joseph Egbenda Kapuwa, acknowledged the role played by the NRA in terms of tax administration and revenue generation in the context of national development.
However, he said he hoped that with the revenues generated, the government will ensure timely disbursement of salaries, and for challenges over social amenities like schools, hospitals, water supply among others be addressed. The retreat is expected to end on Saturday the 5th of December.
Copyright © Politico Online 03/12/21
