Government Denies New Sports Levy Reports for Development Fund

The John Mahama administration has firmly dismissed reports suggesting it approved a new “Sports Levy” to finance the proposed National Sports Development Fund, clarifying that no such tax has been discussed or endorsed by cabinet.

Felix Kwakye Ofosu, Minister of State in charge of Government Communications, issued the denial in a statement on Friday, explaining that while cabinet approved a bill to establish the fund, it contains no provision for any new levy. The clarification came after reports emerged citing a member of the Ghana Olympic Committee who suggested that a levy would serve as the main revenue source for the new fund.

“For the avoidance of doubt, no such levy has been proposed and neither has it been approved by Cabinet,” Kwakye Ofosu stated in a Facebook post that sought to end the growing speculation about additional tax burdens on Ghanaians.

The minister emphasized that the proposed legislation, expected to be laid before Parliament soon, aims to create a sustainable financing framework for sports in Ghana without introducing additional taxes on citizens or businesses. Instead, the fund would draw on existing revenue sources within the sports and gaming sectors that are already operational.

According to Kwakye Ofosu, these non tax revenue streams will provide adequate financing without requiring Ghanaians to dig deeper into their pockets. The approach appears designed to avoid public backlash at a time when many citizens are already feeling the pinch of economic belt tightening measures.

The government expects the Sports Development Fund to become operational by the first quarter of 2026. Once established, it will provide stable funding for grassroots sports development, maintenance of aging facilities such as the Accra Sports Stadium, and support for national teams and athletes across various disciplines.

The fund represents a long awaited solution to the perennial underfunding that has plagued Ghanaian sports for decades. Athletes and sports administrators have repeatedly complained about inadequate resources, leading to poor performances at international competitions and the deterioration of once proud sporting facilities.

However, questions remain about whether existing revenue sources from the sports and gaming sectors will be sufficient to meet the ambitious goals outlined for the fund. The government has not yet disclosed detailed projections or specific revenue streams that will feed into the fund.

The confusion over the levy appears to have stemmed from earlier discussions within sports circles about potential funding mechanisms. Some stakeholders had advocated for a dedicated levy similar to those used in other countries to finance sports development, but the government has now made clear this is not the path it intends to follow.