The government is set to introduce a digital platform for property rate collection as part of efforts to strengthen the internally generated revenue base of Metropolitan, Municipal and District Assemblies (MMDAs).
Minister for Local Government, Chieftaincy and Religious Affairs Mahama Ayariga announced the proposed reform on Monday, October 5, during the Government Accountability Series.
According to Mr Ayariga, the digital system will integrate property rate payments with mobile money platforms and consolidate property and spatial data from relevant national institutions to improve revenue mobilisation.
He said the reform is aimed at ensuring that statutory property rates are fully captured while reducing opportunities for partial payments and the involvement of unnecessary intermediaries.
“Digital systems will reduce opportunities for partial payments and unnecessary intermediaries, while strengthening transparency and ensuring that the State captures the full statutory rates due,” he said.
Mr Ayariga explained that a significant portion of the revenue generated through the system would be reinvested in local infrastructure.
These projects would include roads, streetlights, pavements and drainage systems, among other essential municipal infrastructure.
The Minister said the reforms could also provide a stronger foundation for innovative municipal financing mechanisms in the future, including the issuance of municipal bonds where appropriate.
He said the proposed digital property rate system forms part of broader efforts to improve local revenue mobilisation, strengthen accountability and give MMDAs greater capacity to finance development projects.