Prez Mahama orders fuel tax cuts after emergency cabinet meeting

The Government has outlined a set of urgent measures aimed at easing the burden of rising fuel prices following an emergency Cabinet meeting held on Thursday, April 9, 2026.

In a Facebook post, Minister for Government Communications, Felix Kwakye Ofosu, disclosed that Cabinet has directed the Ministers of Finance and Energy to ensure a reduction in fuel prices in the next pricing window.

According to him, the reduction will be achieved through the temporary suspension of selected taxes and margins, although the specific components have not yet been publicly disclosed.

“This is to last for four weeks and is subject to review based on the evolving situation in the Middle East conflict and movements in crude oil prices,” he stated.

Short-Term Relief for Consumers

The proposed intervention is expected to provide immediate, albeit temporary, relief to consumers who have been grappling with persistent increases in fuel prices driven largely by global market pressures.

Fuel price hikes in recent months have had a ripple effect across the economy, contributing to higher transportation fares, increased food prices, and rising costs of goods and services.

Analysts say the government’s decision to suspend certain taxes could help stabilise pump prices in the short term, though its long-term impact will depend heavily on international crude oil trends and exchange rate stability.

Public Transport Boost

As part of efforts to cushion commuters, Cabinet has also tasked the Transport Ministry with rolling out additional public transport support.

The Minister for Transport has been directed to fast-track the deployment of 100 newly acquired Metro Mass Transit buses onto major routes across the country. These buses are expected to operate at fares lower than those charged by private transport operators, offering a more affordable alternative for daily commuters.

The move is anticipated to reduce pressure on commercial transport fares, which typically rise in response to increases in fuel prices.

Government Tightens Internal Spending

In addition to external interventions, the Government is also implementing internal cost-cutting measures. All Ministers and senior appointees have been directed to strictly comply with the President’s earlier directive cancelling fuel allocations and allowances.

This step is seen as part of a broader effort to demonstrate fiscal discipline and ensure that public officials share in the burden of ongoing economic adjustments.

Linked to Global Developments

The emergency measures come against the backdrop of heightened tensions in the Middle East, a key oil-producing region, which has contributed to uncertainty in global crude oil markets.

Fluctuations in international oil prices, combined with currency pressures, have continued to influence domestic fuel pricing, prompting governments worldwide to explore interventions to protect consumers.

Outlook

While the government’s latest measures are expected to provide short-term relief, observers note that sustainable fuel price stability will require longer-term strategies, including diversification of energy sources, improved public transport systems, and stronger economic fundamentals.

For now, the temporary suspension of selected taxes and the expansion of public transport options are expected to ease some of the immediate pressure on households and businesses.

The situation will be closely monitored over the coming weeks, with a possible review of the measures depending on global oil price movements and geopolitical development