Chief Executive Officer of Prestige Capital Limited, an investment banking firm says despite the fact that the added cost of VAT on banking services will be pushed onto consumers, it is not expected to have a significant impact on the banking sector.
“It’s going to increase the cost of doing business with the banks for certain services they render to their customers. It means they are going to offload this cost onto the customer”, he tells rawgist.com adding that customers are going to pay extra on services on which VAT will be charged.
Prince Akyeampong explains however that the increased cost is not expected to have a significant effect on the customer base of banks in the country.
He believes customers might not have a choice than to comply.
He doubts VAT will be charged on customers’ deposits, situation he said will allow low income earners to still do business with the banks.