Seth Terkper, the finance minister under the erstwhile John Mahama-led administration doesn't agree with scraping taxes as outlined in the 2017 budget.

Finance Minister, Ken Ofori-Atta, while delivering the 2017 Budget in Parliament announced government's decision to abolish eight taxes and reduce four others, many of which were set by the previous government.

Ofori-Atta attains maintains that these "unnecessary" taxes were nuisances that hindered growth and development of industries in Ghana.

However, speaking with the Accra-based radio station, Joy FM, Seth Terkper warned of dire repercussions on Ghana’s economy given the reduction of taxes by the Akufo-Addo led government.

According to him, the reduction will only encourage smuggling and deprive government of needed taxes for development.

The former minister particularly warned that tax free spare parts importation is only going to deprive Ghana of revenues.

The abolishment of import levies on spare parts is part of the 7 major taxes to be removed by the NPP government.