The Ghanaian government has reaffirmed its commitment to fostering a conducive investment climate to attract foreign investors and propel economic advancement.
Speaking at the 2024 Economic Counsellors’ Dialogue Series in Accra, Yoofi Grant, Chief Executive Officer of the Ghana Investment Promotion Center (GIPC), emphasized the pivotal role of investors in driving the nation’s progress.
Grant underscored the government’s eagerness to collaborate with international partners for mutual gain.
He emphasized that despite grappling with significant economic hurdles during the COVID-19 pandemic in 2020, Ghana witnessed encouraging Foreign Direct Investment (FDI) inflows in the initial quarter of 2021, surpassing levels from 2020 and 2019.
In the first quarter of 2021 alone, Ghana attracted an estimated investment worth $719.97 million, with an FDI value amounting to $682.19 million.
By the close of 2021, the total FDI surged to $1.88 billion, representing around 3.3% of the nation’s Gross Domestic Product (GDP).
To further attract foreign investments, the government remains resolute in positioning Ghana as an appealing investment hub.
Grant also delved into the shifting dynamics of the global economic landscape, stressing the need to engage with foreign missions to discern their role in Ghana’s economic expansion.
“The changing landscape of global economics today, we all know that the world is not what it used to be 10 years ago. Now, there’s a lot of room for new partners, new opportunities, and new challenges that we need to walk through, negotiate, and come to mutual concerns on how you can benefit from it.
“For us in Ghana, we want to do all these to benefit us, so our engagement with all foreign missions is still understanding; how they can play a role in Ghana’s economic growth, that’s our interest.”
Yoofi Grant
In parallel efforts, Shirley Ayorkor Botchwey, Minister of Foreign Affairs and Regional Integration, outlined various initiatives undertaken by the government to refine the business climate and render it more investor-friendly.
These measures encompass the digital transformation of the economy, encompassing e-business registration, paperless court clearance, digital addressing systems, mobile money interoperability, and a national identity card system.
“Ghana has put measures in place to ease burdens with regard to doing business in Ghana through the provision of an enabling environment for the successful operation of investors through the digitalization of the Ghanaian economy.”
Shirley Ayorkor Botchwey
IMF’s ECF Spurs Investment Surge in Ghana
According to a recent quarterly report by the GIPC, the International Monetary Fund’s (IMF’s) approval of Ghana’s Extended Credit Facility (ECF) in May 2023 positively impacts the Ghanaian economy.
“The improving trends are translating into increased confidence, particularly in the realm of investments, evidenced by a significant increase in average monthly Foreign Direct Investment (FDI) from US$44.79 million in the first half of 2023 to US$63.47 million in the second half, post the IMF deal announcement.
“From January to December 2023, the Ghana Investment Promotion Centre (GIPC) recorded FDI totaling US$649.58 million. These investments are anticipated to create 13,523 jobs when operations reach full capacity.”
Ghana Investment Promotion Center Quarterly report – December 2023
The Ghana Investment Promotion Center (GIPC) is a government agency in Ghana responsible for promoting and encouraging investment in the country. Established by the GIPC Act, 2013 (Act 865), it aims to create an attractive and transparent environment for businesses to invest in Ghana.
The GIPC works to simplify the investment process for businesses and offers incentives to attract foreign direct investment.
Additionally, the GIPC promotes investment in key sectors of the Ghanaian economy, such as manufacturing, agriculture, and tourism.
The GIPC also provides support services to investors, including assistance with company registration, obtaining work permits, and navigating regulations.
The government’s unwavering dedication to cultivating an investor-friendly milieu is poised to reinforce Ghana’s allure as a prime destination for foreign investments, thereby fostering sustained economic growth and prosperity.
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