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Investment & Legal Framework
OVERVIEW
In view of the government’s vision of making Ghana
the Gateway to West Africa and to attain middle-
income status by the year 2015, the government is
committed to implementing policies that reduce the
general cost of doing business in Ghana and to pro-
mote investor’s confidence in the country. With a sta-
ble multi-party government that is committed to mar-
ket liberalization, Ghana has been ranked as one of
the most attractive locations for doing business in
Africa. Other factors that make Ghana a competitive
investment destination include:
• A sound macroeconomic environment
• Immediate access to all markets of the Economic
Community of West African States (ECOWAS)
• 100% foreign ownership is permitted
• On-going privatisation in key economic sectors
• On-going infrastructure development
• Expanding stock market
• Competitive labor force
• Availability of skilled and trainable labour
• Quota-Free access to USA & European Union
markets.
• Export-free zones where goods traded with
other countries are exempt from customs duties
and laws
• Fast developing financial infrastructure
• High degree of personal safety and
• Warm and friendly people
Domestic Laws
Laws governing the establishment of business in
Ghana are in accordance with the provisions made
in the following legal legislation:
• The Companies Code, 1963 (Act 179)
• The Partnership Act, 1962 (Act 152)
• The Business Name Act, 1962 (Act 151).
Regulatory Bodies
The legal framework for investment in Ghana is reg-
ulated by different agencies in the economy. These
are:
• Registrar General’s Department
• Ghana Investment Promotion Council (GIPC)
• Ghana Immigration Service (GIS)
• Internal Revenue Service (IRS) and VAT Secretariat
• Environmental Protection Agency (EPA)
Registrar General’s Department
The Registrar General’s Department is the organi-
zation that registers all companies, societies and
institutions in Ghana and issues certificates of incor-
poration and commencement of business to newly
formed companies.
Ghana Investment Promotion Council
Ghana Investment Promotion Council Act of 1994
governs foreign investment in Ghana and the GIPC
was established under the Act as the government
agency responsible for overseeing investments in all
sectors of the economy except mining, petroleum,
free zones and portfolio investments.
Investments in the mining and petroleum sector are
licensed by the Minerals Commission and the Minis-
try of Mines and Energy respectively whiles that for
export processing zone and portfolio investments
are administered by the Ghana Free Zones Board
and Ghana Stock Exchange respectively.
Ghana Immigration Service
Ghana Immigration Service is the governmental au-
thority that grants work and/or residence permit.
It also handles re-entry visas, extension of visitors
permit and visa on arrival to visitors in Ghana where
there is no Ghanaian Embassy or consulate abroad.
Internal Revenue Service and VAT Secretariat
The Internal Revenue Service and the Value Added
Tax Secretariat are the governmental agencies re-
sponsible for the collection of statutory taxes.
Environmental Protection Agency
Environmental Protection Agency is in charge of is-
suing the necessary environmental permits to com-
panies operating in environment sensitive areas of
various fields.
Investment Procedures
The first step for an investor wishing to invest in
Ghana is to register with the Registrar’s General De-
partment. The department charges a fee of 0.5% of
the company’s stated capital.
The official processing time lies between three to five
days, after which the company will receive the cer-
tificate of incorporation and certificate to commence-
ment of business.
After incorporation, companies that are partly or fully
owned by foreigners have to register with the GIPC.
Registration is completed after companies have met
the minimum equity requirements depending on its
structure as shown on the next page.