The CEO of the Ghana Investment Promotion Centre Yoofi Grant has hinted of plans to remove protectionism clauses from the GIPC Act 2013 (Act 865) which guide investments in the country.
He argues that Ghanaian businesses need incentives rather than protection against their foreign counterparts in the local business space.
Protectionism clauses restrict certain areas of commerce like Retail Trading, Commercial Transportation among others to only Ghanaians.
Speaking to Starr Business’ Osei Owusu Amankwaah, Mr. Grant said the move is to attract more investors into the country.
He said: “The literature will tell you that it is very difficult to develop on protectionism. We have quality issues, we have education issues etc. But if we rather incentivize our entrepreneurs and our business people and they take the example of such development that have taken place in other countries I think we have a better chance.
“If we create incentives for our people to develop, they will go far instead of protecting them. Because protectionism when there is no capital to develop it means you are not going anywhere.”
He added many of the products that are traded in Ghanaian markets are foreign-based.
“Even now, foreigners flood our retail sector. How many things do we manufacture in Ghana? All our people who are trading stuff in the market, where are the goods coming from; they are foreign, they are not Ghanaian made.
“I’m saying that, we should create the opportunity so that Ghanaians can also manufacture. You can start by leaning from your partners. When you bring the investment to actually manufacture here we have a better chance of Ghanaians learning to manufacture than if they always have to go out there, buy the goods and come and trade them,” he pointed out.
Mr. Grant was speaking to Starr Business at the maiden Business partnership session organized by the Dubai Chamber of Commerce. The event was to exchange investment ideas and also encourage investors from Dubai to move into Ghana. The Dubai Chamber was led by the Director, Omar Abdulaziz Khan.
