President John Dramani Mahama has announced plans to abolish the minimum capital requirement for foreign investors under the Ghana Investment Promotion Centre (GIPC) Act, aiming to attract more businesses to the country.
The announcement came during the Presidential Investment Forum at the 9th Tokyo International Conference on African Development (TICAD-9) in Japan, where President Mahama pitched Ghana as a stable and investment-friendly market with improving macroeconomic conditions.
He highlighted recent economic strides, including stabilisation of the cedi and declining inflation, saying, “We are re-establishing macro stability and the growth momentum of the economy. Inflation rose to a high of almost 23% in 2024 and is currently down to 13.7%. And we expect that by the end of the year to hit single digit. And it’s also Our cedi has stabilized. For those of you who know the history of the Ghanaian cedi, it’s been one of the most volatile currencies in Africa. And a few years back, we were said to be the worst performing currency. I’m happy to announce that this year Ghana’s cedi has been the best performing currency in the world.”
President Mahama also drew attention to Ghana’s improved credit rating, noting, “As Simon said, we’ve been upgraded from junk status to B minus with a stable outlook. And I’m certain that in the next review, we’re going to be upgraded again.”
On reforms to the GIPC Act, the President explained that barriers previously imposed on foreign investors, such as mandatory minimum capital thresholds, will be removed.
“Some barriers were put to foreign investment. You had to prove that you had brought in a certain amount of money to be classified as a foreign investor. In the reviewed Ghana Investment Promotion Center Act, we’re removing those minimal capital investments,” he said.
He added that the change will make it easier for small and medium-sized investors to establish businesses in Ghana, regardless of the size of their initial investment.
“This will enable any investor, however little money you have, $100,000, $50,000, to be able to come in and set up a business in Ghana,” he noted.
The move, he said, is expected to open up Ghana’s investment landscape to a broader range of foreign investors, supporting economic growth and strengthening business ties between Ghana and Japan.
Source: Starrfm.com.gh
