The Report: Ghana 2024
With robust economic fundamentals and significant export potential, Ghana is set to play a greater role in the economy of West Africa, as well as on the continent. The country expects to benefit from its young population, stable political environment and membership in the Africa Continental Free Trade Area, providing a point of entry for foreign and domestic investors to the country’s various economic sectors.
Country Profile
The first country in Africa to achieve independence from the UK, Ghana has been widely regarded as a stable democracy, economic powerhouse and key player on the continent since the establishment of the Fourth Republic of Ghana in January 1993. However, recent economic challenges have resulted in acute financing issues, depreciation of the local currency and high inflation, while real GDP growth slowed to 3.1% in 2022 from 5.1% the previous year. Despite these pressures, Ghana aims to become a leading centre on the continent for financial services, and the federal budget for 2023 was demonstrative of the country’s willingness to pursue strategic investment to boost and retain foreign direct investment inflows. This chapter contains a viewpoint from President Nana Akufo-Addo, and interviews with Gan Kim Yong, Singapore’s Minister for Trade and Industry; and Gabby Asare Otchere-Darko, Founder and Executive Chairman, Africa Prosperity Network.
Explore chapterEconomy
Although impacted by the Covid-19 pandemic and other external shocks, the local currency has managed to regain much of its value against the US dollar since its low in November 2022, while GDP growth is projected to maintain an upward trajectory into 2024 and 2025. Ghana is the continent’s leading exporter of gold and its second-largest cocoa producer, and its political stability makes it attractive to those investors looking to enter the African market. Strong commodity prices have also been supportive of the country’s economic growth, while the government’s efforts to support economic diversification and infrastructure development are set in turn to boost job creation and productivity. This chapter contains interviews with Ken Ofori-Atta, Minister of Finance; Yofi Grant, CEO, Ghana Investment Promotion Centre; and Ammishaddai Owusu-Amoah, Commissioner-General, Ghana Revenue Authority.
Explore chapterFinancial Services
The Domestic Debt Exchange Programme that launched at the end of 2022 has helped stabilise inflation. This is expected to foster sustainable growth, injecting optimism into the sector and the overall economy. However, macroeconomic headwinds such as elevated government debt and inflation have constrained the maturation of Ghana’s capital markets, leading to a slowdown in the number of initial public offerings launched in recent years. The insurance sector has faced similar constraints, with its growth trajectory tempered by the general economic downturn despite new regulations and increased revenue. However, as more Ghanaians move into the formal economy, demand for insurance products is expected to grow, in turn creating more opportunities for companies operating in the sector. This chapter contains a viewpoint from Ernest Addison, Governor of the Bank of Ghana, and interviews with Chris Ofikulu, Regional CEO, UBA West Africa and Regional Director, UBA Ghana; Abena Amoah, Managing Director, Ghana Stock Exchange; Daniel Ogbarmey Tetteh, Director-General, Securities and Exchange Commission; and Shaibu Ali, Managing Director, KEK Insurance Brokers.
Explore chapterEnergy
The capacity and capability of Ghana’s energy sector is anticipated to expand in the coming years, helping increase overall revenue and maintain a steady inflow of foreign direct investment. Hydrocarbons comprised an average of 4.5% of the country’s GDP annually between 2013 and 2021, and the sector was projected to contribute $935m to GDP in 2023. Oil and gas production is projected to grow in line with Ghana’s population and economic growth, while the drive to build more infrastructure across the country is expected to result in a subsequent increase in demand for oil and gas-related products. This chapter contains interviews with Matthew Opoku Prempeh, Minister of Energy; Opoku-Ahweneeh Danquah, CEO, Ghana National Petroleum Corporation; and Edwin Alfred Nii Obodai Provencal, Managing Director, Bulk Energy Storage and Transportation Company.
Explore chapterUtilities
The utilities sector is expected to experience robust growth over the coming decade alongside positive macroeconomic trends. In 2022 oil comprised one-third of the country’s energy supply, followed by biomass and natural gas, with hydropower and other renewables accounting for less than 6% in total. However, Ghana is aiming for renewable energy sources to account for 10% of its overall energy mix by 2030, with a long-term goal of 150 GW of installed solar photovoltaic capacity by 2060. Ghana estimates that it will need more than $550bn in capital investment to achieve net zero by 2060, with the majority of this spending going to the transport and power sectors. This chapter contains interviews with Benjamin Asante, CEO, Ghana National Gas Company; and Samuel Dubik Mahama, Managing Director, Electricity Company of Ghana.
Explore chapterMining
As Africa’s leading producer of gold, the mining sector accounts for a significant portion of the economy. The sector is also a major employer, as it is composed of large-scale mining outfits, and artisanal and small-scale operators. In 2023 the government began to implement reforms on raw materials exports to support in-country, higher-value processing and manufacturing. While the coming years are likely to see a greater focus on downstream activities, traditional segments such as gold are expected to continue to grow, pushing total production upwards. The expansion of the sector is also set to further boost Ghana’s attractiveness for potential investors. This chapter contains interviews with Samuel Jinapor, Minister of Lands and Natural Resources; Edward Koranteng, CEO, Minerals Income Investment Fund; David Anthony, President and CEO, Asante Gold; and Joshua Mortoti, Executive Vice-President and Head of West Africa, Gold Fields.
Explore chapterAgriculture
In addition to being a major source of foreign exchange, the agriculture sector accounts for a significant portion of the country’s employment, as an estimated 75% of the rural population worked in the sector as of February 2023. Agriculture is projected to grow at a compound annual growth rate of 2.7% through to 2028, reaching an annual value of $3.8bn. Modern farming techniques are expected to play a key role in the sector’s development, such as through the deployment of drones to monitor crops and identify pest infestations. While cocoa is the country’s most notable crop export and the sector’s largest revenue-earning product, there is potential to increase export of shea butter, cashew nuts, fruits and vegetables, and livestock. This chapter contains an interview with Muhammadu Muzzammil, Country Director, ECOM Agrotrade.
Explore chapterIndustry & Retail
Since 2015 industrial subsectors have consistently attracted some of Ghana’s largest inflows of foreign direct investment (FDI), with the country among the top-three in West Africa in terms of FDI since 2006. A proactive industrial policy has helped overcome obstacles such as trade barriers and the availability of industrial land, and the country offers significant development potential to consolidate its position as a centre for industrialisation in the region. In addition, thanks to its emerging middle class and high population growth, Ghana is symbolic of the continent’s ascendancy as an up-and-coming retail destination. This, in turn, should help accelerate fiscal consolidation and digitalisation, both of which are expected to be crucial to Ghana realising its retail potential. This chapter contains interviews with K T Hammond, Minister of Trade and Industry; George Owusu-Ansah, Managing Director, Unilever Ghana; and Ramesh Sadhwani, Joint Group Managing Director, Melcom Group.
Explore chapterICT
This sector remains a major contributor to Ghana’s economic development, with its value expected to grow from $1bn in 2022 to $5bn by 2030 despite the fiscal constraints and currency depreciation being experienced by the broader economy. ICT-focused businesses are set to further benefit from government support initiatives, a dynamic start-up ecosystem and improvements to the country’s digital infrastructure, with Ghana set to continue to invest in the latter to meet rising demand for digital services across the economy. E-commerce activity is also anticipated to grow substantially, harnessing the entrepreneurial drive of an energized, tech-savvy and sizeable youth population. This chapter contains an interview with Sylva Vortia, CEO, Axon Information Systems.
Explore chapterTransport & Infrastructure
The transport and infrastructure sector has seen significant development in recent years across all segments, as witnessed in the upgrades made to airport runways and the building of new terminals, as well as port and road modernisation projects. Spending on rail infrastructure is expected to boost freight and passenger capacity for domestic journeys and improve connectivity to neighbouring countries. Despite the challenging macroeconomic backdrop, the near term for transport and infrastructure in Ghana looks positive due to a better trade outlook and consistent investment inflows. The sector is also set to benefit from broader efforts to increase integration economic integration with global and regional value chains. This chapter contains an interview with Kwaku Ofori Asiamah, Minister of Transport.
Explore chapterConstruction & Real Estate
Construction has been central to Ghana’s development over the past decade, contributing 7.2% of GDP between 2013 and 2021. Although infrastructure development dominates the sector, other segments are exhibiting strong growth potential, such as the commercial, industrial, residential and energy spaces. Ghana also has a sizeable untapped market for affordable homes and commercial buildings, which presents a substantial opportunity for investors and companies. Demand for retail and office space has kept the commercial property market busy, with residential properties being converted to commercial office or retail space. In addition, Ghana intends to utilise public-private partnerships to develop 250,000 housing units annually through to 2030. This chapter contains an interview with John Entsuah, CEO, Devtraco Group.
Explore chapterTourism
The sector has rebounded since the Covid-19 pandemic, showing strong potential for growth over the coming decade. The government has invested heavily in various marketing campaigns aimed at diversifying Ghana’s visitor markets, with a focus on attracting visitors from the country’s diaspora population as part of the Year of Return and Beyond the Return campaigns. New investment in Accra’s hotel infrastructure is expected to prepare the capital for an influx of tourists as the government focuses on bringing in visitors from the UK and Europe. Government initiatives to improve the quality of the hospitality segment through the licensing of establishments and staff-training schemes is expected to further strengthen the sector.
Explore chapterHealth & Education
Ghana has made steady progress in improving access to health care for its citizens, including through the rollout of the National Health Insurance Scheme, which covered more than 17m people as of June 2023. While the Covid-19 pandemic made for a challenging environment in health care delivery, it also allowed policymakers to identify and address existing issues in facilities, the health care labour force and disease monitoring, as well as determine ways to raise standards. In the education sector, the government has passed several initiatives since 2017 aimed at improving education availability and quality. There have also been advancements in Ghana’s technical and vocational education and training segment due to the establishment of a commission to oversee its expansion. This chapter contains interviews with Dr Elikem Tamaklo, Managing Director, Nyaho Medical Centre; and Yaw Osei Adutwum, Minister of Education.
Explore chapterTax
Ghana has a number of mechanisms in place to levy taxes on both individuals and business entities. These include a graduated scale for residents, with the maximum rate for residents reaching 35% and a flat rate of 25% for non-resident individuals; the Financial Sector Recovery Levy, a 5% tax aimed at the accounting profit of banks, with an exception for rural and community banks; and the Growth and Sustainability Levy, a quarterly tax on the accounting profit before tax or gross production for specific companies and institutions. The digitalisation of tax administration services is likely to bring numerous benefits, revolutionising the way the Ghana Revenue Authority, the country’s primary tax collector, administers laws and regulations. This chapter contains a viewpoint from Ayesha Bedwei Ibe, Tax Leader, PwC Ghana.
Explore chapterLegal Framework
Ghana’s dynamic economic landscape showcases its commitment to fostering an investor-friendly environment. As regulatory shifts promote a conducive corporate legal atmosphere, the country remains at the forefront of innovation in the field of financial technology thanks to various policy directives and the regulatory sandbox established by the Bank of Ghana. The intersection of regulatory advancements, technological innovation and sustainability creates a compelling narrative for investors, while the government’s commitment to transparency and inclusivity puts the country in a position to become a global contender for strategic investment. To further attract foreign investment, the government has passed legislation to improve the investment climate. This chapter contains a viewpoint from Afua Adubea Koranteng, Managing Partner, Koranteng & Koranteng Legal Advisors.
Explore chapterThe Guide
The Guide contains a selection of hotel and accommodation options in Ghana for both business and leisure travellers. There is also helpful information regarding visa regulations, health considerations, business etiquette, and public and private transport options. This chapter contains interviews with Samuel Awuku, Director General, National Lottery Authority; and Alex Apau Dadey, Executive Chairman, KGL Group.
Explore chapterTable of Contents
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President Nana Akufo-Addo
Gabby Asare Otchere-Darko, Founder and Executive Chairman, Africa Prosperity Network
Benjamin Asante, CEO, Ghana National Gas Company
Samuel Dubik Mahama, Managing Director, Electricity Company of Ghana (ECG)
Sylva Vortia, CEO, Axon Information Systems
John Entsuah, CEO, Devtraco Group
