DOING BUSINESS IN GHANA
F A Q
1. Why should I invest in Ghana?
Ghana offers investors a forward leaning, business-enabling environment, with features such as:
• A stable and predictable political environment
• No discrimination against foreign-owned businesses
• A free-floating exchange rate regime and guarantees that investors can
transfer profits out of Ghana
• Investment laws that protect investors against expropriation and
• Comparatively less prevalent incidence of corruption than in other
countries in the region
2. How is the general tax regime like for Companies in Ghana?
Companies operating in Ghana are liable to pay varied levels of taxes depending on the sector of operation, and the location of the project and whether the company is listed on the Ghana Stock Exchange or is a Free Zone. Taxable profits are based on profits declared in audited accounts subject to adjustments made for capital allowances.
3. What incentives do licensed free zone companies get?
There are monetary and non-monetary incentives. The monetary incentives offered
• 100% exemption from payment of direct and indirect duties and levies on
all imports for production and exports from free zones.
• 100% exemption from payment of income tax on profits for 10 years which
will not exceed 8% thereafter.
• Total exemption from payment of withholding taxes from dividends arising
out of free zone investment.
• Relief from double taxation for foreign investors and employees where
Ghana has a double taxation agreement with the country of the investors or employees. Non-monetary incentives include:
• No import licensing requirements.
• Minimal customs formalities.
• 100% ownership of shares by any investor — foreign or national in a free
zone enterprise is allowed.
• There are no conditions or restrictions on repatriation of dividends or net
profit, payments for foreign loan servicing, payments of fees and charges for technology transfer agreements and remittance of proceeds from sale of any
interest in a free zone investment.
• Free Zone investors are permitted to operate foreign currency accounts with
banks in Ghana.
• At least 70% of annual production of goods and services of Free Zone
Enterprises must be exported, consequently up to 30% of annual production
of goods and services of a free zone enterprise are authorized for sale in the
• Free Zone investments are also guaranteed against nationalization and
4. How does a company become a Free Zone Company? Or what are the procedures to become a free zone company?
Investors are required to go through the following application procedure to obtain a Free Zone license:
• Incorporate a company in Ghana with the Registrar General's Department
• Obtain and complete the GFZB Application Form (US$ 100) and submit with
i. Business Plan
Copy of Certificate of Incorporation
Copy of Certificate to Commence Business
iv. Copy of Company's code
v. Evidence of possession/lease of property or intent to acquire property
v. MOU with potential clients.
vii. Environmental Protection Agency Permit
viii. Evidence of Funding/Capital Transfer
ix. Any other relevant document
• After completing the application and submitting it with all the necessary and
required documents, and upon receipt, GFZB will notify the prospective
investor of the status of his/her application for license within 28 working
5. Does Ghana offer any sovereign guarantee for big infrastructural
Ghana does not offer sovereign guarantee on big infrastructural development.
Provides an EXCROW Accounts where funds are kept with the main aim of repaying what is owed.
6. Does Ghana promote Public-Private Partnership?
Ghana promotes Public Private Partnership concept.
7. What steps are being taken to solve the energy challenges in Ghana?
The energy challenges have been identified and Ghana is requesting investors to
assist in the distributions sector.
8. Is there protection for investors against nationalization of their
Ghana's investment laws protect investors against expropriation and
nationalization. Moreover, Ghana is a signatory to international Convention on
the anti-nationalization of foreign business.
9. How does Ghana Government procure goods and contracts?
Ghana has a comprehensive public procurement system in place that fosters
competition, efficiency, transparency and accountability. Depending on the
circumstance, goods, works or services financed in whole or in part from public funds are procured by competitive tendering, two state tendering, restrictive tendering or single source tendering.
10. How many banks do we have in Ghana?
Ghana has a wide range of banking services providing competitive international banking Products