Publication

Ghana’s New Investment Promotion Authority Law: Key Changes for Business
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Parliament has passed the Ghana Investment Promotion Authority Bill, 2026 (the “Bill”), which will replace the Ghana Investment Promotion Centre Act, 2013 (Act 865) (the “GIPC Act”) and establish the Ghana Investment Promotion Authority (“GIPA”) in place of the Ghana Investment Promotion Centre (“GIPC”). The Bill has not yet received presidential assent. When in force, GIPA will assume a broader mandate than GIPC, including serving as the National Focal Point for investment promotion under the AfCFTA Protocol on Investment and facilitating outward investment by Ghanaian investors. The Bill also introduces substantive changes to Ghana’s investment framework.

Renewal of Registration - Registration with GIPA is now subject to an annual renewal instead of renewal every two years under the GIPC Act.

Minimum Capital Requirements - The Bill removes the minimum foreign capital requirement for joint ventures with Ghanaians and wholly foreign-owned enterprises. However, capital and skilled Ghanaian workforce requirements continue to apply to trading enterprises. A non-citizen may establish a trading enterprise only where that person invests a minimum of USD 500,000 in cash as equity at the commencement of the enterprise and at least 75% of the workforce comprises skilled Ghanaians. This is a reduction from the GIPC Act threshold of USD 1,000,000 and a change to the fixed requirement of 20 skilled Ghanaians. The Bill also extends these requirements to Ghanaian-owned trading enterprises that have a non-citizen as a beneficial owner or director. Former Ghanaian citizens who lost their citizenship by acquiring the citizenship of a country that does not permit dual citizenship and portfolio investors are exempt from this requirement.  Two exemptions under the GIPC Act are not retained. These are the exemptions for qualified foreign spouses of Ghanaian citizens and for enterprises established solely for export trading and manufacturing.

Activities Reserved for Ghanaians - The Bill modifies the list of activities reserved for Ghanaian citizens and wholly Ghanaian-owned enterprises by removing the printing of recharge scratch cards and pool betting business and lotteries. For gaming and lottery business, eligibility and participation conditions will be determined by industry specific laws and regulators. The Bill also strengthens enforcement by expressly prohibiting fronting and introducing administrative penalties ranging from GHS 60,000 to GHS 120,000, with additional penalties for a continuing contravention. Fronting is acting to conceal that an enterprise is wholly or partly controlled or owned by a non-Ghanaian.

Expatriate Quotas and Work Permits - The Bill provides significantly higher expatriate quotas at higher investment levels. The quota ranges from two persons for enterprises with paid-up capital between USD 50,000 and USD 500,000 to a maximum of 12 persons for enterprises with capital exceeding USD 10 million.  This is a substantial increase from the GIPC Act, which capped automatic quotas at four persons. Quota approval is subject to conditions set by GIPA on the advice of the Ghana Immigration Service, which retains discretion to refuse to grant a visa to an expatriate to whom a quota relates. Businesses may also apply through GIPA to the Ghana Immigration Service for work permits, although final approval remains with the Ghana Immigration Service.

Other Key Changes

• Citizenship by Investment - The Bill introduces the concept of citizenship by investment with its framework and details to be provided by legislation.
• Investor Grievances - The Bill also introduces an investor grievance mechanism. It allows enterprises to submit complaints within six months of the incident, subject to specified exclusions. A grievance is a complaint directly related to an investment that is submitted by an investor regarding an administrative decision or an action or omission of a government institution. GIPA must acknowledge receipt of the complaint within five days of receipt,[26] and unresolved matters are to be reported quarterly to the Office of the President.
• Technology Transfer Agreements - The Bill also reforms the Technology Transfer Agreement framework. The provision of software is covered and the minimum duration is reduced from 18 months to 12 months. Registered agreements will be valid for an initial period of five years and may be renewed for further terms not exceeding five years. Registration becomes critical, as licensed banks must not remit payments without proof of registration.  Additionally, the Bill clarifies that fees and charges relating to unregistered TTAs are not deductible for tax purposes.

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