“INVEST IN GHANA ……” Ghana Trade and Investment Forum 2014
Mrs Mawuena Trebarh, CEO, Ghana Investment Promotion Centre.
gipcghana.com
Agenda for Today
Invitation to invest in Ghana
About Ghana
About GIPC and other IPA in Ghana
Sector Overview and Investment Opportunities
3 easy steps to Investing in Ghana
Investment Incentives and Guarantees
Why Ghana
Exciting Pipeline Projects
Contact us
GHANA!
Ghana is…… A middle income country West Africa’s 2nd largest economy and market
Best destination for ease of doing business in West Africa - World Doing Business Report 2014 Among the top 5 destinations for doing business in Sub-Sarahan Africa Populated with 25.28m people 60% employed 11% unemployment rate
Ghana is…… Having 28,026,482m mobile subscribers
Receiving significant FDI inflows Increase of 58% from 2010 to 2013 238,537 sq. km (92,100 sq. miles) big by land size Tropical in climate, Temperature (21-32) °C A Constitutional Democracy A Unicameral National Assembly in terms of Legislature
GIPC Mandate The Ghana Investment Promotion Centre (GIPC) is a government agency re-established in 2013 under Act 865 to promote, coordinate and facilitate investment in the Ghanaian economy.
Related Investment Agencies The Minerals Commission Established under Article 269 of the 1992 Constitution and the Minerals Commission Act 1993 (Act 450). As the main promotional and regulatory body for the minerals sector in Ghana, it is responsible for the regulation and management of the utilization of the mineral resources of Ghana and the coordination and implementation of policies relating to mining. It also ensures compliance with Ghana's Mining and Mineral Laws and Regulation through effective monitoring.
Related Investment Agencies Petroleum Commission Established in July 2011 by an Act of Parliament, Act 821, to regulate and manage the exploitation of petroleum resources and to co-ordinate the policies in relation to them. The Commission is the regulator of Ghana's upstream petroleum sector and is mandated to regulate, manage and co-ordinate all activities in this sector for the overall benefit and welfare of Ghanaians. Ghana Free Zones Board (GFZB) The GFZB was established on 31st August, 1995 by an Act of Parliament to enable the establishment of free zones in Ghana for the promotion of economic development, to provide for the regulation of activities in free zones and for related purposes.
Related Investment Agencies Energy Commission The Energy Commission was set up by an Act of Parliament, the Energy Commission Act, 1997 (Act 541) with functions relating to the regulation, management, development and utilisation of energy resources in Ghana. The Energy Commission is the technical regulator of Ghana’s electricity, natural gas and renewable energy industries, and the advisor to Government on energy matters.
Ghana Securities and Exchange Commission (SEC) The primary Mission of the SEC is to protect investors and maintain the integrity of the securities market. Its mission is to promote the orderly growth and development of an efficient, fair and transparent securities market in which investors and the integrity of the market are protected through the proactive implementation of the Securities Laws. This involves ongoing supervision and regulation of the Ghanaian securities market, the education of market operators, policy makers as well as investors on their respective rights and obligations.
National Insurance Commission (NIC) NIC was established under Insurance Law 1989 (PNDC Law 227), but now operates under Insurance Act, 2006 (Act 724). The object of the Commission is to ensure effective administration, supervision, regulation and control the business of Insurance in Ghana. NIC is mandated to perform a wide spectrum of functions including licensing of entities, setting of standards and facilitating the setting of codes for practitioners.
The Commission is also mandated to approve rates of insurance premiums and commissions, provide a bureau for the resolution of complaints and arbitrate insurance claims when disputes arise.
Bank of Ghana: The BOG’s functions include: formulating and implementing monetary policy aimed at achieving the objects of the Bank; promoting by monetary measure, the stabilisation of the value of the currency within and outside Ghana; instituting measures which are likely to have a favourable effect on the balance of payments, the state of public finances and the general development of the national economy; regulating, supervising and directing the banking and credit system and ensuring the smooth operation of the financial sector; promoting, regulating and supervising payment and settlement systems; etc
Economic Indicators
2013 Actual
GDP (GSS)
GHC93.4625.77billion
GDP per capita(GSS)
Real GDP Growth GDP sector contribution •Agriculture •Industry •Service Inflation Reserves (Months of Imports Cover)
US$1,799.3 (GHC 3,529.6)
7.1 %
22% 28.57% 49.5% 13.8 %(End of year 2013) 2.9 months Sept. 2013 (US$ 5,350.00million)
Source: 2013 and 2014 Budget Statement, Ministry of Finance and Economic Planning/ Ghana Statistical Service
Registered FDI Inflows From ITALY : SEPT 1994 - JUNE 2014 SECTOR
TOTAL NO. OF PROJECTS
TOTAL FDI (US$)
Building/ Construction
27
57,146,107.04
Manufacturing
50
98,815,701.81
General Trading
7
4,344,757.00
Liaison
2
-
23 5 8 12 134
17,159,187.66 7,187,356.00 1,279,720.10 2,698,368.00 188,631,197.61
Services Agric Export Trade Tourism Total
ITALY is ranked 22nd source of FDI to Ghana in terms of value and ranked 10th in terms of number of projects
Sector Overview Energy
Tourism
Oil & Gas
Manufacturing
Infrastructure
Services
Roads
ICT
Railways
Financial
Ports
Education
Property Agriculture
Energising Ghana Opportunities Abound
Energy Universal access to electric power by 2020
Energy Electricity Penetration: From 74% to 100% by 2020 Electricity Generation: From 2,135mw to 5,000 mw by 2015
Filling the gap Independent Power Producers (IPPs) 400 mw Bui dam
Many opportunities for IPPs Thermal Hydro Renewable energy
The key industry players in the energy sector are PURC – regulator of the energy sector VRA – generates the power
GRIDCO – responsible for transmission of power generated ECG – sells power generated to final consumers
Oil & Gas Estimated 400m to 1bn barrels in Jubilee Field
Oil & Gas Salient Facts Pumping of oil commenced on 15 December 2010 By November 2013 total oil production rose to more than 32million barrels
Current associated gas production is 60 million cu/ft per day and is expected to increase to 250 million cu/ft per day by December 2014 Appx. US$10 to US$16 bn will be spent developing other discoveries within the decade
Oil & Gas Opportunities Dedicated shore base / mini harbor
Rig operations, Logistics and Equipment supply
Office accommodation Helicopter / fixed wing aircraft, vehicle rentals
Telecommunications, weather forecasting, search and rescue facilities
Oil & Gas Opportunities Restaurants , catering , and security services
Financial Services LNG pressure vessels Construction, installation and commissioning of offshore structures
Pipeline manufacturing from steel, welding and joinery
Infrastructure Roads, Railways, Ports and Property
Roads Road transport is the major carrier of Ghana’s land transport system Currently taking up about 98% of freight and 95% of passenger traffic The National mass transport facilities Maintenance and improvements
54,084km maintenance 250 km improvements
Developments Government has introduced new tolling practices giving way for BOT systems and other forms of private sector participation
Accra-Tema Motorway Rehabilitation etc
Railways The rail industry in Ghana has a total track length of 1300km and operates a route length of 947km
Major rehabilitation, modernisation and expansion
Emphasis on Accra – Tema modernisation and expansion
Linking south to north PPP Development Project Western, Eastern and Central lines US$303 partner’s input
Ports Various expansions and modernisations
Tema / Takoradi Ports Inland port at Boankra, Kumasi River port at Buipe Air transport operators for domestic and sub-regional services
Estimated investment value US$ 850m +
Property Development (Real Estate ) Providing Shelter For Ghana
Property Development Deficit of over 1.5m units Annual Demand is over 200,000 Annual Production is over 70,000units Rents for commercial properties range from $12 to $25 per meter square per month. Residential property rents range from $1,500 to $3,500 for bungalows in the upper end of the market.
Property Development Opportunities in residential, industrial and commercial
Many opportunities Physical infrastructure Affordable housing Water treatment plants
Agriculture Across the value chain
Investment Opportunities In Agriculture & Agro-processing Short, medium and long-term investment opportunities have been identified through analysis of a number of value chains based on their: market potential for growth; Ghana’s competitiveness in production; investor interest; potential social impact; and contribution to the development of Ghana
Short , Medium & Long Term Short Term
Medium Term
Long Term
Production and Processing
Production and Processing
Commercial nucleus farm
Rice
Sorghum
Nucleus seed crop farm
Cassava
Soya Cashew Poultry
Block irrigated rice farms Gravity FedIrrigation Farms Seed production and mechanized cultivation
Other Opportunities in Agric Technological and support services
Distribution services Standards, training and certification
Agricultural inputs Storage and haulage services Irrigation facilities Large scale farming of crops
Tourism Opportunities abound
Tourism Hospitality services , Food and
Beverage, Transport, Travel, Financial Services, Medical Services
Entertainment, Leisure and Sports Shopping, Meeting Facilities Information Shops, Cultural Centers Training institutions for the Tourism sector
Tourism transport , Medical and Financial service
Manufacturing High on the Ghana investment agenda
Manufacturing Food, cocoa processing Pharmaceuticals
High value textiles and garments Wood processing and manufacturing Salt production and processing
Manufacture of electrical and electronic products
Services ICT, Biotechnology and Precision Engineering
Services - ICT Science and Technology Parks (STPs) Empowering education Business Solutions: Software, Networking, Processing outsourcing High-tech telecom equipment Back office operations, telephony, ISP
Manufacturing, assembling and supply of computers and accessories
Services - Financial Banks Investment, universal, development Finance Export, mortgage, leasing, HP, venture capital Insurance and reinsurance Investment Mutual funds, savings & loans, trusts
Services - Educational Universal primary education by 2015 Private sector opportunities E-Learning Services Private tertiary education Technical & vocational education Schools for the physically challenged Books & Stationary Shops
Invest in 3 easy steps Incorporate, contribute and register
Investment in Ghana Step 1 - Registration with Registrar General's Department Step 2 - Minimum Equity Contribution Step 3 – Registration with GIPC
Incentives and Guarantees Custom duties exemptions Graduated and reasonable corporate taxes Location incentives Tax holidays Automatic immigrant quotas Other attractive tax concessions Relief from double taxation
Incentives and Guarantees Repatriation of dividends and net profit Transfer of funds in respect of servicing of foreign loans Guarantee against expropriation Remittance of proceeds in the sale or liquidation of investment Strategic investment incentives
Why Ghana? Your Prosperity Partner
Ghana also offers you… Access to a large and vibrant ECOWAS market A country that is blessed with its strategic position: 6 hours from Europe 6 hours from South Africa 9 hours from the USA 8 hours from the UAE
A country that is described as the “beacon of hope” for Africa
Only Ghana offers you… A prosperity partnership A team focused on “Win-Win” relationships
An IPA that: Builds its corporate culture on service excellence to investors
Allocates a personal consultant to assist investors all the way
A country that is known for “Akwaaba” – where investors are always welcome
Join other partners prospering in Ghana …..…
Thank you
Mrs. Mawuena Trebarh CEO Ghana Investment Promotion Centre gipcghana.com
Ghana Investment Promotion Centre, Public Services Commission Building, Ministries, Accra, Ghana P.O. Box M193 Accra, Ghana T +233 302 66 5125 – 9 F +233 302 66 3801 Email:
[email protected] CEO’s Email:
[email protected]
Contact us today
www.gipcghana.com
