Parliamentary committee commends GIPA’s investment drive, backs key reforms
During his presentation, Mr Madjie traced the evolution of Ghana’s investment promotion architecture, from the Capital Investment Board established in the early 1960s, through the Ghana Investment Code under PNDC Law 116, to the Ghana Investment Promotion Centre (GIPC) Act of 1994 (Act 865), and subsequently Act 1173 of 2023, which established the GIPA.
The Parliamentary Select Committee on Trade, Industry and Tourism, chaired by Alexander Hottordze Roosevelt, recently visited the Ghana Investment Promotion Authority (GIPA) in Accra to learn more about the organization's operations, legal reforms, challenges, and strategy for attracting investment to and within Ghana. GIPA's CEO, Simon Madjie, provided an overview of the Authority's mandate, legal framework, performance, and priorities under the new investment regime.
Mr Madjie traced the evolution of Ghana's investment promotion system, from the early 1960s Capital Investment Board to the current Ghana Investment Promotion Authority (GIPA) established under Act 1173 in 2023. The new law repositions GIPA as a regulatory authority with three core objectives: promoting investment into Ghana, supporting investment within Ghana at regional and district levels, and facilitating Ghanaian investment abroad, particularly within the ECOWAS and under the African Continental Free Trade Area (AfCFTA).
The reforms introduced by Act 1173 include the removal of blanket minimum capital requirements for joint ventures and wholly foreign-owned enterprises (except in the trading sector), and the introduction of targeted local content regulations and sector-specific financial requirements. These changes strengthen Ghana's competitiveness by aligning the investment framework with the AfCFTA Protocol on Investment and enhancing the country's appeal to investors.
During his presentation, Mr Madjie highlighted GIPA's impressive investment performance, with over 7,160 projects registered since 1994, generating more than US$62 billion in FDI. He also outlined the Authority's regional outreach efforts, such as regional investment roadshows, documentaries showcasing opportunities, and expansion of regional offices to support investors more effectively.
The Parliamentary Select Committee pledged its support for GIPA's expanded responsibilities under the new law, emphasizing the need for adequate resources to enable the Authority to effectively carry out its mandate. Committee members commended GIPA for its role in promoting Ghana's investment opportunities locally and internationally, as well as its progress in implementing key reforms under Act 1173.
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