Yoofi Grant
Ghana is seeking to raise $10 billion this year in Foreign Direct Investment (FDI).
Chief Executive Officer (CEO) of the Ghana Investment Promotion Center (GIPC), Yofi Grant, made this known on Friday in Accra at the first quarter edition of the GIPC ‘Ghana On The Go’ CEOs’ breakfast meeting.
The meeting was held under the theme: “Technology Transfer Regime In Ghana: The Public And Private Sector Convergence.”
According to Mr Grant, the GIPC was able to raise $4.91 billion in FDI during 2017 out of a target of $5 billion for that year.
This year’s target is very ambitious and when met, it will aid government with investments in infrastructural developments, especially in the rail sector and investments in health and education, among others, he added.
The World Bank has projected Ghana to become the fastest growing economy in 2018.
Mr Grant told journalists that 2018 is therefore an opportune time to be more dynamic and attract more FDI into the country, indicating that Ghana is targeting FDI of between $20 billion and $ 40 billion within the next six to 10 years.
He said considering President Akufo-Addo’s desire of moving Ghana Beyond Aid, it was important for more investments to be attracted to the country and encourage foreign businesses and investors to partner local counterparts in Ghana.
According to him, “Ghana is on the go and ready to engage, partner and to do business with the rest of the world in a friendly, peaceful and fair manner.
He told participants at the meeting that foreign investors should choose Ghana as their prefer destination for investments on the African continent, especially in the West African sub-region, because of its political stability since 1992.
Abuse
The Technology Transfer Regulations, 1992 (L.I. 1547) states that all Technology Transfer Agreements (TTAs) entered into under the code or regulations shall be registered with the GIPC.
The Technology Transfer Regime relates to the relationship between a foreign or parent company and its subsidiary in Ghana, involving technology transfer pricing.
Mr Grant said most foreign companies were abusing the regime, especially when it comes transfer pricing.
According to him, most foreign businesses were taking out more monies from the country without recourse to provisions of the regulations.
An official from the Technology Pricing Unit of the Ghana Revenue Authority (GRA), Kwesi Owusu, in a presentation at the meeting, confirmed that indeed most foreign companies were abusing the regulations in transferring moneys from their subsidiaries in Ghana.
A company in Ghana (name withheld) claimed to have consistently made loses over the last six years, but was in business because of the practice, which benefits the parent company overseas, he alleged.
By Melvin Tarlue