The new Investment Promotion Bill: What investors need to know

By Patricia Jane MUMUNI & Cyril EFFAH

Ghana is preparing for a significant shift in its investment framework. The Ghana Investment Promotion Centre Act, 2013, has governed investment promotion in Ghana for more than a decade and, at the time of its passage, provided a timely and effective response to the country’s economic priorities.

Since then, however, the regional and global investment landscape has evolved, shaped by deeper economic integration, increased competition for capital and rising expectations around transparency, sustainability and investor protection.

In response to the changing investment landscape, Parliament has passed the Ghana Investment Promotion Authority Bill, 2026 (the “Bill”), which is now awaiting presidential assent. The Bill will repeal and replace the current law and is intended to modernise Ghana’s investment regime, repositioning the country as a more competitive, transparent and investor-friendly destination at a time when competition for foreign direct investment across Africa is intensifying.

The Bill reflects a clear policy intention to lower entry barriers, strengthen investor protections and enhance regulatory oversight. It also signals Ghana’s commitment to aligning its investment regime with regional and international standards, particularly under the African Continental Free Trade Area Agreement (“AfCFTA”). Below, we highlight the key changes and what they mean for investors and businesses engaging with Ghana’s market today.

From centre to authority

The Bill transforms the Ghana Investment Promotion Centre into the Ghana Investment Promotion Authority (“GIPA”), a body corporate with a broader mandate, a larger and more senior governing board and enhanced enforcement powers.

It is expressly designated as a one-stop shop for investment promotion and as the national focal point for investment under the AfCFTA. Importantly, the Bill also places outward investment by Ghanaian enterprises on a statutory footing for the first time by expressly mandating GIPA to promote and facilitate Ghanaian investments into foreign markets, with a focus on supporting regional and global expansion, particularly within Africa, and enhancing the international competitiveness of Ghanaian businesses. This reflects a growing ambition not only to attract foreign capital but also to support Ghanaian businesses as they expand into regional and global markets.

Lower barriers for foreign investors

Perhaps the most impactful reform is the removal of general minimum capital requirements for foreign investors. Under the current law, foreign participation has been subject to statutory thresholds of USD200,000 for joint ventures and USD500,000 for wholly foreign-owned enterprises. The Bill removes these requirements entirely.

The only remaining minimum capital threshold applies to trading enterprises. The requirement has been reduced from USD1million to USD500,000. The related employment obligation has also been redesigned. Instead of employing a fixed minimum of twenty skilled Ghanaians, trading enterprises must now ensure that at least 75% of their employees are skilled Ghanaians. This proportional approach allows the requirement to scale more organically with the size and stage of the business.

The Bill also removes certain exemptions available under the current law. Only portfolio investments remain exempt from minimum capital requirements. The spousal exemption for long-term foreign spouses of Ghanaian citizens has been discontinued. In addition, the list of activities reserved exclusively for Ghanaians has been reduced from eight to six, following the removal of activities such as the printing of recharge scratch cards and pool betting and lotteries.

Registration renewal requirements have also changed, with enterprises now required to renew their registration annually rather than every two years.

Stronger protections and clearer grievance channels

Investor protection is another area where the Bill makes notable advances. A formal investor grievance mechanism has been introduced for the first time. This provides a defined and time-bound process for enterprises to raise complaints against public institutions through GIPA.

Grievances must be acknowledged within five days, with a resolution facilitated within three months and periodic reporting made to the Office of the President. This mechanism is intended to provide investors with greater confidence that concerns will be heard and addressed.

The Bill also strengthens investment guarantees. A new compensation for loss provision ensures that investors who suffer losses arising from war, armed conflict or civil unrest, due to a failure by the Government to meet its obligations, are entitled to treatment no less favourable than that given to domestic enterprises or other registered foreign investors. This approach reflects protections commonly found in international investment agreements.

Technology transfer and enforceability

The regulation of technology transfer agreements has been sharpened considerably. While registration is already required under the existing framework, the Bill makes the consequences of non-registration explicit.

An unregistered agreement will not be legally enforceable, related fees will not be tax deductible and banks will be prohibited from processing payments without proof of registration from GIPA. The maximum validity period of ten years for technology transfer agreements has also been reduced to five years, subject to renewal.

Expatriate quotas and enhanced accountability

The Bill introduces a more flexible expatriate quota regime. The current law caps automatic quotas at four. Under the Bill, up to twelve expatriate quotas may be available depending on the level of investment, with graduated thresholds starting from investments of USD50,000–USD500,000 (two quotas) and scaling upward to twelve quotas for investments exceeding USD10million.

Each quota is valid for five years. This responds directly to concerns from larger and more complex investors who require specialised personnel to support their operations.

Under the Bill, GIPA is empowered to impose administrative penalties, recoverable as civil debt, alongside enhanced criminal sanctions. It may also suspend services, restrict access to incentives and issue compliance notices. For the first time, the law sets out detailed investor obligations relating to sustainable development, environmental protection, human rights, gender equity and corporate social responsibility.

The Bill also addresses potential regulatory gaps. New anti-fronting provisions ensure that citizen-owned trading enterprises with non-citizen beneficial ownership or directorship are subject to the same capital requirements as foreign-owned trading businesses. Expatriate work permit applications for entities registered with GIPA must be channelled through GIPA, and approvals are tied to valid registration.

Key definitions have also been expanded: “enterprise” now expressly covers external companies (also known as branch or liaison offices), and new concepts such as “majority-owned Ghanaian enterprise” and “outward investment” underpin GIPA’s expanded mandate.

What this means for investors

The Bill represents the most comprehensive reform of Ghana’s investment legislation in over a decade. It lowers traditional barriers to entry while enhancing protection, transparency and enforcement. For existing investors, transitional provisions preserve current registrations, benefits and incentives, with a limited period to align with the new framework where necessary.

With presidential assent anticipated, this is a timely moment for investors to familiarise themselves with the proposed changes and consider how they may create new opportunities. The reforms send a clear signal that Ghana remains open for business and is actively strengthening its investment environment to support sustainable growth under both the national and regional agenda.

 Patricia is a , Partner in the Corporate and Commercial Team at ENS Ghana ([email protected]), and Cyril is an  Associate in the Corporate and Commercial Team at ENS Ghana ([email protected]).

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