Top Guide - Investing in Ghana

Page 1

contents TOPGUIDE




GHANA & Basic facts


Opportunities & Main Attractions



A Profile of GIPC


Some key players in the Ghanaian economy

Incentives for Investors under Gipc Act 478


How to Register a Business in Ghana



A Government intervention to spur investment and production in the country


14 ENERGY 19 Volta river authority 22 MINING 25 infrastructure

One Airport Square

The Oil and Gas Industry, a new investment sector in Ghana

Interview with Mr. Kweku Andoh Awotwi, Chief Executive

Abundant opportunity in a vibrant sector

The first certified green commercial building in West Africa

& 29 INFORMATION COMMUNICATION TECHNOLOGY A competitive industry full of opportunities


Real Estate sector still booming

Sonapack Company Profile


A look at Ghana’s infrastructure needs from water and sanitation to telecommunications and electricity, roads and transport



Ghana Ghana is ideally positioned, at the centre of the West African coastline and always accessible by land, air and sea via modern road transport, airport and sea facilities. Proximity to American and European markets gives cost and time advantages, which are generally enhanced by the duty free access of manufactured exports to the United States (under AGOA – African Growth and Opportunity Act) and the European Union.

Basic facts


Ghana – the closest land area to the centre of the world – is bordered on the north by Burkina Faso, on the west by Côte D’Ivoire, on the east by Togo and on the south by the Gulf of Guinea.

Formerly known as the Gold Coast, Ghana became independent from British rule on March 6, 1957 and was the first African nation south of the Sahara to gain independence. Its colourful history is interspersed with

power struggles between the 15th and 19th centuries among European nations such as Portugal, Holland, Sweden, Denmark and Britain, all seeking to dominate the rich land endowed with gold. Ghana’s history, culture, folklore and natural attractions make it a fascinating holiday destination with great potential for high-quality, low-density tourism. The country has been aptly described as “a bird watcher’s paradise, an ecotourism haven, a cultural delight, a heritage lover’s passion and an adventurer’s dream”. It is also a known fact that Ghanaian people are great lovers of music, dance and soccer. Ghana offers many tourist attractions such as castles and forts, beaches and lakes, wildlife parks and mountain trails. These attractions along with Ghanaian hospitality and excellent personal security conditions, contribute to the good quality of life enjoyed by those working and living in the country. The Black and White Volta Rivers enter Ghana from Burkina Faso and flow into the 2nd largest man-made lake in the world (in terms of surface area), Lake Volta. The Volta Lake is used to generate electricity, provide inland transportation, irrigation and is a potentially viable resource for fish farm-


OFFICIAL NAME: Republic of Ghana CAPITAL: Accra LOCATION: Western Africa, bordering the Gulf of Guinea, between CĂ´te d’Ivoire and Togo. HISTORICAL FACTS: Independent from British colonial rule on March 6, 1957. NATURAL RESOURCES: *ROG WLPEHU LQGXVWULDO GLDPRQGV EDX[LWH PDQJDQHVH ĂŽVK rubber. CLIMATE: Tropical, with temperatures from 21°-â€?34° and two rainy seasons, from March to July and from September to October. TIME: GMT POPULATION: About 24 m (2010) LITERACY: 54.1% RELIGIONS: Christianity, Islam, Animism GOVERNMENT TYPE: Constitutional democracy EXPORT PARTNERS: Netherlands, UK, US, Italy, Germany, France, Belgium, Nigeria. IMPORT PARTNERS: Nigeria, UK, US, China, Italy, CĂ´te d’Ivoire, Germany. CURRENCY: Ghana Cedi. EXCHANGE RATE (SEPT. 2012): US$ 1 = 2.05 GH C // â‚Ź 1 = 2.50 GH C GDP (NOMINAL): GH C 56.28 billion (est.) GDP GROWTH: 13.6% (2011 est.) FDI: > US$ 1. 5 billion target set for the entire year, according to the Ghana Investment Promotion Centre (3rd quarter 2011)

There are rich marine fishing reserves in the Atlantic Ocean and offshore deposits of hydrocarbon and natural gas.

The Government of Ghana is fully committed to private sector development as a means of fostering economic growth. It is actively engaged in measures to

The final aim is to generate growth and development that can enhance the living standards of the people of Ghana.

The Ghanaian economy is built on the abundance of mineral, agricultural and other natural resources which include forests, vast areas of arable land and deposits of gold, diamonds, manganese, bauxite and oil.

Today, the population of Ghana is over 24 million with the highest population densities in the urban areas. Ghana’s workforce is motivated, offering a wide range of skills and good mobility. The city of Accra is the capital of Ghana and the official language is English. The currency used by Ghanaians is the Ghana Cedi. This was redenominated in 2007 to make it easier to transact business generally. Ghana has a democratic type of government and its legal system is based on the English common and customary law. It has an independent Supreme Court, with Justices nominated by the President with approval from Parliament.

promote and partner a vibrant and globally competitive private sector which will play a key role in the economic transformation and social development of Ghana. This partnership will be built on a shared responsibility where Government provides the conditions necessary for private sector growth and the private sector becomes a pro-active partner in development.

A high proportion of budgetary resources have in recent years been devoted to upgrading Ghana’s infrastructure. Sea Port and Airport facilities have been modernised and expanded and resources are also being directed at improving roads, public transportation and energy services. These and other infrastructural development initiatives continue to give rise to promising opportunities and openings for private sector investors.

With these natural and human resources, stable political system, liberalised economy and constantly expanding infrastructure, Ghana is rapidly becoming an attractive and profitable investment and business destination in West Africa, facilitating easy access to sub-regional markets for some 250 million people.

TOP*8,'( ‡

ing. Many lakes and river systems dominated by the Volta Basin offer good potential for hydro-electric power facilities.



State of The Economy The World Bank Reports


n 2011 Ghana’s economy grew at 14.4 percent boosted by new oil production and a rebounded construction sector. With oil production reaching its plateau, in 2012 GDP growth is expected to decelerate to 7.5 percent. z

Monetary policy was effective in containing inflation within the single digit target of 9 percent throughout 2011. Supported by a remarkable revenue collection effort, the fiscal deficit reached 4.1 percent of GDP – in line with the Government’s 2011 objective. However, due to unforeseen challenges with the implementation of ongoing salary structure reforms, the wage bill exceeded its target.


Government is poised to protect the macroeconomic gains made so far. The 2012 annual budget explicitly states the Government’s commitment to ensure macroeconomic stability while maintaining a favorable investment climate.



Ghana’s economy is projected to decelerate from 14.4 percent in 2011 to 7.5 percent in 2012. Growth in 2011 was driven primarily by the revised GDP in the oil sector, construction, transport and ICT. Agricultural performance, cocoa in particular, was satisfactory with good rainfall and continued high prices. In the poorest regions of the North, rapid maize and rice production growth continued to be recorded. On the demand side, private investment in extractive industries and construction

and exports of goods and services were the main drivers of growth in 2011. Export receipts increased by 61 percent due primarily to increased production of cocoa and the new oil exports. Gold receipts also increased due to rising international prices for the commodity. Production levels in 2011 remained unchanged. z

Ghana’s fiscal deficit narrowed from 7.2 percent in 2010 to 4.1 percent in 2011, supported by a remarkable revenue performance. Tax revenue increased from 13.1 percent in 2010 to 15.4 percent of GDP in 2011. This strong performance can be attributed to an improvement in tax administration (owing to the establishment of the Ghana Revenue Authority in 2010), increased taxable imports volume, the modernisation of customs valuation of goods

at the border and a decline in 2011 exemption permit approvals. z

Total expenditure was slightly above its 2011 budget target, at 23.6 percent of GDP. This performance was achieved through prudent spending management, implementing automatic cost-recovery mechanisms and strengthening expenditure controls. The Government made commendable efforts to settle past arrears to the tune of GH¢1.5 billion in 2011 (2.5 percent of GDP). With an external debt at 19.8 percent of GDP in 2011, Ghana’s risk of external debt distress is assessed to be moderate by large investments in extractive industries, public infrastructure and commercial agriculture.




TOP*8,'( ‡

Promoting Ghana’s Investment Opportunities


The Ghana Investment Promotion Centre (GIPC) is the Government agency re-established under the GIPC Act 1994 [Act 478 (1994)] to promote and facilitate investments in all sectors of the economy except mining, petroleum, free zone activities, portfolio investments and



privatisation of Government Enterprises. These sectors are handled by the Ministry of Mines and Minerals Commission, Ministry of Energy, Ghana Free Zones Board, the Ghana Stock Exchange and the Divestiture Implementation Committee respectively.

the  GIPC  recorded  a  total  of  95  new  projects  with  a  total  GUVKOCVGF XCNWG QH 86 DKNNKQP 7JG GUVKOCVGF XCNWG represents  an  increase  of  EQORCTGF VQ VJG value  recorded  in  the  same  SWCTVGT QH   The  FDI  component  of  the  estimated  value  of  the  newly  registered  projects  COQWPVGF VQ 86 million,  aN  increase  of  about  QXGT VJG TGEQTFGF )', value  in  the  corresponding  SWCTVGT QH 7JG VQVCN initial  capital  transfers  for  VJG SWCTVGT :(5( 86 OKNNKQP 7JG 86$ YKVJ CP )', XCNWG QH 86 OKNNKQP YCU TCPMGF ÌTUV CPF &JKPC remains  the  top  source  of  FDI  in  terms  of  the  number  of  RTQLGEVU

z Identifying investment opportunities and projects in the country and helping to nurture, package and market them z Providing investment advice and project support services to investors z Providing investors with information on specific investment opportunities in Ghana z Assisting in procurement of authorities and permits required for investment (work, residence permits and licences, etc) z Assisting investors in joint venture searches and in securing funding z Reviewing and making policy recommendations to Government about investments z Registering and keeping records of all technology transfer agreements relating to investment z Organising fairs, exhibitions and liaising with missions to market investment opportunities and projects in Ghana z Organising visits and meetings between potential investors and relevant economic operators in the country z Focusing on established investors in the country through continued communication to help existing businesses to expand z Promoting forwards and backwards linkages between foreign affiliates and local SMEs.

GIPC works in conjunction with all relevant government agencies including: z Bank of Ghana – The Central Bank of Ghana, located in Accra, ensures the effective and efficient operation of banking and credit systems in Ghana. z Registrar General’s Department – This body is responsible for the initial registration and maintenance of information on all types of business organisations. z Customs Excise and Preventive Service – This body is responsible for the collection of taxes on imports and exports. z Ghana Immigration Service – This body regulates and monitors the entry, residence, employment and exit of all foreigners.

GIPC provides investors with the following resources and support services: z Assistance in obtaining Immigrant Quotas and Residence Permits under the GIPC Act 1994 [Act 478] z Assistance in the acquisition of land for the setting up of businesses by investors z Providing aftercare services z Assistance in registering and obtaining permits from relevant government agencies such as the Environmental Protection Agency (EPA) z Assistance in obtaining certain utilities such as electricity, water and telephone connection

Incentives For Investors Under GIPC Act 478 z Custom duties exemption for plant, machinery, equipment and parts thereof z Graduated and reasonable corporate taxes z Locational incentives of between 25% and 50% tax rebates for manufacturing companies z Tax holidays ranging from 5-10 years depending on sectors z Automatic immigrant quotas depending on paid-up capital z Other attractive tax concessions such as accelerated depreciation for plant and buildings, five-year loss carry-over and R&D expenditure deductibility z Relief from double taxation for foreign investors and employees where applicable


GIPC is committed to providing unmatched professional service and support to local and foreign investors by:



corporate tax

Type of Company


All companies


Income from non-traditional exports




Financial Institutions Income from loan to farming enterprises Income from loan for a leasing company

20% 20%

Tax Holidays (from start of operations) Sector

No. of years

Real Estate

5 years

Rural Banks

10 years

Agriculture and Agro-Processing Cocoa farmers and producers Cattle ranching Tree cropping (e.g. coffee, oil palm, shea-butter and coconut) Livestock excluding cattle and poultry Fish farming, poultry and cash crops

Income tax exempt 10 years 10 years 5 years 5 years

Agro-Processing – converting fish, livestock into edible canned products 5 years Waste processing (including plastics and polythene)

7 years

Free Zones Enterprise/Development

10 years & maximum, 8% thereafter


Locational Incentives (Tax Rebates)


Incentive %

Manufacturing industries located in regional capitals other than Accra and Tema Elsewhere

25% rebate 50% rebate

After the initial 5 year tax holiday period, agro-processing enterprises which use local agricultural raw materials as their main inputs shall have corporate tax rates fixed according to their location as follows: Accra and Tema Other regional capitals Outside regional capitals Northern, Upper East and Upper West Regions (capitals and all other locations)

20% 10% 0% 0%


Industrial plant, machinery and parts thereof are exempted from customs import duty under the HS Codes chapter 82, 84 and 85.

z Constitutional guarantee z Investment laws which guarantee 100% transfer profits, dividends, etc. z MIGA membership z Bilateral Investment Promotion Treaties (BITs)




Registration with Registrar 01 General’s Department Incorporate a company at the

Registrar General’s Department and obtain the following: z Certificate of Incorporation z Company Regulation z Certificate to commence Business The department has 5 working days to complete formalities if all documents are in order.

fall under section 24 of Act 478 should be cleared with the GIPC.

to enjoy the incentives offered under the GIPC Act.


Immigrant Quota 05 All wholly Ghanaianowned enterprises and enter-

be converted into local currency (Cedis). This transaction should be confirmed to the Bank of Ghana by the investor’s local authorised dealer bank. Bank of Ghana in turn confirms this transaction to GIPC for the company’s registration purposes.

Equity in kind – in the case of equity in kind in the form of imported machinery, equipment and goods, all documents covering such imports should be in the name of the registered company and evidenced by the following, which should be submitted to GIPC for registration purposes: z Bill of lading/Airway Bill (originals) z Destination (Ghana) Inspection Certificate z Custom Bill of Entry (originals) z Import Declaration Form (IDF) z Certified/Final Invoices z Evidence of Capitalisation – Form 6 from the Registrar General’s Department.

By physical cash – physical > cash carried into Ghana by individuals for investment


Environmental Impact 07 Assessment Certificate Applicable enterprises must reg-


Minimum Equity Contribution Foreign investors should comply with the GIPC Act 478 regarding minimum equity requirements either in cash or in kind as follows:

Bank account – open two > corporate accounts (foreign and local) with a local bank of your choice.

By bank transfer – effect a bank > to bank transfer of minimum equity requirement, which has to


purposes should be declared on Bank of Ghana Form T5 on arrival and subsequently deposited in a bank account within the shortest possible time. This transaction should be confirmed by your dealer bank and the Bank of Ghana as in (ii).

Investment Procedures

Importation of Plant, Machinery and Equipment – enterprises are free to implement their projects by importing the relevant plant, machinery and equipment. Zero-rated and concessionary duty items should be cleared automatically and directly through the Customs Excise and Preventive Service (CEPS). Essential plant, machinery and equipment, which

Registration with relevant Agencies – registration with the relevant agencies as applicable to the sector of operation.

Registration with GIPC The investor then registers 03 with the GIPC (after paying the

relevant fees) for the process to be completed. This procedure takes 5 statutory working days to complete, provided the registration forms are in order.

Wholly Ghanaian – owned enterprises 04 Wholly Ghanaian-owned enter-

prises do not need to register with GIPC since the minimum foreign capital requirement does not apply to such enterprises. They may however register (free)

prises with foreign participation seeking immigrant quota facilities in respect of expatriate personnel (experts) for their businesses should satisfy the relevant minimum capital requirements specified under Section 30 of Act 478. Immigrant quota request is by a letter to GIPC.

Registration with IRS and VAT 06 Secretariat All enterprises must register di-

rectly with the Internal Revenue Service and the Value Added Tax (VAT) Secretariat for purposes of statutory tax e.g. taxes, rebates and exemptions.

ister and obtain an environmental permit from the Environmental Protection Agency (EPA).

OWNERSHIP Joint Ventures with Ghanaian partners are encouraged but 100% foreign participation is permissible. EQUITY US$10,000 for JV with Ghanaian partner US$50,000 for 100% foreign ownership US$300,000 for Trading Activity EXPATRIATE EMPLOYMENT Quota Amount (USD) 1 Person(s) 10,000 – 99,000 2 Person(s) 100,000 – 499,000 4 Person(s) 500,000 – upwards

The Ghana Free Zones Programme The Ghana Free Zones Programme is one of the Government of Ghana’s interventions to spur investment and production in the country. It is administered by the Ghana Free Zones Board (GFZB) which was established by Act of Parliament in 1995. The Act mandates the board to establish and regulate free zones in the country to promote investment.

The designated parks are fitted with the necessary infrastructural conditions to facilitate business and investment. These include dedicated power grids to ensure uninterrupted power supply, water reservoirs for constant supplies of water, central sewerage systems,

telecommunication services and securitized enclosures. The Ghana Free Zones Programmes welcomes investments in Information and Communication Technology (ICT); Textile/Apparel Manufacturing; Agrofood Processing; Seafood Processing; Jewellery/Handicraft Production; Metal/Hand Tool Fabrication; Floriculture; Light Industry/Assembling Plant; Ceramic Tiles Manufacturing; and Pharmaceuticals. These choices were informed by the availability of manpower and natural resources, the advantages conferred by privileged access to lucrative markets on certain products and an objective assessment of the country’s competitive advantage in those industries.


Under the Free Zones Programme, industries stationed on designated areas are exempt from taxes for a period of ten years while at the same time taking advantage of Ghana’s privileged access to the markets of the United States of America under the African Growth and Opportunity Act (AGOA) and those of the European Union under the Economic Partnership Agreement (EPA) that the Government has initialed.

Ghana Free Zones Board P.O. Box M626, Accra Tel: 0302 780535, 0302 785037, 024 2174534 Fax: 0302 780536, 0302 780537 Website: Email:


Petroleum and Gas Ghana discovered oil and gas in commercial quantities in 2007, raising the ante for an economy already boosted by stable democratic governance, a vibrant private sector and an endless repertoire of successful investment stories.


The groundbreaking feat was achieved by a consortium of companies comprising Kosmos Energy Ghana (Kosmos), Tullow Ghana Limited (Tullow), Anardarko Petroleum Corporation, Sabre Oil and Gas Limited, E.O. Group in conjunction with the Ghana National Petroleum Company (GNCP), which announced discoveries of significant quantities of oil and gas in the offshore deepwater Tano/ Cape Three Points basins located in the southernmost part of Ghana.

The discoveries, made in two deepwater blocks of West Cape Three Points and deepwater Tano, are under two separate petroleum agreements. The discovered oil and gas resources in the two blocks were found to be in pressure communication, and thus in the same reservoir. The Petroleum Law required that the discovered oil and gas resources in the two blocks be produced as one unit to reduce cost and optimise the recovery of oil and gas

Ghana’s Energy Sector

The energy sector in Ghana contributes significantly to the economy. The sector can be classified into two main sub-sectors as follows: Petroleum sub-sector Power sub-sector

in the field. The two discovered fields were therefore unitised and designated as the Jubilee Field, in commemoration of Ghana’s Jubilee Year celebrations (the 50th anniversary of Ghana’s independence).

On January 5, 2011, the first lifting of Jubilee crude oil, a 650,000 barrel Tullow cargo was successfully completed and three liftings were completed by the beginning of March that same year.

Production from phase one development of the Jubilee Field commenced on November 28, 2010 and was inaugurated on December 15, 2010. This milestone was achieved around 40 months after discovery of the field. Gross production of over 69,000 barrels of oil per day (bopd) has been achieved from five wells and full production capacity of 120,000 bopd is expected to be reached within the next five months as the remaining four wells are being completed and brought on line.

Ghana’s black gold giving a strong push to the economy For many years Ghana was viewed as little more than a backwater in the shadow of its West African peers, particularly the biggest producer in the region, Nigeria. But all that changed in 2007 when large oil deposits were discovered with the Mahogany-1 well in the country’s largely untested deepwater. That discovery, in the West Cape Three Points licence, was the first of a succession of oil finds that have since helped propel Ghana


The World Bank Reports


ountry Context The discovery since 2007 of major oil and gas deposits in waters off the coast at the western extremity of Ghana’s maritime limits, and the rapid development of those deposits, has the potential to bring significant economic development opportunities to the country. Development of oil and gas resources will have multiple benefits beyond the short-term improvement in fiscal balances. Onshore gas-based industries in particular, offer the potential to be the drivers of diversified economic growth poles. However, the challenge, as in so many resource-rich developing countries, is to manage the revenues and spin-off benefits from production of the depleting resource wisely, so that sustainable economic development is achieved. The country faces numerous potential pitfalls of poor governance and the risks of social discontent or environmental degradation resulting from poor sector oversight, unrealistic expectations and poor communications within and among stakeholders. To mitigate these risks, the Government of Ghana (GoG) will need to rapidly increase the capacity of the institutions managing the sector and offer support to institutions which will train the Ghanaian workforce to operate in the oil and gas sector. The Oil and Gas Capacity Building Project has been prepared in response to these risks and the design reflects stakeholder input in determining


to the forefront in the fight for international investments.

Since December 2010, when Ghana commenced commercial oil production, the country’s economy, already been on the cusp of take-off following over a decade of reforms, has been experiencing a tremendous boost. Within a year of the commencement of oil production, the Jubilee Field

ways that risks can be mitigated through project interventions.


ectoral and Institutional Context Ghana’s petroleum sector is undergoing a major transformation following the discovery of a large oil and associated gas field, Jubilee, in deepwater about 60km offshore. The Jubilee field is estimated to have possible recoverable reserves [Proven reserves (90% probability) are estimated at 600 million barrels, although so far only 270 million barrels have been ‘certified’ as proven.] of 1.8 billion barrels of oil along with associated gas of about 1 Trillion Cubic Feet. The first phase of development started in 2010 and was expected to produce 120,000 barrels per day of oil. A second phase of development is being planned that could potentially bring total production to 240,000 barrels per day within 5-7 years. The production of associated gas from Jubilee on a large scale – 120 million cubic feet per day (mmcfd), and later from other gas-only finds offshore, presents an important opportunity to increase gas utilisation in Ghana by replacing imported and more expensive crude oil. Since Jubilee was found, other significant discoveries have taken place, in particular the Tweneboa and Owo oil, gas and condensate fields, with possible recoverable reserves of 1.4 billion barrels, which lies to the west of Jubilee, close

produced 22 million barrels of oil, 21 cargoes of which were exported, according to Tullow Oil, the main production company with headquarters in Britain. In 2011, the country was one of the best economic performers in the world, growing at a spectacular 13.6%. Non-oil economic activity grew by 8.2% in the period. While the bulk of that growth has been in the oil sector, other economic sectors have also been spurred by oil production.

to the maritime border with Côte d’Ivoire. Most recently, oil has also been struck in a third location, Dzata in deeper water, and a gas field, Sankofa has been discovered just east of Jubilee. There is an active ongoing exploration programme involving several international oil companies. Prospects for further discoveries appear to be good. The upstream petroleum sector in Ghana is dominated by GNPC, a fully state-owned corporate entity set up in the early 1980s, with a mandate to ‘undertake the exploration, development, production and disposal of petroleum’. Until the recent discoveries, GNPC focused on promoting oil exploration, with the exception of a small oilfield, Saltpond, close to shore, which produces a few hundred barrels of crude per day. Going forward, GNPC is set to be a participant in the Jubilee and other petroleum field developments, since it holds the State’s mandatory interest in all petroleum operations and can opt to acquire an additional paying interest. GNPC’s participation in petroleum development gives it an important role in monitoring day-to-day operations and advising the Minister of Energy on petroleum issues. GNPC has also been given responsibility for developing gas infrastructure and finding markets for gas, either on its own or in association with other companies. Source: “Oil & Gas Capacity Building Project” – 29.11.2010 – Report Nr.: 57094 - GH

Oil production has in fact opened up opportunities in correlated services such as engineering support, transport and haulage as well as in real estate and tourism. The Government is keen to ensure that oil production does not become an enclave industry and is thus encouraging the evolution of a petro-chemical industry. Chiefly, Government wants to encourage investment in refining, utilization of gas for and ancillary services.

The Market There are currently over 200 registered service providers in this sector. The services offered cover the broad range of oil field services listed below and other general services such as accounting, auditing and legal.

Geophysical (Site surveys, seismic data acquisition, processing and interpretation) z Basin Modelling z Geological Studies z Biostratigraphy Sequence Stratigraphy z Sedimentology z Geochemistry z Geochemical Studies z Geographical Studies z Equipment supply and/ or leasing (boats, barges, aircrafts, etc) z Supply of Casings for Boreholes

Drilling Products and Services

Land Drilling Rigs, Swamp Drilling Rigs, Petroleum Engineering & Consultancy z Services z Offshore Drilling Rigs (jackups, semi-submersible rigs, submersible rigs, etc) z Offshore Rig Towing Services, Rig Move/Positioning Services z Drilling Mud, Chemicals, Mud Logging & Mud Logging Services z Drilling Site Preparation, Well Control & Blow-out Prevention z Underwater Inspection, Sand

The relevant laws governing oil and gas operations in Ghana are PNDC Law 84 of 1984, the GNPC Law – PNDC Law 64 of 1983, and the Petroleum Income Tax Law – PNDC Law 188 of 1988.

z z z z z z z z z z z z z z

Control, Fish & Fishing Tools Dry-dock facilities for Offshore Supply Vessels, Tugboats, & Offshore Rigs Measurement While Drilling (MWD) & Logging While Drilling (LWD) Services Casing & High Pressure Pumping ,Tubing Services, Tools & Cased-Hole Electrical Logging Directional Drilling & Survey as well as Drilling & Workover Surface & Bottom Hole Sampling & Tubing Conveyed Perforation ( TCP) Fluid Filtration, Solid Control and Laboratory & Pilling Services as well as PVT Analysis Mechanical Wireline Services and Petrophysical & Reservoir Data Services Coil Tubing & Electrical Line and Production Logging Oil Field Waste Management, Jetty and Shore Support Services and Rigless Workover Services Well Production Testing, Wellhead Maintenance & Well Completion Services Supply of drilling materials and equipment (drill bits, drill pipes, drill collars, cone bits, etc)

Investment Opportunities The relevant laws governing oil and gas operations in Ghana are PNDC Law 84 of 1984, the GNPC Law – PNDC Law 64 of 1983, and the Petroleum Income Tax Law – PNDC Law 188 of 1988.

Down Stream Sector Business Opportunities (Marketing, Storage, Distribution, Transport, 5HîQLQJ

z Technical Partnership z Field Development Contractor Financing z Gas utilisation z Refineries maintenance z Pipeline/Depots construction and maintenance z Petroleum Products haulage z Petroleum Products marketing z Petrochemicals z Gas Development/conversion z Butanisation project z Fertiliser plants z Vehicular fuels z Methanol/MTBE plants


Upstream Petroleum Sector

Petroleum Regulations In Ghana



Ghana National Petroleum Corporation



Founded in 1983, the State Oil Corporation hopes to become a leading global oil and gas company partnering international operators such as Tullow, for the benefit of all Ghana and its people.

TOP*8,'( ‡

GNPC Chief Executive, Nana Boakye Asafu-Adjaye, says the company intends to develop its operating capabilities further for achieving the vision of a nationally led oil and gas sector that contributes and enhances positively to national development. Furthermore, he believes that recent offshore drilling success is just the tip of the iceberg.

Since the discovery of oil, Ghana has become an attractive investment destination for energy companies and their suppliers. This means GNPC is well positioned to enter strategic alliances with more oil companies to explore and develop the nation’s hydrocarbon potential further for mutual benefit. “We seek companies that are technically and financially capable�, says AsafuAdjaye. “Companies that have systems and processes and a long-term commitment to stay in Ghana.�

The Government as at December 2008 had finalised plans for the establishment of an onshore natural gas processing plant to process the natural gas that will be produced from the Jubilee oil and gas field. The first phase will entail a 150 million ft3 gas processing plant at Atuabo. An 8km2 land area has been acquired to be developed into a petrochemical industrial park to house the gas processing plant and ancillary industries.

Opportunities available in this sector include: z Production, transmission, distribution of Natural Gas – independent ownership z Natural Gas Liquids (NGLs) – these liquids have high market value and find application either in their raw state as solvents, feed stock (for production of various chemicals) and liquid fuel or fractionated into their components, viz.: LPG, Natural Gasoline, etc z Natural Gas-�Fired Equipment z Independent Power Plant (IPP) z Industrial market, commercial market and residential market z Domestic natural gas sales and distribution z Compressed Natural Gas (NG) as automotive fuel, Gas Liquids (NGL), Gas to Liquid (GTL) z Conversion (GTL), Methanol, etc z Ammonia/fertiliser plants

Power Opportunities Abound The power sub-sector involves the generation, transmission and distribution of electrical energy for industrial, commercial and domestic use in Ghana. The Power System of Ghana is run by three utility companies: the Volta River Authority (VRA), Ghana Grid Company Limited (GRIDCO) and Electricity Company of Ghana (ECG). The VRA is responsible for the generation of electricity and GRIDCO is responsible for the transmission of electricity in Ghana. VRA supplies electricity in bulk to Electricity Company of Ghana and Northern Electricity Department for distribution to consumers. The total installed generating capacity of electric power in Ghana is about 1650 MW, comprising 1100 MW of hydro generation (Akosombo and Kpong stations) and 550 MW from Takoradi Thermal Power Station.



Mr. Kweku Andoh Awotwi Kweku Andoh Awotwi is the Chief Executive Officer of the Volta River Authority, the state-owned company charged with generating power and currently the largest utility concern in West Africa. He talks about the reforms the company and the sector have been undergoing and the opportunities in a country where oil has been found and institutions are maturing after two decades of political stability. Q Tell us about the mission and in West Africa, the second largobjectives of the Volta River est in sub-Saharan Africa. And Authority. we are not going anywhere. If A VRA has been around for we manage our business well, over 50 years with a primary there are huge opportunities in mandate to supply electrical the sector in the region and we power to the entire country. We have the expertise, assets and used to be the sole producers of substantial resources that we electricity in Ghana, and we had should be able to take advanbeen sending power to Côte tage of. d’Ivoire in an exchange; Togo, Benin and in small amounts to Q What other sources of renewBurkina Faso. So we had our able energy are you looking at national mandate but also a to augment hydro which has regional role that we played. been the chief source of power As part of the power sector regeneration for the past 50 forms about four years ago, the years? What investment potenGovernment broke away transtial do those areas present? mission from the VRA. We used A You could say hydro is the to do generation, transmission ultimate renewable; so we’ve and in the northern parts of the being in the renewable business country, distribution as well. for 50 years. But, you are right. The idea for breaking transmisAfter we built our hydro plant, sion away from generation we moved into thermal almost was that it would send the 15 years ago. One could say that signal to other generators that with the issues around climate somebody else other than VRA change and global warming, the controls transmission and it global utility sector has a role to would be a level playing ground play in changing behaviour and for anybody else who wants to helping save the environment. generate power to come in, set Ghana itself had been thinking up, build and generate. The law of passing a renewables law for was passed in 2005 and became quite some time, four or five operational in 2008. The Asogli years. So it seemed appropriate Power Plant began operations that VRA, as the leading utility, in 2009. So, the first real comleads the way. Therefore, about petition in-country actually two years ago, our Management started about two years ago. I Board passed the renewables believe more people will come policy within VRA, which basiin. But in all of that, even today, cally mirrored the country’s law not surprisingly, VRA supplies which has now been passed, 90% of the country’s power where 10% of our portfolio needs. We are the largest utility would be renewables by 2020.

But that was something we decided about two years ago. Specifically, those renewable opportunities were: wind, solar and biomass, and to make a distinction from hydro which is almost our ‘bread and butter‘ business. So over the last couple of years, we have started the process of actually building our renewable capacity. One of the first things we did is that we hired what is called the Owner’s Engineer, like our own in-house consultant, over the next two years to assist us as we look for renewable options. So we ended up hiring a German company called Lahmeyer International, which is very well known. Then we put out two tenders. The first one was for a 100 megawatts wind facility and the second one was for a 10 megawatts solar facility. In respect of the solar, we went out to acquire four sites, all in the northern part of the country where we could build up to 10 megawatts; so we are going to stagger it. We did the tender for the first site. It probably makes sense to learn a few things before we spend a lot of money; solar is so expensive. A Chinese company won that tender for the first two megawatts. They actually started work in March this year and we expect them to finish by the end of this year. And that will probably be the first on-grid solar plant in West Africa.


a one-year wind study, a very Exchanges to get things done. site-specific study. Tenders I would certainly like to see the were put out for a Joint Venture VRA transform itself into that and two out of five European role. companies won the contracts. Even though the contracts have Q Our Guide is talking to potential been awarded, they would have investors interested in coming to wait for a one-year wind study to Ghana. What is your personal from an independent company message for them? before work can begin. The A We could say Ghana is at a independent company is about pretty unique energy moment; to start that study probably in finding oil and gas in commerthe next two or three months at cial quantities, having 20 years eight sites; four on the coast and of political stability, several four inland. After the study, we institutions are maturing. This will pick the best two and our is probably the best time in two winning bids will go ahead our history to really leverage and build us a 100 MW wind whatever it is that we have. At project. My expectation is that the same time we have clearly by 2015 this will be done. carved a role and VRA is probably an undisputed leader in Q What is your personal vision for electricity supply in the region. the future? And what is your We are part of the West African personal ambition before you Power Pool; we are shareholdleave VRA? ers and anchor customers of the A Well, I just happen to be a West African Gas Pipeline. We big believer in renewables. I play a central role in some very brought that belief with me to important regional developthe VRA and I always felt that ments as well. The region is still West Africa was an ideal place one of the least served as far as for solar in particular and wind electricity is concerned. Ghana at to a lesser extent, although I 500kwh per person compared to have come to learn that there even Tunisia which is probably at With that experience is quite a lot of good wind po1,000 or 2,000kwh and Europe under our belt, we would then tential in Ghana as well as some is 20,000kwh. All of that is to say do the next eight megawatts. other countries. I didn’t fully unthat there is really a lot of opporWe are already talking with our derstand and appreciate it at the tunities to change and the need German friends who are very time. I have always felt that West for electricity in an economy that keen on solar to support us on Africa has probably the most is growing by over 10% a year; the next eight. The good news is sunshine in the world or close to last year by 12% or 13% dependthat they are supporting us with it and we had no solar! So if you ing on where you read it. the funding but anybody can ask my ambition, my ambition This means that there is a win the tender for constructing is for renewables to work; that huge requirement for electricthe plants; it doesn’t necessaris for West Africa as a region and ity. Whether that is renewable ily have to be a company from Ghana in particular to become or it is hydro we are looking at; Germany. experts in solar power, a place whether that is thermal or the Now, given our target of where one can do solar business development of gas supply, the 10% by 2020, 110 megawatts to the extent that costs are comcountry needs 10% or more is not enough but our thinking down and living standards each year. So that creates great ing is, let’s get the first little bit are improved. I would certainly opportunities. It doesn’t mean done; 10 megawatts and, at that like to see Ghana in the next 5 that it is straight forward or easy point, we will have a lot more to 20 years becoming one of the or you come tomorrow and get knowledge, understanding, flexprime places for solar technoloyour project done the next day. ibility, and look at Joint Venture gy. That would be a tremendous But it does mean that there is partners and all kinds of things. thing and I am happy for VRA opportunity for those who are When we started 18 months that we have come this far. willing to take those risks; for ago, the renewables law was not I think VRA has an impresthose who like to be challenged. passed and there was no feed-in sive track record over the last It is different from a place tariff and so we actually made 50 years for what we’ve done that is not growing, remains a deliberate decision to sit with in Ghana. Arguably as one of stagnant and where there is no Government and find how we the few well organised and opportunity for growth. If every can get this done effectively. We functioning state enterprises year the country needs another recognised that we are a public that has survived for 50 years. 200 MW of power and the state company and have sort of state Clearly, the environment is cannot do it by itself then someresources; and that if Governchanging to a more competitive body else has to do it. While ment really wanted these things, one and there’s a lot more prithe VRA is committed to doing they will get these things done. vate sector involvement in the things by ourselves, we are very Sure enough the law has now economy. I think VRA can play open to partnering others to been passed and the feed-in taran equally path-breaking role achieve these ends. Nothing iff is almost ready. They needed to the extent that the Governstops us from doing that; in fact tangible proof of someone who ment wants us as a public sector one of our plants in Takoradi wanted to do it before that player, as a public-private sector is a joint venture with an Abu urgency hit them. So I think our player to act very much like a Dhabi company. So there is strategy worked largely. “private” sector company and already a model for that kind On the wind side, what is get listed on international Stock of partnership. required for a wind project is


Mining Abundant opportunity in a vibrant sector

“ TOP*8,'(

The minerals and

extractive industry is an important one KP *JCPCnU GEQPQO[ One of the country’s highest earners is gold and it has a wealth of other minerals that are in various stages of GZRNQKVCVKQP The country has a well-­established mining sector, which has grown considerably in recent years to represent an important pillar of the Ghanaian GEQPQO[

The minerals extractive industry currently has thirteen large-scale mining companies and over three hundred registered small scale mining groups and ninety-nine support service companies. Industrial minerals are geological materials which are mined for their commercial value. They are not fuel (fuel minerals or mineral fuels) and are not sources of metals (metallic minerals). They are used in their natural state or after beneficiation either as raw materials or as additives in a wide range of applications. Industrial minerals that are produced in Ghana include diamond, feldspar, granite, kaolin, limestone, dolomite, marble, gravels, salt, silica and cement. It is Government’s policy to diversify the exploitation of its mineral resources base from the traditional minerals like gold, diamonds, bauxite and manganese to include the exploitation of industrial minerals which could promote effective linkages in the economy, to reduce current over reliance on imported substitutes. The industry operates under the objectives of the National Mining and Minerals Policy. The core aim of the

Mining and Minerals Policy is to “Conserve and sustain the development of the nation’s mineral resources and the maintenance of the environment”.

THE MARKET Gold production in Ghana, Africa’s largest producer of the metal, after South Africa, rose 3.5 percent to 1.46 million ounces during the first half of the year 2010. Revenue from sales of the precious metal during the six months rose 31 percent to US$1.68 billion. Diamond production climbed 14 percent to 201,792 carats, while revenue from sales of the gems more than doubled to US$6.85 million. Bauxite output during the six months of the year 2010 rose 9.7 percent to 301,489 metric tons, while earnings from sales of the raw material used to make aluminum jumped 41 percent to US$8.82 million. Ghana and Senegal are the only countries with the most favourable coastlines for salt winning in the West African sub-region, however, this advantage has not been exploited. Total production from these two countries remains low and continues to dwindle. Of the two countries Ghana has the best potential. Ghana has a potential solar salt production base for establishing a regional plant to produce basic chemicals such as caustic soda, chlorine, hydrogen, petrochemicals and other related products. Ghana is endowed with commercial quantities of com-

PRODUCTION AND REVENUE OF GOLD, DIAMONDS AND 0$1*$1(6( -803(' '85,1* ),567 +$/) <($5


(1H 2010)

(1H 2009)

Gold (ounces)



Diamond (carats)



Bauxite (tons)



Manganese (tons)




(1H 2010)

(1H 2009)













INVESTMENT OPPORTUNITIES Emphasis on investment promotion has been a major objective of the industry with a shift to a comprehensive vision that facilitates greater exploitation of Ghana’s industrial minerals. Investment opportunities in the industry are in the areas of exploitation or production and industrial processes. They include: z The production of industrial minerals for both local and international consumption z Applications/processing of industrial minerals in the areas of construction, ceramics, paints, electronics, filtration, plastics, glass, detergents and paper.

Production z Companies to set up refinery facilities to serve the local industry for value-added products. z Companies to exploit and produce solar salt. Potential exists for the utilisation of part of the salt to produce caustic soda which is a raw material for the soap and detergent industry. The chlorine co-products can also be used as water treatment chemicals and also serve as raw materials for the production of


z z z

various health and sanitation chemicals. Companies to produce clinker for the mining industry. Demand for clinker is estimated at over one million metric tonnes per annum. Companies to exploit the extensive deposit of granite to produce high quality floor tiles. Companies to produce dimension stones for the building industry Suppliers to supply salt for the local market.

Engineering and Services z Service companies to provide support services, including contract drilling, assay laboratories, contract mining and geological consultancies to mining companies in the country. z Companies to set up manufacturing plants and machinery for the mining industry. z Companies to set up downstream production facilities to manufacture key input for the mining industry. Examples: mill balls, drill bits, cyanide and activated carbon.


mon salt, which have not been fully exploited to effectively contribute to the country’s economic growth. With the discovery of oil in commercial quantities, currently in excess of 300 million barrels of recoverable crude oil, the prospect for the salt industry to grow is keener. From the four or more methods available for salt production, solar techniques involving both modern and traditional methods appear to be widely used in Ghana as a result of favourable climatic conditions. Out of the production potential of between 2 and 3 million tonnes per annum, just about 10% (about 250,000 tonnes) is produced annually. Salt production is mainly found in the coastal region and production is far below the average expected demand of 2.5 million metric tonnes per year. However salt winning is rudimentary and burdened with problems in Ghana. In Ghana salt winning is concentrated predominantly in the Central, Volta and Greater Accra Regions where climatic conditions are most favourable. Areas such as the Keta Lagoon, the Songor Lagoon, the Densu Delta area, Nyanya Lagoon, Oyibi Lagoon, Amisa Lagoon and Amwin/Benyah Lagoon are the dominant mining zones. In 2010 the West African nation’s manganese production increased 26 percent to 563,951 tons while earnings from the metal climbed 33 percent to $37.2 million.


The World Bank Reports



hana’s mining sector is critical to its economy, tax and export receipts. It hosts vibrant private investment from multinational concerns as well as smallscale operations. Following the revision of its national accounts in 2010, Ghana accessed to the lower middle income country status (with a GNI per capita at US$1,250 in 2010). While still primarily a natural resource based economy (gold, oil, cocoa, timber), the country is engaged into a transformative process, aimed at developing new industrial sectors and modernising its agriculture through large investments. As such, the country is particularly keen to insulate the economy from induced mineral commodity price volatility (through the implementation of a number of stabilisation mechanisms), as well as from real exchange rate appreciation, through productivity gains in tradable sectors.

Ghana is endowed with sizable deposits of manganese, diamonds and bauxite, but gold remains the key resource for the country’s economy, accounting for more than 95 percent of mineral revenues. Although the output of other minerals has

decreased, the production of gold grew from 63 tons in 2004 to approximately 80.5 tons in 2008 (Ghana Chamber of Mines 2000-08; Mineral Commission 1996-2006). The country is the secondlargest gold producer in the continent after South Africa. The largest gold deposits are found in the Ashanti, Western, Central, and BrongAhafo Regions. The mining sector currently contributes approximately 41 percent of total exports earnings, 14 percent of total tax revenues, and 5.5 percent of Ghana’s gross domestic product. Despite the fact that mineral exports increased 50 percent and tax revenues derived from mining almost tripled between 2004 and 2008, as a share of total tax revenues they have decreased in the same period. The Minerals and Mining Law in 1986 established the Minerals Commission to regulate the sector and further liberalise the mining climate, extending significant new benefits to investors in the area. This measure, coupled with the rise in the gold price, sparked substantial new interest in Ghana by international mining companies. More than 55 gold pros-

pecting licences were issued between 1986 and 1989, and three gold mining companies commenced production in the late 1990s. As a result of improvements in the mining climate, Ghana was voted among the top 10 emerging markets for mining (the only African country to be ranked so highly) in a 1995 survey of international mining analysts. The World Bank 2011 Doing Business Report places Ghana as number eight in the category ‘Doing business became easier’, which is based on the cumulative ranking for the last five years. Despite efforts to attract foreign investment, however, Ghana’s industrial sector grows slowly. In Ghana, mineral depletion rose from 1.9 percent of GDP in 2006 to 9.2 percent in 2011. Cumulatively, the equivalent of US$8.6 billion worth of mineral rents was extracted in these six years. Sources: Policy ResearchWorking Paper 5730: Political Economy of the Mining Sector in Ghana (Joseph Ayee Tina Søreide G. P. Shukla Tuan Minh Le).The World Bank, Africa Region. Public Sector Reform and Capacity Building Unit (July 2011)


Infrastructure primed for investment As a developing country, Ghana’s infrastructure needs are many and diverse. The main areas of concern are water and sanitation, telecommunications, electricity, and roads and transport.

Water and Sanitation

The Urban Water sector comprises about 87 cities and towns where the national water utility – the Ghana Water Company Limited (GWCL) – owns and manages water supply. The sector is under the dual authority of the Ministry of Water Resources, Works and Housing (MWRWH) and of the Ministry of Local Government, Rural Development and Environment (MLGRDE). The Community Water sector deals with over 16,000 rural communities and some 287 small towns. Management of water supply is the responsibility of

District Assemblies with a facilitation and oversight role by the Community Water and Sanitation Agency (CWSA). Municipal assemblies and districts are responsible for investment, operation and maintenance of water and sanitation infrastructure within the community water sector. Approximately 62% of the population has access to improved water supplies in Ghana. For the urban population the access rate is about 76%, slightly higher than the national rate. With GWCL’s unaccounted-for water (UFW) at about 50% of total output, the volume of water that is effectively sold (280,000 m3/ day) is less than half of the daily demand (763,300 m3).

The major consumptive uses of water in Ghana are water for domestic and industrial uses, irrigation – which doesn’t play an important role in the overall balance – and livestock watering. Domestic and industrial urban water supplies are based almost entirely on surface water, either impounded behind small dams or diverted by weirs in rivers. The main non-consumptive uses of water are hydropower generation, inland fisheries and water transportation. On the basis of surface water resources alone, the consumptive water demand for 2020 has been projected to be 5.13 billion m3, which is 13% of the surface water resources.


Ghana’s water sector is segmented into two parts, identified as the Urban Water sector and Community Water sector.


The road infrastructure sector is managed by the Ghana Highway Authority (GHA), Department of Feeder Roads (DFR) and the Department of Urban Roads (DUR), under the Ministry of Transport. Transport improvement has been defined by the Ghana Poverty Reduction Strategy (GPRS) as an integral component for increasing national productivity and hence poverty reduction. The fundamental policy objective of the transport sector therefore is to establish an efficient, modally complementary and integrated transport system. Most urban transportation in Ghana is by road and provided by private transport including taxis, mini-buses and state/private-supported bus services. Buses are the major mode of road transport, accounting for about 60% of passenger movement. Taxis account for only 14.5%, with the remainder accounted for by private cars.


Public Transport Services

“Ensuring affordable, safe and accessible transportation system that recognises the needs of people” is one of Government’s objec-

Roads and Transport The Transport sector is made up mainly of road transport, maritime and water transport, civil aviation and rail. Road transport is the major carrier of Ghana’s land transport system, currently taking up about 98% of freight and 95% of passenger traffic.

tives for the transport sector. The promotion of mass transportation is one of the major steps taken to realise this objective. The bulk of passengers on the road network are transported by public transport vehicles such as taxis, ‘trotros’ and buses. The Metro Mass Transport Company (MMT) was established in October 2003. There is the need to provide more buses and improve on the quality of service to attract more people to use the mass transport system as this will lead to lower congestion in the cities. The plan to introduce Bus Rapid Transit (BRT) in Accra and other cities is therefore in the right direction.

Maritime Transport

There are two main seaports (or harbours) in Ghana namely Tema and Takoradi. Tema is the biggest port and major operations at this port are skewed towards import commodities such as heavy machinery, containerised cargo, etc. Operations at the Takoradi port are skewed towards the export trade with emphasis on commodities such as cocoa, timber, manganese and bauxite. Port facilities and the domestic transportation networks serving

Container Seaport Traffic

Container seaport traffic increased steadily from 2001. Between 2004 and 2010 there was a steady increase of total container seaport traffic (imports & exports) from 385,902 TEUs to 643,189 TEUs. Imported Containers also increased from 198,149 TEUs in 2004 to 336,719 in 2010. Container transport is expected to remain the preferred means of maritime cargo transport owing to its considerable advantages.

Vessel Traffic

The number of vessel calls in 2010 was 3,064. Overall vessel calls to the country have continued to increase each year. Between 2000 and 2006, Tema Port received 70-77% of all vessel calls.

Aviation Sector

Most major international carriers fly regularly to Kotoka International Airport (KIA) in Accra, the main entry point to Ghana by air. This is the result of Ghana’s open skies policy, which frees an air space regulator from the constraints on capacity, frequency, route, structure and other air operational restrictions. In effect, the policy allows the Ghana Civil Aviation Authority (GCAA) to operate with minimal restrictions from aviation authorities, except in cases of safety and standards and/or a dominant position to distort market conditions. International air passenger traffic increased from 705,370

in 2004 to 1,204,786 in 2009 and in 2010 further increased to 1,387,045. Air passenger traffic increased every year from 2007 to 2010. In 2010, movements to and from Europe constituted about 33.5% of the total passenger throughput that was handled at KIA; and the West African sub-region contributed about 27.7%.

INVESTMENT OPPORTUNITIES The water supply and sanitation infrastructure is insufficient, especially in rural areas. Major investments are needed to extend coverage, rehabilitate and maintain existing infrastructure and provide Point Sources (boreholes/ hand-dug wells), Small Towns Pipe Schemes, Rain Harvest Plants and Household/Institutional Latrines. Investment is needed to provide electrical services in the construction of the physical facilities including street lighting, improved coverage/access and service efficiency, and manufacturing. Major investment opportunities for the roads and transport are in construction and maintenance, services and sales. Identified as one of Government’s priority areas to be developed under its medium term plan, transport services offer exciting opportunities especially the following: z In mass transportation – scheduled bus system z Rail upgrades and passenger rail transport on chosen corridors z Lake transportation systems z Air transport operators for domestic and sub-regional services z Development of regional airports z Upgrading of existing trunk roads under BOT, BOO, BAT, BLT etc. systems

Rail Sector

The rail industry in Ghana has a total track length of 1300km and operates a route length of 947km. These track and route lengths have been the same since the year 2000. The annual rail freight revenue increased from 2001 to 2005 but recorded a drop in 2006. It increased from 63 billion cedis in 2001 to 99 billion cedis in 2005. In 2006 there was a decrease of 21%.

Major opportunities in the sector are in the form of contracts between the Ministry of Roads and Transport and local and international engineering firms via competitive bidding. Entry into the public transportation industry can be said to be unrestricted. However, The GIPC Act reserves certain enterprises for Ghanaians (operation of taxi service and car hire service except when a foreign investor in these services owns a fleet of at least ten brand new cars). Demand for freight services transcends Ghana’s borders. The country’s overland trading partners and land-locked neighbours commonly rely on the transportation services from Ghana. Furthermore, the rehabilitation of Ghana’s ports at Tema and Takoradi, as well as the Kotoka International Airport has broadened the capacity for utilising Ghanaian transport services in the wake of the ECOWAS convention. It is now common for goods consigned to Burkina Faso and other neighbouring countries to land in Ghana for overland freight forwarding. A rehabilitation programme aimed at removing physical bottlenecks in the railway company in the sector is underway. A restructuring programme with the objective of attracting private investors has been proposed and plans are far advanced to privatise railway management.


them are critical elements in Ghana’s transportation system.


The World Bank Reports


he Ghana-Africa Infrastructure Country Diagnostic Report AICD (2010) estimates that raising the country’s infrastructure endowment to that of the region‘s middleincome countries requires addressing both efficiency and a funding gap of US$1.5 billion per annum, highlighting the potential role of private sector participation. In recent years, infrastructure has made a net contribution of just over one percentage point to the country‘s per capita growth. In this respect, budgetary and efficiency constraints mandate that Ghana further develop public PPP schemes to meet these investment needs.

TOP*8,'( ‡

Ghana is significantly lagging behind its sub-Saharan African peers in terms of private sector investment in infrastructure. It has not attracted much private finance of infrastructure as other African peers. Private Sector Participation in Infrastructure in Ghana has been mainly in the form of divestures and concentrated in the telecom sector. Based on the PPI database total Private Participation in Infrastructure amounted to $2.1 billion of which five percent are concessions, 30 percent Greenfield, and 65 percent have been divestures. With regards to the sectoral breakdown, telecom accounts for 67 percent of the value of projects and energy for 32 percent. As a percentage of GDP, PPI accounts for 15 percent.

The key programme elements for the start-up development of an effective PPP market include the following: an enabling environment, namely the

Legislative, Regulatory, Fiduciary and Institutional Arrangements; the presence of a PPP pipeline and project development support; and PPP Long-Term Financing support. Government of Ghana is undertaking an impressive set of legislative, policy and institutional reforms to address many of the identified enabling environment weaknesses. It has established the Public Investment Division within the Ministry of Finance and Economic Planning to take a lead role over the PPP Programme in Ghana. The Public Investment Division, led by a Director, is comprised of four units including a Project and Financial Analysis (PFA Unit) with gate-keeping and upstream investment appraisal responsibilities and a PPP Advisory Unit (PAU) that will house technical specialists to support line ministries and agencies in the development and management of prospective PPP transactions that satisfy GoG public investment priorities. The GoG, under the leadership of the Chairman of the National Development Planning Commission (NDPC) and the PID team, prepared a National Policy on PPP that has been widely discussed with public and private sector stakeholders and the international donor community. The policy was approved by the Cabinet in June 2011 and launched in October 2011 and comprises, together with a copy of the approved National Policy on PPP, the Letter of Sector Policy from GoG. This effort signals the Government‘s solid commitment to developing its PPP Programme.

The policy caters to the various challenges that face the private sector in approaching PPPs such as the critical role of the various MDAs to be involved in the approval process of PPP projects; a clear separation of the roles of PPP advisory and PPP Monitoring within the PID; the need for Government support for upstream PPP project development; supporting PPP projects that fall within the Government‘s national development agenda and are economically justified but not financially viable; and recognising the need for supporting commercial long term financing in local currency to the private sector partners of PPPs. Ghana will need to build its capacity to manage fiscal commitments and contingent liabilities from PPPs. Under a PPP, the Government almost always bears some risk or provides some support that gives rise to an ongoing fiscal commitment. These government contributions are needed to mobilise private investment in a way that achieves Value for Money (VfM) by ensuring that projects are financially viable and by allocating risks well between public and private parties. Sources: Ghana Country Study: A roadmap for the strategic application of information and communication technology (November 2011); PROJECT APPRAISAL DOCUMENT ON A PROPOSED CREDIT IN THE AMOUNT OF SDR 19.4 MILLION (US$30 MILLION EQUIVALENT) TO THE REPUBLIC OF GHANA FOR THE PUBLIC PRIVATE PARTNERSHIP (PPP) PROJECT (PHASE I) ADAPTABLE PROGRAM LENDING (APL) February 28, 2012


Information & Communication Technology A competitive industry full of opportunities the growing middle-class who consume both software and hardware products in a manner comparable with their counterparts in the West. Overall, access to ICT is expanding at an impressive speed, with mobile penetration being particularly aggressive. Though at 2,000,000, the number of internet users may be on the lower side, it represents a 50-fold increase on the number of users just a decade ago with the rate of increase set to get even greater. Indeed, Ghana has been recognised as an attractive destination for Business

Processing Outsourcing (BPO) and was ranked the No. 1 destination in sub-Saharan Africa (ahead of Senegal and South Africa) and No. 27 globally out of 50 countries by the A.T. Kearney Global Services Location Index (GSLI), 2011.





National fixed network operators



National mobile cellular operators



Direct to Home (DTH) Satellite Services



Internet Service Data Providers



VSAT Data Operators



FM Stations Public Community Campus Commercial

41 35 11 155

41 25 9 133

TV Operators Free on air TV Operators Pay per view TV Operators Authorised for research purposes

20 7 1

10 7 0


The Information & Communication Technology sector in Ghana is one of the most competitive in Africa. Home to six telecom operators and several others providing internet and broadband services, the sector is testament to the wisdom of the liberalisation policy embarked on by the country in the first half of the 1990s. The sector is broadly overseen by the National Communications Authority which operates under the Ministry of Communications. Regulations are investor-friendly and both bodies adopt a broadly consultative approach to policy making and enforcement. Telecom operators are also represented by the Ghana Chamber of Telecommunications which is robust and vigorous in its advocacy. There is a growing infrastructure base that includes licensed gateway operators, SAT-3 Access, Private Licensed VSAT Systems, Fixed Wired Line Networks, Wireless Mobile Operators, Public telephones systems, Telecentres, Dedicated Transmission Networks, Public Distribution Networks (cable, TV, DSL, etc), Internet Service Providers, Internet Backbone Connectivity throughout the Country and Public Access Point and Broadcasting Systems, supporting the expanding industry. Technology uptake is very enthusiastic, especially among


HE MARKET The Government’s proactive policy and regulatory interventions, combined with support from the World Bank Group and other development partners, has resulted in a competitive and vibrant industry.



hana currently has 6 registered mobile operators – MTN (which has dominant market share), Vodafone Mobile, Tigo, Expresso and Airtel Mobile and Glo, which was the last to launch its operations in May 2012. The market continues to grow aggressively in all segments, particularly in the telephony space. The enabling environment provided by Government continues to promote competition.

Internet Usage

Over the last decade, internet usage has greatly increased in Ghana. Together with the mobile cellular market, the internet market in Ghana presents an important potential for growth and

development. As a critical source of information, the internet is viewed as a significant development enabler. Presently, Ghana has nearly 51 times as many internet users as it did in the year 2001.


Total access lines in operation as at November 2011 was 21,323,771 with 98.66% and 1.34% being due to mobile telephony and fixedline telephony respectively. This compares with a lower figure of 17,714,846 as at the end of the year 2010. The mobile penetration rate increased consistently from 52.4% in December 2008 to 79.1% ending June 2011. With total penetration rate (Mobile + Fixed) at the end of July 2011 standing at 80.3% as against 72.7% at the beginning of the year, the growth in the industry can be attributed to increased competition in terms of: sale of SIM cards and airtime; better and increased coverage; improved quality of service on most networks; introduction of cheap phones; more aggressive marketing promotions, etc.

TOP*8,'( ‡


There are considerable investment opportunities in the ICT sector. The sector requires service providers in connecting international voice calls to the local public network. Internet Service Providers are also required to offer internet access to the public, especially the rural areas, at less cost and broadcasting operators to establish Radio and Television broadcasting in the country. There is also a lack of ICT facilities and infrastructure on a broad scale across the nation. Investments are needed in


the provision of software for the country, extension of the broadband network to reach the whole country and to provide computer access to rural students. Technological and other support related services such as the supply of quality telecommunications equipment, ICT equipment and office and network equipment. There are also opportunities in the following areas: z Education in the area of software development, networking, VSAT, telecommunication and IT Engineering z Production of Business Solution

(software and networking services) z Business Processing Outsourcing z Supply of High-Tech Telecommunication Equipment z Back Office Operations (especially for the Financial Institutions) z Provision of Broadband Facilities and Services z Internet Service Provision Service z Transaction Processing z Manufacturing, assembling and supply of Computers and Accessories z VSAT Services z E-commerce and Legal Database Services z Logistics Management Services and Medical Transcription Services


et’s take your business to Africa and the world.

In a fast-moving business world, it is essential to give your business the needed competitive edge. That is why MTN offers you converged communications solutions that combine network and IT infrastructure to bring you secure, reliable voice and data services that keep your employees connected and make them available to your customers, allowing your business to be efficient, visible, and cost-effective. MTN Business Ghana will consolidate your ICT requirements as a single vendor, harnessing

Why choose MTN Business? z




Network Solutions: MTN offers innovative, reliable, and secure network solutions from MTN to client premises. We have a suite of Virtual Private Network (VPN) solutions that meet your unique business needs. National and International Leased Lines: MTN offers National and International Leased Line Services for business customers with varied business capacity and bandwidth requirements. Dedicated Internet and Email Solutions: MTN offers secure, reliable, high-speed, dedicated Internet, hosted email and web services. MTN Business will design products specifically to meet your needs on any scale. Infrastructure: MTN is building and providing national, international and metro fiber network access.




MTN Business Ghana

Ridge Towers, 6th Avenue, Ridge-Accra P.O. Box 281, Trade Fair, La Accra, Ghana Tel: +233 (0)244308111 Toll free: 18111 (MTN subscribers only) Fax: +233 (24)4300013

technological synergies to provide converged networking, cellular and Internet services. MTN Ghana is the market leader in an increasingly competitive mobile telecommunications industry in Ghana, offering consumers and business entities a range of relevant, reliable and innovative products and services. MTN’s network coverage is extensive, covering all regional capitals, rural and remote areas. The mission of MTN Business is “to deliver innovative, robust and cost effective solutions,” and MTN Ghana has a rich human resource base made up of experienced professionals, each bringing their expertise, enthusiasm and passion to achieve this mission.

Companies are increasingly adopting data and network architecture to reduce spending and enjoy high speed connectivity and affordable Internet and network access solutions. WACS: The West Africa Cable System (WACS) is Africa’s largest capacity submarine fibre optic cable spanning the west coast of Africa, starting at Yzerfontein near Cape Town, South Africa and terminating in the United Kingdom. As a member of the WACS consortium, MTN operations will enjoy seamless connectivity with the rest of Europe and the Americas. Data Centre Service: With over 600 square meters of floor space and three world class data centers located in Ghana, MTN offers co-location to Managed Servers and Back-up Services. We provide you with cost–effective solutions that allow you to focus on the most important thing-your business. Wi-Fi Hotspots: To extend our

coverage in the data access space, MTN offers Wi-Fi hotspot service in various business circles in major cities and locations in Ghana so our clients can access the Internet on-the-go with their Wi-Fi enabled devices. z Security Solutions: MTN provides services that better protect your data and network infrastructure, assess risk, manage threats and ensure compliance. z Customer experience: We provide services to meet your specific needs and to ensure distinct and positive customer experience. We constantly track, measure and institute processes to improve your overall service delivery. We also offer a wide range of service level agreements to assure you of our commitment to an excellent customer experience.

Give your business that competitive advantage by deploying convergence from MTN Business Ghana today.


Key 01 Players MTN Business


The World Bank Reports


hana has a number of significant strengths and considerable opportunities but these are finely balanced with significant weaknesses and threats. The country has been an early pioneer, both in terms of developing software and attracting call centre work. But both of these sectors have struggled against the historic realities of high price bandwidth, the size of the market and available skills. Until recently, the call centre sector work was not aggressively promoted, but things have begun to change with the global marketing drive in 2010, although this has yet to bear visible footprints. In terms of software development, a seed has been sown, and there is now a small but innovative entrepreneur and developer sector. Compared to its much larger neighbour Nigeria, Ghana remains ahead in this field, but it needs to focus on export markets as it does not have the large domestic market found in Nigeria. Ghana has considerable potential content assets as one of the continent’s more significant film and broadcast programme makers, which will be important as the ICT sector shifts from bandwidth sales to content and services. But despite being in existence well before Nollywood, it is one of the continent’s best kept secrets and this touches on a broader problem: with few exceptions, Ghanaians (as they will themselves admit) have not always been good at communicating their

strengths and successes in the ICT field. They need to focus on creating a clear overall picture of ICT development in Ghana and within this narrative be able to convey success stories at several different levels. Many of the weaknesses and threats are factors that affect all African countries. For example, there are considerable ICT skills shortages at all levels and as a result, there is a high turnover of staff in some sectors. Inevitably, the public sector finds it hard to keep up with the wage demands that exist and does not always get the skilled people it needs. Some of these skills shortages come from a lack of wider experience that can only really be gained outside the country: training, academic courses and online learning are no substitute for direct work experience. The shortages are also a function of an education system that, in the perception of ICT employers, does not produce critical minds and people who can take responsibility, particularly for project management and implementation in the ICT field. Also as in most other African

We are a global brand with a dream to transform lives by enabling people to connect with the world to fulfill their potential. We believe in the utilization of cutting edge technology to deliver value to our cherished customers. TOP*8,'(

Source: Ghana Country Study: A roadmap for the strategic application of information and communication technology (World Bank Report; November 2011)

Key 02 Players Expresso

About Us

countries (and indeed internationally), there is a lack of capital funding to support both start-ups and early ventures. Below the US$0.5 million investment level, there are very few ways of either providing long-term equity or loan funding to promising start-ups or early-life companies. Some of the weaknesses and threats will clearly undermine Ghana’s potential for ICT success unless they are addressed. But here, it is important to differentiate between long-term issues that cannot be addressed quickly and “easy win” actions that can be taken. For example, Kenya has both lively powerful and articulate personalities that shape the perceptions of its ICT sector and bodies like the National ICT Board that provide a combination of leadership and incentives for change. Ghana lacks ICT leadership (both individually and collectively), and anybody that brings together public and private focus on key barriers to ICT growth.

Our world class, passionate, caring and optimistic attributes allow us to embrace the diversity of wherever we find ourselves. Our goal is to become one of the top 5 African telecom operators by 2012. A goal we can achieve by giving you the best voice and data platforms on the Ghanaian market.

Our Philosophy

Our approach to sustainability is built on being known as a trusted partner. We conduct our business fairly, honestly and with integrity. Our corporate strategy and sustainability strategy are not mutually exclusive – they are one and the same.

Our Mission

To be one of the leading telecoms service providers in Africa.




Real Estate sector still booming The property development market in Ghana is currently in its infancy: the market is growing as the younger generation of Ghanaians realise that the capital gains made from property is a quick path to wealth in periods of rapid inflation. The industry is dominated mainly by residential and commercial developers. In the last ten years the residential market, undoubtedly the most vibrant in the industry, has registered an estimated 85,000 transactions yearly, with an estimated value of about US$1.7 billion.

TOP*8,'( ‡

The commercial property segment, which includes office accommodation and retail space, is the second largest segment in the industry. Third is the industrial segment which is considerably smaller in size; recreational and civil/cultural property developments are new areas that are gaining interest among the industry stakeholders.

The Ghana Real Estate Developers Association (GREDA), an organisation of private real estate developers, has played an active role in property development in the country. They mainly service the upper income and expatriate demand for housing, especially in

Accra and Tema. Regimanuel Gray, Parakuo Estates, NTHC Properties Ltd, ACP Estates Ltd and Manet Housing Company account for about 75% of the GREDA group’s residential property development. The Government participation in the property market is minimal compared to the private sector. The Tema Development Corporation (TDC), State Housing Corporation (SHC) and the Social Security and National Insurance Trust (SSNIT) are the only public sectorcontrolled agencies involved in the property market. Rents for commercial properties range from US$12 to US$25 per m2 per month. Residential property rents range from US$1,500 to US$4,500 for apartments in the upper-end market (depending on dimensions and neighbourhoods). Construction costs range from US$250-1,000 per m2 for buildings.

INVESTMENT OPPORTUNITIES z Construction: Residential Housing (low-cost housing, high-rise quality apartments and villas, retirement villages); Industrial Property (light industrial parks, warehousing facilities); Commercial Buildings (regional and local shopping centres/ malls, office accommodation, storage, etc.) as well as provision of construction equipment and building materials z Residential Property: While the housing supply rate has increased since 1990, current estimates clearly point to a notable production shortfall of new residences in Accra. There is a huge potential for residential housing sales to the ever-increasing number of middle-income earners, who are eager to own houses, as well as the large number of Ghanaians living abroad and the expat community.

z Commercial Property: Several areas in the Accra-Tema corridor have been zoned as industrial sites, although these are yet to be sold or let. Actual development may be carried out by commercial developers or individual lessees. z Other opportunities include construction and renovation/rehabilitation of properties for office leasing, shops, storage and other enterprises. Opportunities also abound for investors interested in Export Processing Enclave real estate development, to provide factory shells, office space and serviced plots to potential investors. z Building Materials: Ghana offers z Hostel needs for the teeming tertiary greater investment opportunities students in and around the country’s for the production and marketing of Public and Private Universities/ building materials and systems. The Polytechnics offer excellent opportunity construction sector is open to the to the foreign investor within the real introduction of new and appropriate estate sub-sector. building materials and systems.

TOP*8,'( ‡


:GUV $HTKEC KU C TGIKQP with  a  population  of  approximately  OKNNKQP RGQRNG and  is  one  of  the  fastest  urbanising  CTGCU KP VJG YQTNF It  is  forecast  that  the  sub-­region’s  population  will  reach  OKNNKQP D[ such  urbanisation  brings  an  imperative  to  invest  in  supporting  infrastructure  UWEJ CU TGCN GUVCVG An  increasingly  sophisticated  consumer  class  UGGM JKIJ SWCNKV[ places  to  work,  live,  GCV UJQR CPF TGNCZ Fast  growing  local  and  international  companies  struggle  with  a  lack  of  SWCNKV[ QHĂŚEG URCEG while  international  retailers  have  hard  VKOG ĂŚPFKPI VJG TKIJV real  estate  for  their  DTCPFU


Some High-end Properties coming to Market

One Airport Square

Actis & Laurus Development Partners One Airport Square


Size: 20,800sqm GBA Location: Airport City, Accra, Ghana Use: Commercial – Offices and retail

Size: Office – 16,380sqm GBA Hotel – 13,050sqm GBA Retail – 10,000sqm GBA Residential – 32,000sqm GBA Location: Airport City, Accra, Ghana Use: Mixed Development – Offices/ Hotel/Retail/Residential



Sunrise is a mixed-use development project comprising hotel, offices, retail, and residential with ample parking space. It is located on a 7 acre premium site in Accra, in proximity to Kotoka International Airport and to Liberation Road, one of the main accesses to the city centre. The project emphasises the public space and is conceived as a new urban development where different functions, public and private spaces interact to create a dynamic, modern and vibrant city environment.

The Airport Business District within which the site is located is the most upscale part of Accra with a great potential to become a modern and urbanised face of the city. This is evidenced by the current trend of new developments within the area. The area is highly accessible and well sought after with respect to the city of Accra due to its proximity to the Kotoka International Airport, Accra Mall, the Polo Club and Polo Field.

Designed by an Italian architect at the very forefront of environmental design, Mario Cucinella, One Airport Square will be the first certified green commercial building in West Africa. This striking development comprising 9 floors of offices, 2000sqm of retail and 260 car parking spaces, will be supported behind the scenes by a first-class mechanical, electrical, plumbing and lighting system with large and efficient floor plates and raised flooring. It will be a pioneer in green design and feature the highest standard in Health and Safety. By using natural light and ventilation One Airport Square will consume 30-40% less energy and incur lower operating costs and less maintenance than other similar buildings. Laurus is working with Actis to ensure its Environmental, Social and Governance guidelines feature in all contractual arrangements, including the procurement of local building supplies and the employment of more than 150 local construction workers. One Airport Square aims to redefine standards and expectations and establish one of Accra’s most desirable addresses.

LAURUS – Who are they? Laurus Development Partners (Laurus) is an investee company of Actis – a private equity investor with US$1.5 billion invested in Africa. Actis focuses on emerging markets and launched the first sub-Saharan African private equity real estate fund in 2006 and won PERE’s 2008 Africa Real Estate Private Equity Firm of the Year award. Actis provides Laurus the financial backing to deliver complex, long-term projects that others struggle to execute in this market. Laurus, a real estate development company established in April 2010 and headquartered in Accra (with an office in Lagos), combines West African expertise and relationships with international best practices in delivering its portfolio. Laurus develops environmentally sustainable buildings that deliver enduring value to local communities, investors and end users. In

addition, Laurus leverages its expertise of the local market, in conjunction with our technical experience of commercial development and international best practice. By applying international standards in real estate investment, development and management, Laurus is currently shaping the property market in West Africa. The Laurus team has collectively worked on more than two million square metres of real estate development and it is currently working on more than 170,000 sqm between Ghana and Nigeria. Laurus’ mission is to respond to the high demand for high end real estate assets in West Africa. Innovations brought by Laurus to the Ghanaian Building Industry Laurus is a pioneer in sustainable design features – setting

the standard in real estate development and management in West Africa. Resource pressures in the developing markets of Africa mean that it is essential to understand the water, energy and total sustainability profile of a building if it is to serve the local population in the long term. Actis and Laurus have partnered with the World Green Building Council and the African Union of Architects to establish an internationally recognised Ghana Green Building Council: this organisation will impose international green rating standards relevant to the region’s environmental and social needs. Laurus Development Partners champions sustainable practices and technologies, demonstrating that an environmentally sensitive approach in West Africa makes good business sense.

Other Projects by Laurus Size: 18,000sqm GBA Location: Kingsway Road, Ikoyi, Lagos, Nigeria Use: Commercial – Offices Heritage Place will be the premium office location in Lagos, offering the best aesthetic appeal, environmental sustainability, operational efficiency and superior returns to all stakeholders. Another class A, environmentally certified building.

Jabi Lake (Nigeria) future project The project (aiming at creating a shopping and leisure vibrant environment) will be an international retail development totalling approximately 30,000sqm GBA, located in the master planned mixed-use Jabi Lake Estate Project in Abuja, Nigeria.


Heritage Place (Nigeria)

TOP*8,'( ‡



Dream Realty The Octagon Size: 50,000sqm-20,000sqm underground (parking area) Location: Accra Central Use: office complex

The Octagon can be described as the first of its kind: an office compound in Ghana. Located in Accra Central (within walking distance of Independence Square, Ministries, the courts in Accra and the High Street financial district that overlooks the ocean), the construction involves 50,000sqm of offices and for the first time in Accra, the concept is to set up offices for all businesses – be it small or large-scale firms. It will also have 5,000sqm of retail space, all with an impressive 6.5 metres height, on the main road.

square metres of parking or 1,500 indoor parking spaces. The Octagon is going to be divided into five blocks A to E. Block C, the main block in the middle of the U-shaped project, has the potential to be turned into a hotel or office for a single company, or even into small to medium-size apartments. It is for sale and can be turned into whatever the investor considers appropriate to the location.

The location is extremely strategic and it’s going to solve the problem of “physical addresses” in Ghana. It will Additionally, Dream Realty is in fact be very easy to locate creating five floors of park“The Octagon” in the heart of ing, resulting in about 45,000 Accra.


Who are they?

Dream Realty is a company mainly dealing in Real Estate Development. It is a partnership between Jamil Ibrahim Estates, a renowned construction company based in Beirut, Lebanon, and the Fakhry Family in Ghana, who are best known for the Interplast factory that mainly manufactures pipes. Dream Realty was established about four years ago and has acquired five locations in Accra to develop. Its first project is “The Octagon” in Accra Central.

Future Projects Dream Realty has three other landmark projects: two of them are ready to begin construction development. One is the Riviera Project, on Accra’s High Street, very close to The Octagon. The land is directly overlooking the ocean (absolutely spectacular). The plan for the Riviera is four residential buildings of apartments of about 400sqm, which is also a new concept in Ghana. In the centre and along the whole frontage will be a very high-end boutique hotel of about 100 rooms, some of which will be bungalows with a private garage and private Jacuzzi. The second project is at Labadi and is also directly overlooking the ocean. The V-shaped project features medium-sized, 250300sqm apartments, each with a full open ocean view, and there is a huge swimming pool in the middle. The development will have seven buildings of about four floors. It is a compound-style project that is going to look very attractive. The third area of land owned by Dream Realty is at Airport (about six acres); decisions for this land still have to be taken as the situation



can change extremely rapidly in the real estate sector in Accra.


How Dream Realty is going to impact upon Ghana and the construction landscape of the country: By introducing revolutionary new concepts with their developments. With The Octagon, Dream Realty introduced the idea of the purchase of offices. This is very unusual in Ghana, where hardly anybody sells offices, as rentals were once extremely inexpensive. In recent years, however, office rentals have increased dramatically. Today, statistics show that the average cost of a decent office is about US$37/sqm a month. Dream Realty intends to sell a square metre at US$3,000, and owners of the properties should recoup their outlay in less than six or seven years. This is a revolutionary idea, together with the 40,000sqm indoor car park.

The Riviera is the same concept, as previously land was also relatively cheap as were rents; people preferred to live in houses with a private garden and swimming pool. Today this is becoming unaffordable, hence Dream Realty is going to be building large structures – Riviera is going to be about 14 to 15 floors high. Apartments of about 400sqm, plus duplexes of about 800sqm (bigger than any house in Accra), will be one of the distinguishing features. Construction-wise, on site at The Octagon Dream Realty can rely on batching plans that can pool 60 cubic metres an hour, fully computerised. No traditional construction method that has been used earlier in Accra will be utilised. Dream Realty is trying to revolutionise the construction work to make it faster – and better.

Meridian Group Atlantic Tower

Meridian Apartments 2

Size: fourteen-storey building – over 15,000sqm Location: Airport City Use: office complex

Size: 74 units Location: Airport Residential Area Use: residential

Atlantic Tower is an ultramodern fourteen-storey office complex at Airport City, the foremost commercial, corporate and retail hub of Accra, at walking distance from Kotoka International Airport. Facing the Liberation Road, Atlantic Tower has over 15000sqm of premium space to let (showrooms and offices) set on a two acre piece of land. Two basements provide parking for over 350 cars. Each floor has fire sensors, voice and data cabling, climate control, CCTV, etc. Atlantic Tower sets forth amenities that offer occupants the peace of mind to work. The project will be completed for occupation in 2014. Pre-letting prior to completion is underway; it is now possible to make reservations.

After Meridian Apartments – which after its completion in 2009 won the Residential Developer of the Year 2010 Award in the Ghana Property Awards – Meridian Group is also putting up a Residential Complex at Airport Residential Area known as Meridian Apartments 2, which is due to be completed by the end of 2013. (More information from




THE MARKET Export earnings from the Agricultural sub-sector in 2010 amounted to US$164.93 million compared to US$150.86 million earned in 2009, an increase of 9.34%. The sub-sector contributed 10.12% to the total non-traditional exports earnings in 2010. Cocoa has historically been a key economic sector and a major source of export and fiscal earnings. Ghana is the world’s second largest cocoa-growing country.

The Agriculture sector in Ghana is the largest economic sector. It employs the most people of all and is also the most geographically diffused owing to Ghana having arable land in nearly all corners of the country. Out of a total land size of 23.9m hectares, about 57% of Ghana’s land is suitable for agricultural purposes. The sector operates mainly in crops such as cereals and starchy crops, livestock including cattle, sheep, goats, pigs, poultry and fisheries via marine, inland and aquaculture. There is a vibrant forestry sub-sector. Cocoa is the biggest crop and the source of a great percentage of the country’s exchange earnings.

Agricultural operations are however mostly subsistence and without the use of modern technology. The vast majority of it is rain-fed and farmers depend almost entirely on the elements. Even cocoa production is conducted on small holdings in the Western, Ashanti and parts of the Brong-Ahafo Region. Despite this, it remains a major earner of foreign exchange for the country and is the recipient of great Government attention and investment. In recent times, Government has moved to mechanise agricultural production in the country. There are also opportunities in the provision of inputs, technological and support services, standards, training

Ghana commands a great share of the African quota of fruit and vegetable exports to the EU. Other leading processed agricultural export products include processed tuna, cut fresh pineapples, other prepared fish and tomato paste.

and certification and storage. Irrigation, for which there is great potential but little activity at the moment, is a great opportunity for investors with the will and know-how. The agriculture sector in Ghana is primed for take-off. The Government is keen to modernise and encourage agro-processing to achieve its avowed aim of making the country the “bread basket” of the West African sub region. This makes it the ideal time to partner the Government – which has also put in place several measures to make the sector more attractive – in its vision and most importantly, reap the benefits of the great opportunities occasioned by it.


Agriculture sector 5HDG\ IRU 7DNH 2Ǻ

During 2009/2010, 569,760,000 tonnes of cocoa was exported generating revenue of US$1,544,370,920. Ghana processes between 18% and 22% of its cocoa output into liquor, paste, and butter for export markets, while all other cocoa is exported in its raw state.



Provision of agricultural inputs such as improved seeds and agrochemicals including fertilisers, pesticides and herbicides. Veterinary drugs, vaccines and chemicals; animal feed and feed ingredients are also required.


Opportunities exist in the processing of agricultural products such as cereals (maize, rice, millet) starchy crops (yam, cassava, sweet potato, plantain), legumes (carrots, cabbage, garden eggs, tomato), fruits (pineapple, pawpaw, banana, mango), industrial crops (rubber, sugarcane, cotton, oil palm, coconut, cocoa, coffee), livestock (cattle, pigs, poultry, sheep) fisheries (tuna, tilapia, catfish) and rearing of silk worm for the production of raw silk.


Additionally there is a need for the processing of dairy products as well as the supply of machinery to establish hatcheries for day-old chicks.


Floriculture offers a lot of opportunities as Ghana’s climate and topography make the country suitable for the cultivation of a number of exotic flowers. Species such as heliconia, caribea, celosia, curcuma, gladioli, hibiscus, roses, ornamental palms and ferns perform well under natural conditions. There is potential in the national, regional and European Union markets


Investment opportunities exist in the agro-processing industry to add value, reduce postharvest losses, promote price stability and expand demand for local agricultural produce. For example, with the processing of cocoa beans into cocoa products and fruits into fruit juices among others.


Developing irrigable land through irrigation is another key area. While Ghana has a potential irrigable area of 346,000 hectares, only 10,000 hectares have been developed.


Technological and support services also require investment. Key areas are in the supply and installation of cold chain equipment, packaging and factory building technology.




Horticultural Products










Other Agricultural Products















Game and Wildlife Dairy Products (Raw) Vegetable Saps and Extracts

Cocoa Products




Prepared Foods, Beverages etc



Wood Products



Animal or Vegetable Oils





Prepared Cereals/Tubers



Animal Feed





Dairy Products TOP*8,'( ‡


Oil Seeds and Nuts Fish and Seafood


Sugar and Sugar Confectionery TOTAL

499,866,653 1,075,517,602

The World Bank Reports


In the distribution field, companies are required to provide post-production services in transport, packaging and cold vans.


There are further opportunities in standards, training and certification; capacity building for management and marketoriented enterprises; market intelligence research; and in the development of agricultural finance and insurance.


Investment opportunities exist in the production of agricultural inputs such as fertilisers, pesticides and fungicides.


Technology and services in the agricultural sector, which include irrigation, heavy equipment hiring (i.e. hiring of tractors, ploughs, harrows and combine harvesters, etc) provide investment opportunities.


Investment opportunities also exists in the storage industry. Inadequate and inappropriate storage facilities are constraints to agricultural production thereby contributing to high post-harvest losses and low returns for farmers and processors.

and social sustainability. The required investment framework to implement it is articulated in the Medium Term Agriculture Sector Investment Plan, prepared by the Ministry of Food and Agriculture (MoFA) and which constitutes the national agriculture investment plan under the Comprehensive African Agriculture Development Programme. Broadly speaking, Ghana’s commercial agriculture agenda is defined by elements of the programmes seeking to increase incomes and drive up competitiveness and market integration. Other policies also have a major bearing on outcomes in the agriculture sector. Of particular importance is the Second Private Sector Development Strategy (PSDS II). The PSDS II will aim to increase by 20 percent, in real terms, the income of rural people in general and particularly in the poorer Northern and Central areas through more productive agriculture. The strategy highlights increasing the productivity of agriculture and the efficiency of agricultural value chains by supporting public and private initiatives as a sub-component of one of the five main outputs. Ghana’s new Financial Sector Strategic Plan (FINSSP II) highlights the importance of agricultural lending, relevant financial products such as crop insurance etc, as well as broader financial sector issues that have a less direct but nevertheless important bearing on the development of the sector such as the stock exchange on which agribusinesses may wish to be listed. Finally, insofar as the Government is seeking to partner with private sector in the development of the agricultural sector, the new Policy

Framework on Public-Private Partnerships (PPPs), recently approved by Cabinet, sets out key objectives and the procedures for doing so. In addition, a sustainable development initiative for the Northern Savannah agro-ecological zone has also been developed to address the particular challenges of this lagging region. The strategy proposes a Savannah Accelerated Development Authority (SADA), to coordinate efforts of Ministries, Departments and Agencies (MDAs). The area designated under SADA’s mandate includes the three administrative regions of Northern Region, Upper East and Upper West Regions, as well as contiguous Districts in Brong Ahafo and Volta Region. A development fund has also been established to provide additional investment funds to complement sector ministries’ investment programmes. In summary, the modernising agriculture agenda encapsulates a number of sector policies. Achieving results will require more effective coordination among various parts of Government such as the GIPC, the Lands Commission, the Ministry of Finance and Economic Planning (MoFEP), the Ministry of Trade and Industry (MoTI) and the Ministry of Food and Agriculture (MoFA). Sources: AGRIBUSINESS INDICATORS: Ghana (World Bank Report Number 68163-GH); PROJECT APPRAISAL DOCUMENT ON A PROPOSED CREDIT IN THE AMOUNT OF SDR 64.5 MILLION (US$100 MILLION EQUIVALENT) TO THE REPUBLIC OF GHANA FOR A COMMERCIAL AGRICULTURE PROJECT (World Bank Report No: 66499-GH)



hana’s agriculture sector strategy is organised around six priority themes. These are Food Security and Emergency Preparedness; Increased Growth in Incomes; Increased Competitiveness and Enhanced Integration into Domestic and International Markets; Sustainable Management of Land and Environment; Science and Technology Applied in Food and Agriculture Development; and Improved Institutional Coordination. The policy principles include a pro-poor focus, attention to regional balance and gender inclusion (in an effort to promote greater gender equality) and consideration of environmental

TOP*8,'( ‡


Financial Services

A Liberal And Competitive Arena have the benefit of regulatory oversight. As a “second generation” financial sector reform programme, it is accepted that what the basic institutions required for effective provision of financial services are largely in place. The objective here is to allow them to operate more efficiently. The Banking Act 673 (2004) amended to Banking (Amendment) Act 738, 2007 has made way for the establishment of the International Financial Services Centre (IFSC) by the Government. This is set to increase the competitiveness of the Ghanaian financial sector. Following significant improvements in the financial system, there is no doubt that the sector is now in a better shape to play the effective role of har-

nessing financial resources for sustainable economic growth of the country. Evidence of the efficacy of the country’s commitment and the appropriateness of the regulatory infrastructure can be seen in the number of institutions that are flourishing in the country.

The operating institutions include both foreign and local major banks, Rural and Community Banks (RCBs), Savings and Loans Companies (SLCs) and other finance and leasing companies. The number of institutions existing in the various categories as at the end of February 2011 is as follows: Organisation




Rural and Community Banks


Non-Bank Financial Institutions


Forex Bureaux


Insurance Companies


Re-insurance Companies


Insurance Brokers


GSE Listed Companies


GSE Licensed Stockbrokers



Ghana’s financial service industry is a liberalised sector with free flowing and well regulated competition. There are strong players in Banking and Finance (including Non-Bank Financial Services and Forex Bureaux), Insurance and Financial market/ capital markets with significant local and foreign investment. In 2003, the Government of Ghana demonstrated its commitment to growing the sector when it approved the Financial Sector Strategic Plan (FINSSP) with a view to broadening and deepening the financial sector. Improved governance in the financial markets remains an important focus for the continued reform agenda. Through the implementation of the FINSSP, the Government of Ghana intends to promote the evolution of a financial sector which is appropriate for the needs of a country currently at a middle income status. The vision is one of a financial sector which is responsive to the needs of the 21st century, particularly given the prospect of greater international and regional competition and opportunity for Ghanaian financial market participants. The discovery of oil and the related opportunities in the industry also mean that there will be the need for huge financial transactions and robust financial partnerships. Consistent with the Government’s vision, the project has an underlying theme of establishing an enabling environment supported by effective regulations, with an objective that all savers and investors will


The Market The number of Deposit Money Banks (DMBs) and Non-Bank Financial Institutions (NBFIs) remained unchanged between 2009 and 2010, at 26 and 46 respectively, while Rural and Community Banks (RCBs) increased from 134 to 135. The number of DMBs’ branches increased from 706 in 2009 to 776 in 2010 while the number of agencies of RCBs went up by 38 to 479. In fulfillment of the Bank’s directive on recapitalisation, all but two of the Ghanaianowned banks met the minimum paid-up capital requirement of GH¢25.0 million as at end-December 2010. The two had, however, firmed up plans to meet the requirement.

INVESTMENT OPPORTUNITIES There is a high demand for various financial services in Ghana, as evidenced by the consistent high growth of companies in the sector. The relatively underdeveloped financial services sector in neighbouring countries is an opportunity for financial service firms in Ghana to supply needed services in those countries. Furthermore, the establishment of off-shore banking services provides new opportunities for expanding and diversifying financial services exports.


Credit Reference Bureaux

Investment opportunities also exist for financial institutions to acquire licenses for the operation of credit reference bureaus in the country. The Credit Report Act, which became law in June 2007 (Act 726), is supposed to provide a legal and regulatory framework for credit reporting in Ghana to the banks. The availability of credit information is

Total assets of banks and NBFIs increased by GH¢3,797.3 million in 2009 (24.3%) to GH¢19,405.0 million in 2010. The increase in total assets of the industry reflected mainly in net loans and advances which went up by GH¢1,011.1 million (14.5%). Investment and Cash & Bank balances rose by GH¢1,659.8 million (43.4%) and GH¢893.3 million (26.8%) respectively. The growth in assets was funded mainly by deposits which increased by GH¢3,166.9 million (31.8%). DMBs’ total assets of GH¢17,397.6 million constituted 89.7% of total assets of banks and NBFIs compared to 90.0% in the previous year.

the Borrowers and Lenders Act 773 (2008) the Bank established a collateral registry to register charges and collaterals created by borrowers to secure credit facilities provided by lenders.

Following the enactment of

generally accepted to be crucial for the development and maintenance of an effective financial sector. Borrowers tend to have a natural incentive not to reveal negative information about themselves. The lack of a credit information system therefore increases the risks of lending, and causes financial institutions to provide less credit. A credit reporting system in Ghana would provide timely, accurate, and up-to-date information on the debt profile and repayment history of borrowers.

Discovery of oil

Ghana’s discovery and exploration of oil in commercial quantities estimated at 3 billion barrels has provided enormous opportunities for the banking and financial sector to develop appropriate products to support the industry. Total expected oil revenues are estimated at US $6 million per day by GNPC, or US $2.2 billion per year. Oil revenues accruing to the State are estimated at US $2.3

million per day which would translate to US $836,777,100.00 per annum. Banking services that would be needed include financing for GNPC’s interest, transfers, letters of credit, financing rigs and supply vessels and importing foreign flags rigs. All equipment and facilities of the oil industry would have to be insured. The various downstream activities in the sector also require significant financing. General investment opportunities exist for the following range of companies: t 6OJWFSTBM CBOLT t %FWFMPQNFOU CBOLT t *OTVSBODF DPNQBOJFT t 3FJOTVSBODF DPNQBOJFT t .PSUHBHF GJOBODF JOTUJUVUJPOT t -FBTJOH DPNQBOJFT t 7FOUVSF DBQJUBM DPNQBOJFT t )JSF QVSDIBTF DPNQBOJFT t &YQPSU GJOBODF DPNQBOJFT t *OWFTUNFOU CBOLT t .VUVBM GVOET t *OWFTUNFOU USVTUT t 4BWJOHT BOE MPBOT DPNQBOJFT t 4QFDJBMJ[FE GJOBODF IPVTFT


Tourism Opportunities & Main Attractions

Ghana is endowed with a wide range of natural, cultural and historical attractions, which offer a wide variety of tourism products. Above all, Ghana’s people have a reputation for friendliness which is worth its weight in gold in attracting international tourism.


The Ghana Tourism Authority (GTA) was established by Act 817 as the main Government agency with responsibility for the promotion of sustainable development of the Tourism industry, both locally and internationally.


As the implementing agency of tourism policies, the functions of the Ghana Tourism Authority are expanded to sixteen Act 817 section (3). Summarily the functions of the Authority under the Act are categorised as below: (i) Standard and Regulatory (ii) Supervisory (iii) Coordination (iv) Administration of the Tourism Development Fund (TDF)

(v) Safety and Security for consumers of Ghana’s Tourism Product


The Authority has regional offices in each of the ten regional capitals which carry out its mandate at the regional level. However the Act had made provision for establishment of district offices throughout the country.

The Ghana Tourism Authority (Tourism Act, 2011 Act 817)

t 5IF 5PVSJTN "DU QBTTFE JOUP law on the May 16, 2011. It will serve as the operative law for Tourism administration and regulations in Ghana. Under the Act the Ghana Tourism Authority

has been established from the erstwhile Ghana Tourist Board. The object of the Authority is to promote the sustainable development of the tourism industry internationally and within Ghana. One of the new areas of the Ghana Tourism Authority is the establishment of the Tourism Development Fund (TDF). Sources of the Fund include the 1% tourism levy payable by a patron of a tourism enterprise. The objective is to provide funding for tourism and tourism-related projects and programmes and considerably reduce the financing and development of the sector from the Government budget. The Authority will also focus on the development of tourism to promote pro-poor tourism and sustainable and responsible tourism.


Ghana Tourism Authority



Ghana’s Tourism Attractions Natural Environment Heritage

Relates primarily to the natural environment and ecology eg. national parks and reserves, animal sanctuaries, beaches, lakes, rivers, mountains and waterfalls and generic scenic beauty.

Historic Heritage

Primarily related to the history of the country including both historical events and physical features eg. coastal forts and castles (Cape Coast Castle and St George’s Castle at Elmina have both been recognised as world heritage monument’s by UNESCO), traditional buildings of Ashanti, ancient mosques, archeological sites and events such as panafest.


Cultural Heritage

Related to the cultural patterns of the country, both tra-

ditional and contemporary, eg. festivals, funerals, traditional craft and contemporary arts, music and dance. Not to be forgotten is the well known stilt village of Nzulezo, which sits in the Amansuri Lagoon north of Beyin in the Western Region.

Community Ecotourism and Heritage Sites

Spread over all the regions in Ghana: Wassa Domrama Rock Shrine (Western Region), Bunso Arboretum (Easter Region), Boabeng Fiema Monkey Sanctuary (Brong Ahafo Region), Wli Waterfall and Agumatsa Sanctuary (Volta Region), Wechiau Hippo Sanctuary (Upper West Region), Bobiri Butterfly Sanctuary (Ashanti Region), Paga Crocodile Pond (Upper East Region), Salaga SlaveMarket and Wells (Northern Region), Shai Osudoku (Greater Accra Region) and Kakum National Park (Central Region).

Ghana’s tourism potential is vast. The platform has been put in place for increased tourism and investment in hotels and leisure resorts throughout the length and breadth of the country. Thanks to the tropical climate Ghana enjoys, it is an ideal year-round destination. There are various festivals throughout the year which celebrate the rich cultural traditions of various ethnic groups. The presence of renowned international hotel chains such as Hilton, Holiday Inn and Novotel in Ghana (among others) – with very high occupancy rates throughout the year – is a testimony to the giant strides Ghana has made as a tourism destination of choice.

Areas for Tourism Investment in Ghana Attractions

Most of the attractions (waterfalls, mountains, national parks and beaches) are in the natural environment and are as yet to be developed. Other areas of potential include: z Cruise Boats of various types on the sea, lakes and rivers z Light engined planes or helicopters for tourists to see major sites or parks z Construction of paid washrooms on highways, lorry parks and tourist sites


Visitor facilities in Ghana are all concentrated in urban areas including Accra, Kumasi and Takoradi (the Oil City). Substantial potential is available in the accommodation sector in other regional capitals and their districts, with good tourism opportunities.

International Tourists and Tourism Investors Welcome The Ghana Tourism Authority extends a warm welcome to all visitors and investors. From conducted research, investment in the following areas will accelerate development in the tourism industry: z Convention Centres z Floating Hotels z Restaurants z Beach Resorts z Spa or Sanatoria for Mountain and Beachfront areas z Theme Parks z Eco-lodges z Specialised Health Resorts z Tourist Villages z Tourism Training Institutes z Food Chains

In the potentially lucrative and burgeoning tourism market that Ghana offers, the GTA is ready to partner with local and foreign investors to put Ghana firmly on the tourism radar of the world. Contact us for more information on any of the sectors or areas highlighted. Ghana says Akwaaba. Welcome. GHANA TOURISM AUTHORITY Head Office: Nr. 2, 2nd Avenue, Ridge P.O. Box GP 3106, Accra, Ghana Tel: +233 302 682601 / 8 Fax: +233 302 682510 Email: / Web: /

Legislative Instrument (LI 1817) of 2006

TOP*8,'( ‡

Government policy is geared towards increased tourism. Tourism has been identified as a priority area of promotion. The benefits of tourism include job creation, poverty reduction, revenue generation and huge economic impact on the nation. To achieve these goals, a land banking programme of sites suitable for tourism development has been put in place. The LI 1817 was promulgated in 2006 to facilitate tourism infrastructural development and provide generous and attractive investment benefits, incentives and guarantees for tourism investors. It provides for relief from customs import duties and VAT on a variety of goods. There are also tax holidays of 4-10 years depending on the star rating or location of the tourism investment. Ghana really means business.



Ghana Ltd



ONAPACK Ghana Ltd is a subsidiary of the Rossmann Group, a pioneer in the corrugated cardboard industry since 1922 with a presence in Africa since 1986. SONAPACK began fabricating in Ghana after its incorporation in 2007 and is currently the only corrugated cardboard company in Ghana with a fully functional and equipped Quality Assurance Department. The business grew rapidly: in 2 years SONAPACK outgrew its site and the search of a new “home” resulted in the purchase of a bigger factory and improved machinery. Mr. Bertrand Thierard, in charge of SONAPACK since 2009 has been able to lead the company from humble beginnings to its current position as an industry leader.

Interview with

MAJOR OBJECTIVE To service the needs of even the largest consumers of packaging materials through continued investment and growth underpinned by the Rossmann Group.

MD of Sonapack Ghana Ltd

VISION & MISSION The Group wants to keep its pioneering position in a

Mr. Bertrand THIERARD


Q Tell us what makes you a leader in manufacturing and innovation in the industry in Ghana. A Being part of the Rossmann Group ensures that we have access to the latest technologies and methodologies related to our industry. Furthermore, we have recruited a team of wellexperienced Managers who bring a host of experience to our business. This winning combination gives us a leading edge in the industry.

Q What are the major challenges you are facing at the moment? A Across the world economic conditions are currently difficult and the depreciation of the cedi has been challenging. The fluctuating supply of electricity and water also interrupts our operations but we try to work around them as best we can.

highly competitive market with passion, innovation and determination. “Our vision is about anticipation. Anticipating is about imagining today what packaging will be tomorrow” (Bernard Rossmann – Chairman, Rossmann Group). STAFF Around 160

Q SONAPACK is a leading player in the cardboard industry in Ghana; do you think there’s space for more investors to come? A Of course there is room for more investors here in Ghana. Things have changed dramatically in the past few years and despite the challenges mentioned above we believe that we have a rosy future in Ghana. Q We feature successful companies and profile successful entrepreneurs: what is the secret to your success? A The secret to our success is largely thanks to having our parent company, the Rossmann Group behind us. Having been in the industry for some 90 years, there is little that they haven’t experienced before and this puts us in an incredibly strong position.



KWATSONS The (GH) LTD. Lebanese Community The Journey so far… KWATONS (GH) LTD. is a pioneer and leader In Ghana in import and distribution of premium Mr. Ahmad H. Soueidan


The Lebanese presence in together. The Lebanese particiGhana dates back to 1884; pated in the economic developthis is what the records ment of Ghana and are part of say. They came to this country its society too. Many of them on their way to Latin America even consider themselves to be where we have a big populamore Ghanaian than Lebanese”. tion. For one reason or another, those people were dropped on Although the presence of the the coast here. For some time Lebanese Community in Ghana some of them thought they were in Latin America but then they discovered they “Our long presence in were actually in Africa. This is how it started; and they Ghana has made us continued living in this counpart of its history” says try. They worked hard and managed to have some sucMr. Ahmad H. Soueidan, cesses in business” says Mr. Ahmad H. Soueidan, Charge Charge d’Affaires at the d’Affaires of the Lebanese Embassy in Ghana. “They Lebanese Embassy in married and raised children here. Other Lebanese Ghana. people joined them later. The records show that the first Lebanese to come to Ghana goes as far back as a century was Melhem Shbib, in 1884; but ago, it is their contribution to many others came after five or Ghana’s economic structure in six years, and they are amongst recent times that is most the oldest families, such as the celebrated and for which the Kalmoni Family, Azar, Ashkar, Fat- Lebanese are increasingly tal, the Fakhrys, the Dakmak and becoming known. They are Laba Captain; just to mention indeed major players in driving a few”. the development of the Ghanaian economy through their “Ghanaians and Lebanese startinvolvement and investment ed their relations long before in major areas such as the car the modern states of Lebanon industry and the hospitality, real and Ghana came into being,” estate and commercial sectors, continues Mr. Soueidan. “It is a in which they have generated very close relationship dating vital employment for many back more than 100 years. It Ghanaians. is a relationship between the peoples themselves; they were In this section we present some living together, marrying from of the Lebanese key players in each side, and enjoying success the Ghanaian economy.

brands of food, beverages, personal care, toiletries and more... KGL started its operations in 1985, with the vision to enhance the lifestyle of people of Ghana. Today KGL is a leading name in FMCG distribution as it supplies to all major superstores, prestigious hotels and restaurants. KGL has a nationwide presence with distribution centres at Accra, Kumasi and Takoradi. The market share of the company is high and its presence is apparent as we are sole/chief distributors of many prestigious brands from different parts of the world. The distribution strength of the company is a benchmark for the country. We cater to the entire urban and semi-urban market. Over the years KGL has gained an influential position in the food and beverage business of Ghana.

Our Assets Overall the group has a workforce of 900+ employees, out of which 350+ employees are solely dedicated to strengthening and growing the distribution network of several internationally popular brands. The sales department has more than 65 field employees, and is supported by a large warehousing team, as well as an administration and accounts team. Adding to its strength, KGL has an in-house Clearing department. The Marketing department is always on the move to explore new markets and meet new challenges. KGL has a fleet of 55 delivery vehicles with refrigerated vans for transporting frozen products. The company has a sound infrastructure, latest equipment and warehousing facilities including cold-rooms conforming to international storage standards.

Other Group Companies Max Mart Family Shopping Centre: Driven by the ambition to provide internationally acclaimed products and good service at affordable prices, in 2001 Kwatsons group opened its first retail outlet, called Max


Max Mart Bakery supplies a variety of mouth watering, delicious, freshly baked products, enjoyed by all! Paris II: Paris II… a synonym for style and panache! The destination for a variety of exquisite and latest perfumes from France, Italy and the US, designer watches and accessories. The company is a certified retailer for the highly esteemed Tag Heuer and Raymond Weil watches. It is committed to an international level of after-sales service in Ghana. Paris II also showcases

THE JAPAN MOTORS GROUP OF COMPANIES 100 YEARS IN GHANA The Kalmoni Family, one of the oldest Lebanese families in Ghana, celebrated its centenary anniversary of business operations in the country in 2012. In 1912, prior to the First World War, the grandfather of the current MD at Japan Motors, Mr. Salem Kalmoni, came to Ghana and started some small trading activities. After that he went into truck-boards, and in 1958 he imported the first Japanese car, called at that time Datsun, whose name was later changed into the world-famous Nissan. The company, called Kalmoni & Sons, was named Japan Motors in 1965. Today it has 5 branches across Ghana and employs 330 people.

accessories from Mont Blanc, ST. Dupont, Misaki and Cross. It also offers handbags from Lancel. Kwatsons Electricals Ltd: Kwatsons Electricals Ltd. is another group company incorporated in 1991. This company deals in import and distribution of electrical goods and home appliances for prestigious brands like Kenwood, Sony, Indesit, Panasonic, etc. It has a large showroom for retail customers and is a trusted name for quality and service. Kwatsons Computers Ltd: The company imports, distributes and retails computer hardware and peripherals of reputed international makes such as HP, Dell, Compaq and Sony.

Corporate Social Responsibility

scholarships for employees’ children, etc. Kwatsons also donates to orphanages and hospitals. The group demonstrates a genuine concern for the environment through Max Mart’s association with Ghana’s e-Tree programme (attempting to reduce the use of paper), which makes valuable contribution to preserve the country’s plants and wildlife. Max Mart also promotes organic products by launching a drive called “Max Mart going Green”. This campaign is aimed to express respect for the environment and people within, the food items are totally organic, i.e. ecologically and ethically responsible, healthy products for all family members! Kwatsons (Gh) Ltd. is committed to work for progress and a brighter future. For more information please visit

The company runs welfare schemes such as a clinic for staff members,

The family operates today with several companies, not only in the automotive sector but also in real estate and office automation products. Mr. Salem Kalmoni and his cousin Mr. Nouhad Kalmoni are working in the car industry, leading Japan Motors and Silver Star Auto, whereas the other Kalmoni brother, Mr. Salah, is in charge of the real estate companies and Advance Constructions, Lakeside Estates and Silver Star Tower. Their brilliant vision brought them to be the first company in Accra to build an office tower in the Airport City to be rented out. The project was extremely successful and gave a start to many similar projects in the same area. Silver Star Tower has earned a top place in business circles as the best Office Complex in Accra. The tower’s aesthetic and elegant ten-storey structure has made it a prominent landmark on the Accra skyline. Silver Star Tower is also

a business enterprise seeking to promote trade and development in Ghana. When we asked Mr. Salem Kalmoni why he chose to stay in Ghana, he said it was certainly not just because he was born here in Accra in 1966. Indeed his family went to Canada in 1980 and ten years later, after completing university, he decided to take the challenge to come back and to be a very young MD! “I saw a very good opportunity in terms of market growth, and my forecast was confirmed year after year”, he said. “Ghana is a stable country when it comes to politics and attracts a lot of attention, at the moment especially for the oil sector. It is the place to be and it will keep on growing even faster than in the past”.


Mart. Currently Max Mart is the most reputed chain of supermarkets in Ghana. It includes a chain of 4 family shopping centres, situated in very prestigious locations of Accra and Tema. These superstores are a shopper’s paradise, offering an opportunity to buy everything you need under one roof. They have departments such as Supermarket, Home Appliances, Home Décor, Bakery, Perfumes, Glassware, Gift items, Toys, Coffee-shop, etc.

TOP*8,'( ‡



Dream Realty Mansell Ghana Ltd. Mansell Ghana Ltd., with a workforce of 45, is a major importer and wholesaler of rice, sugar and general merchandise. It services some of the largest companies in Ghana, such as Nestle Ghana Limited, Kasapreko Company, Unilever Ghana, and Cocoa Processing Co. Ltd. Mansell is headed by Mr. Rami El-Ashkar as Managing Director, and has three other affiliate companies – Top Transport & Logistics Ltd. (founded in 2007 to take up Mansell’s hauling activities), Ashkar Properties Ltd. and Digital Document Services Ltd, all based in Accra.


Today, Ashkar Properties owns several warehouses and a number of housing estates in Accra and Tema, which are rented out to banks and large corporate bodies.

The company is now building three blocks of five-storey office complexes in the heart of Tema. Phase one of the project, made up of the first block, has already been completed and the office space has been rented out. Phase two of the project has also started and will hopefully be completed by the end of this year.

“So far I am very happy with choosing Ghana”: Karim Ibrahim, the Managing Director of Dream Realty – one of the largest Lebaneseowned businesses in Ghana, talks about his choice of doing business in Ghana. Q How and why did you come to do business in Ghana? A “We are one of the biggest developers in Beirut, Lebanon, mainly with properties on the seafront of Beirut. I joined the family business in 2004 and at the end of 2006, we had a major war in Lebanon so we took the decision to find some good investment outside the country while keeping all the projects ongoing in Beirut. Looking for outside opportunities, I went everywhere. I went to the US, Romania, Qatar, Dubai, Bahrain, and Saudi Arabia. My two options were Jedda in Saudi Arabia and Bucharest in Romania. Then I met Hayssam Fakhry, our present partner, in Lebanon. He is a Ghanaian and asked me to come and see the situation in Ghana. That was at the end of 2006 or probably the beginning of 2007. Until then I had never thought of Ghana. So I came on his recommendation. Because of my real estate background and my studies (I did a Masters in Urban Economic Development of Capital Cities in Boston), I saw the potential in Ghana. Companies were coming in, and airlines were increasing so fast. There was even a political side to it: the US and China were planting themselves in Ghana. So we decided to cancel the two other options and concentrate on Ghana. We acquired three major plots in Accra in 2007, some time before the announcement of the oil find in Ghana – so the reason wasn’t because of the oil. We acquired these plots in Accra because, even in Beirut, we like to concentrate and work in the

Mr. Karim Ibrahim

capital but not outside. To find good locations, undeveloped locations of course, that is our major aim. And this is where Dream Realty was established, which is half-owned by my family business in Beirut, Jamil Ibrahim Estates, the other half being owned by the Fakhry Family (who also own the Interplast factory in Ghana).“ Q What would you like the readers to know about Dream Realty? A We are really trying to make a better product available in Accra. We have started with a small restaurant at the Polo Club. What we did is, we elevated the standard of restaurants in the city. At the same time we kept the same deal as to be found at any other restaurant; but we’ve proved that we can do it better, why not? There is still the mentality of some people who think that this is Africa and you don’t have to do very nice buildings, or why invest so much in decorations? But things are changing. Maybe 20 years ago living here was difficult; but today, it is no longer so. You always have risks involved in doing something in emerging countries and in dealing with a country like Ghana, but so far I am very happy with my choice”. For more information about Dream Realty and their projects see the Real Estate Section, page 40.



Useful Contacts Suggested Hotels

LABADI BEACH HOTEL La, Accra Direct Reservation Number: +233 302 773026

MOEVENPICK AMBASSADOR Accra Central Tel: +233 302 611000

ALISA HOTELS Ridge, Accra Tel: +233 302 214233, 214244

THE AFRICAN REGENT Airport West, Accra Tel: +233 302 765180-2

LA VILLA BOUTIQUE HOTEL Osu, Accra Tel: +233 302 730333-6

VILLA MONTICELLO (Boutique Hotel) Airport, Accra Tel: +233 302 773477

Main Hospitals & Medical Centres

HOLIDAY INN Airport, Accra Tel: +233 302 740930, 785212

BEST WESTERN HOTEL Airport, Accra Tel: +233 302 766902, 766905

AKAI HOUSE CLINIC Tel: +233 302 784772, 784773, Fax: +233 302 784775 NYAHO CLINIC Tel: +233 302 775341, 775291, 784505 Fax: +233 302 777593

TOP*8,'( ‡

LISTER HOSPITAL Tel: +233 302 812325/6

MEDLAB GHANA Tel: +233 302 776844, 773994 GOLDEN TULIP Airport, Accra Tel: +233 302 313161

FIESTA ROYALE North Dzorwulu, Accra Tel: +233 302 740811


KORLE BU TEACHING HOSPITAL Tel: +233 302 665401, 673033

Embassies AUSTRIA Tel: +233 302 783368, 24 6256806 Fax: +233 302 763236 AUSTRALIA Tel: +233 302 216400 Fax: +233 302 216410 BELGIUM Tel: +233 302 776561 Fax: +233 302 764384 CANADA Tel: +233 302 211521 Fax: +233 302 211523, 773792, 211524 CHINA Tel: +233 302 777073 Fax: +233 302 774527 DENMARK Tel: +233 302 253473 Fax: +233 302 228061 FRANCE Tel: +233 302 214566 Fax: +233 302 214559 consulat.accra-amba@diplomatie. GERMANY Tel: +233 302 211000 Fax: +233 302 221347

INDIA Tel: +233 302 775601 Fax: +233 302 772176

UNITED KINGDOM Tel: +233 302 221665 Fax: +233 302 7010655

ITALY Tel: +233 302 775621 Fax: +233 302 777301

UNITED STATES AMERICA Tel: +233 302 741000 Fax: +233 302 741389, 0302 741362

JAPAN Tel: +233 302 765060 Fax: +233 302 762553 LEBANON Tel: +233 302 776727 Fax: +233 302 764290 NETHERLANDS Tel: +233 302 773644, 214356 NORWAY Tel: +233 30 2744300 RUSSIA Tel: +233 30 2775611 Fax: +233 302 772699 SAUDI ARABIA Tel: +233 302 774311 Fax: +233 302 773424 SOUTH AFRICA Tel: +233 302 740450 Fax: +233 302 762381, 764484 SPAIN Tel: +233 302 774004 Fax: +233 302 776217 SWITZERLAND Tel: +233 302 228125 Fax: +233 302 223583 TURKEY Tel: +233 302 771700 Fax: +233 302 771628

Ministries OFFICE OF THE PRESIDENT P.O. Box 1627, Osu, Accra Tel: +233 302 665415, 666281, MINISTRY OF INFORMATION P.O. Box M41, Accra Tel: +233 302 228054, 228011 MINISTRY OF COMMUNICATIONS P.O. Box M42, Accra Tel: +233 302 685625, 664751 Fax: +233 302 667114 MINISTRY OF DEFENCE Burma Camp, Accra Tel: +233 302 774727 Fax: +233 302 778549 MINISTRY OF EDUCATION P. O. Box M45, Accra Tel: +233 302 662772 Fax: +233 302 664067 MINISTRY OF EMPLOYMENT AND SOCIAL WELFARE P.O. Box 1627, State House, Accra Tel: +233 302 684532 Fax: +233 302 663615 MINISTRY OF FINANCE 28th February Road P. O. Box M40, Accra Tel: +233 302 665 132


37 MILITARY HOSPITAL Tel: +233 302 777595, 781802, 767691


MINISTRY OF FOOD AND AGRICULTURE P. O. Box M37, Accra Tel: +233 302 687223, 687203 MINISTRY OF FOREIGN AFFAIRS P. O Box M53, Accra Tel: +233 302 664952, 201000, 201001 Fax: +233 302 665363 MINISTRY OF HEALTH P.O. Box M44, Accra Tel: +233 302 684243, 663810 Fax: +233 302 666366 MINISTRY OF INTERIOR P. O. Box M42, Accra Tel: +233 302 662688 664408, 684405 Fax: +233 302 667450, 684408 MINISTRY OF JUSTICE P. O. Box M60, Accra Tel: +233 302 665051, 682530 Fax: +233 302 667609 MINISTRY OF LANDS AND FORESTRY P. O. Box M 212, Accra Tel: +233 302 672336 Fax: +233 302 666801 MINISTRY OF LOCAL GOVERNMENT AND RURAL DEVELOPMENT P. O. Box M50, Accra Tel: +233 302 682018 Fax: +233 302 682003


MINISTRY OF ROADS AND TRANSPORT P. O. Box M 57, Accra Tel: +233 302 668314/5 Fax: +233 302 688759, 668340

MINISTRY OF TOURISM P. O. Box 4386, Accra Tel: +233 302 679314 Fax: +233 302 666182

MINISTRY OF TRADE AND INDUSTRY P. O. Box M47, Accra Tel: +233 302 686563 Fax: +233 302 662428 MINISTRY OF WATER RESOURCES, WORKS & HOUSING P. O. Box M43, Accra Tel: +233 302 665940 Fax: +233 302 685503

Promotion Agencies GHANA EXPORT PROMOTION AUTHORITY P. O. Box M146, Accra Tel: +233 302 689889, 683153 Fax: +233 302 677256 GHANA FREE ZONES BOARD P. O. Box M626, Accra Tel: +233 302 780535, 785037, 24 2174534 Fax: +233 302 780536, 780537 GHANA INVESTMENT PROMOTION CENTRE P. O. Box M193, Accra Tel: +233 302 665125, 665126, 665127, 665128, 665129 Fax: +233 302 663801, 663655 GHANA NATIONAL PETROLEUM CORPORATION PMB, Petroleum House,Tema Tel: +233 303 206020, 204654 Fax: +233 303 206592, 202854 MINERALS COMMISSION P. O. Box M 248, Accra Tel: +233 302 771318, 773053, 772783 Fax: +233 302 773324

GHANA TOURISM AUTHORITY P. O. Box GP 4386, Accra Tel: +233 302 222153, 244794, 244795, 767323 Fax: +233 302 244611

Facilitation Agencies BANK OF GHANA P. O. Box GP 2674, Accra, Tel: +233 302 666174 – 6 GHANA STOCK EXCHANGE P.O. Box 1849, Accra Tel: +233 302 669908, 669935, 669914, 664715 Fax: +233 302 669913 CUSTOMS, EXCISE & PREVENTIVE SERVICE Tel: +233 302 666841-2 Fax: +233 302 668263 GHANA IMMIGRATION SERVICE Independence Avenue, Accra Tel: +233 302 224445, 258250, 13401 Fax: +233 302 258249 GHANA REVENUE AUTHORITY PMB, TUC Post Office, Accra Tel: +233 302 675701-10, 686106, 684363 Fax: +233 302 681163 REGISTRAR GENERAL’S DEPARTMENT P. O. Box 118, Accra Tel: +233 302 664691-93 Fax: +233 302 662043 GHANA CIVIL AVIATION AUTHORITY PMB, Kotoka International Airport Accra Tel: +233 302 776171 Fax: +233 302 773293


GHANA PORTS & HARBOUR AUTHORITY P. O. Box 488, Tema Tel: +233 303 219120

Airports and Airlines

LUFTHANSA Tel: +233 302 243893, 243894, 243895 Fax: +233 302 243897

Some Touristic Spots

AXIM Western Region

KOTOKA INTERNATIONAL AIRPORT Accra: +233 302 776617, 776171 V.I.P. Lounge: +233 302 776684 Kumasi: +233 3220 22969 Tamale: +233 3720 22108 ALITALIA Tel: +233 302 783319, 775865, 783318 AMERICAN AIRLINES Tel: +233 302 688804, 688805, 688806, 688808 ANTRAK AIR Tel: +233 302 782814/17 Fax: +233 302 782816 BRITISH AIRWAYS Tel: +233 302 214996, 214970 EMIRATES AIRLINES Tel: +233 302 213131, Fax: +233 30 2213158

ADA Greater Accra Region




WLI FALLS Volta Region

CAPE COAST Central Region

TOP*8,'( ‡

ETHIOPIAN AIRLINES Tel: +233 302 664857, 664856, 664858 Fax: +233 302 673968

K.L.M. ROYAL DUTCH Tel: +233 302 214700, 214747 Fax: +233 302 241574 KENYA AIRWAYS Tel: +233 302 215300, 785013, 241560, 26 1984854


Issuu converts static files into: digital portfolios, online yearbooks, online catalogs, digital photo albums and more. Sign up and create your flipbook.