INVESTMENT PROCEEDURES

Establishment of Investment Projects Under the Ghana Investment Promotion Centre Act, 1994 (Act 478), investment in all sectors of the economy, other than mining, petroleum, free-zones and portfolio investments, can be established without prior approval by GIPC. Mining and petroleum sector projects have to be approved or licensed by the Minerals Commission and the Ministry of Mines and Energy, respectively. Free-Zone operations are administered by Ghana Free Zones Board while portfolio investments are handled by the Ghana Stock Exchange.

Registration with Registrar General's Department Foreign investors intending to invest in Ghana are by law to register with the Ghana Investment Promotion Centre (GIPC) under the GIPC ACT 478.

The registration will be conclude only when the legal minimum equity contribution has been met.

To satisfy the minimum equity requirement, the investor must follow the following steps:

- Minimum Equity Contribution

STEP 1

Bank Account By Bank Transfer

Incorporate a company at the Registrar General's Department. The department has five (5) working days to complete

formalities if all documents are in order.

STEP 2

By Physical Cash

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

- Open a bank account in the name of the company.

- Effect a Bank to Bank transfer of minimum equity requirement. This transaction should be confirmed to the Bank of Ghana by the investor's local authorise dealer bank. Bank of Ghana in turn, confirms this transaction to GIPC for the company's registration purposes.

- Physical cash carried into Ghana by individuals for investment 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 Dealer Bank and the Bank of Ghana as in (b) above.

- 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 CEPS. Essential plant, machinery and equipment which fall under Section 24 of the GIPC ACT 478 should be cleared with the GIPC.

- 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:-

- Bill of lading /Airway bill (original)

- Destination ( Ghana ) Inspection Certificate

- Customs Bill of Entry (original)

- Import Declaration Form (IDF)

- Certified/Final Invoices

- Evidence of Capitalisation - Form 6 from the Registrar General's Department

- Importation of Plant, Machinery and Equipment

STEP 3

Registration with Ghana Investment Promotion Centre

The investor then registers with the GIPC which has five (5) statutory working days to complete the registration process, provided the registration forms are in order.

STEP 4

Wholly Ghanaian-owned Enterprises

Wholly Ghanaian-owned enterprises do not need to register with GIPC since the minimum foreign capital requirement does not apply to such enterprises.

STEP 5

Immigrant Quota

All wholly Ghanaian-owned enterprises and enterprises 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.

STEP 6

Registration with Internal Revenue Service and Value Added Tax Secretariat

All enterprises must register directly with the Internal Revenue Service and the Value Added Tax (VAT) Secretariat for purposes of statutory tax e.g. taxes, rebates, and exemptions thereof.

STEP 7

Registration with Internal Revenue Service and Value Added Tax Secretariat

All enterprises must register directly with the Internal Revenue Service and the Value Added Tax (VAT) Secretariat for purposes of statutory tax e.g. taxes, rebates, and exemptions thereof.

For all of the above GIPC may assist as the need arises, either directly or through referral to accredited arrangements, accounting or legal firms.

For all enquiries contact:

The Chief Executive

Ghana Investment Promotion Centre

P.O. Box M.193

Accra , Ghana

Tel: 233-21-665125-9

Fax: 233-21-663801

E-mail: gipc@ghana.com

Website: http://www.gipcghana.com/