Ghana has become one of the top investment destinations in West Africa, offering political stability, economic growth, and a welcoming business climate. That said, Ghana presents a range of viable and profitable opportunities for foreign entrepreneurs looking to enter the African market. But what kind of business can a foreigner legally and successfully start in Ghana? Read on to find out more.
Understanding Ghana's business environment
According to the World Bank, Ghana ranks among the top-performing economies in Sub-Saharan Africa, with a projected GDP growth of 4.7% in 2024. Moreover, the country boasts open-market policies, investor-friendly regulations, and membership in ECOWAS, which promotes easier access to regional markets.
Additionally, the Ghana Investment Promotion Centre (GIPC) Act 865 governs foreign investments and provides incentives such as tax holidays and repatriation of profits. These factors make the country a business attraction for many business-oriented foreigners. With that in mind, let's explore the businesses foreigners can start here.
Agribusiness and agro-processing
According to the Ghana Statistical Service (2024), agriculture contributes over 20% to the country's GDP. making it the backbone of Ghana's economy. That said, foreign investors can consider the following businesses in this sector:
- Commercial farming (e.g., maize, cassava, or rice production)
- Export-oriented agribusiness (e.g., cocoa, cashew, shea butter)
- Agro-processing industries that add value to raw farm products
Fortunately, agri-business is scalable and export-oriented. Especially with government support under programs like Planting for Food and Jobs.
Tourism and hospitality
Ghana's tourism industry is rebounding post-COVID, with popular destinations like Cape Coast, Mole National Park, and Accra's cultural scene. As a foreigner, you can consider business opportunities in this area, including:
- Boutique hotels and guesthouses.
- Tour operations and eco-travel experiences.
- Cultural events and festival planning.
Real estate and construction
Ghana's urban population continues to grow, especially in Accra, Kumasi, and Takoradi. This, in turn, increases the demand for residential housing, office complexes, and retail centers. Therefore, foreign investors can explore:
- Affordable housing developments
- Luxury apartments targeting expats and high-income Ghanaians
- Commercial real estate such as shopping malls and office parks
The government's "National Housing and Mortgage Fund" also opens up partnership opportunities for international developers, so keep this in mind.
Renewable energy and solar power
Energy access is a national priority, and the government is keen on expanding renewable energy capacity. As of 2024, only about 15% of electricity comes from renewable sources, creating a huge market gap. Foreign entrepreneurs can invest in:
- Off-grid solar solutions for rural communities
- Solar panel importation and installation services
- Biomass and wind energy projects
It's worth noting that the Renewable Energy Act (2011) and subsequent policies offer fiscal incentives and import duty exemptions for green energy solutions.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
