The Ghana Investment Promotion Centre (GIPC) has announced 49 newly registered projects in the first quarter of 2017 with an estimated total value of over US$3 billion.
Of the 49 newly registered projects, 43 are wholly-foreign owned enterprises, with six being joint ventures between Ghanaians and foreign investors. The six joint-ventures account for 82.25% – or US$2,500.56 million – of the total estimated value while the remaining 43 wholly-foreign owned projects account for only 17.75% – or US$539.56 million – of the total value.
These 49 new projects will be funded by US$2.95 billion in Foreign Direct Investment (FDI). GIPC suggests that much of this foreign investment is a result of boosted investor confidence and increased potential investor visits.
Most of the FDI during the quarter came from the Netherlands – with a total estimated investment value of US$2,434.4 million, followed distantly by India with a total estimated investment value of US$402.14 million. China funded the most projects – 10 – but their estimated total investment was just US$27.04 million.
The increased foreign investment coupled with local businesses feeling more capable of entering partnerships with foreign counterparts has helped propel GIPC toward their objective – to encourage, promote and facilitate investment in Ghana – in their mission statement.
“Some of these policies and programs such as the “One District One Factory”, the “Planting for Food and Jobs”, “Accra Marine Drive” project and improved tax system in the 2017 Budget Statement have boosted investor confidence, leading to the influx of visits by potential investors in the 1st quarter,” GIPC said in their quarterly report.
Some of the notable projects this quarter include Early Power Limited and AFCONS Infrastructure Limited. Early Power Limited intends to develop, construct and operate facilities to sell power to the Electric Company of Ghana and has an estimated project value of US$2,497.01 million.
AFCONS Infrastructure Limited plans to construct railway track, including the construction of embankments and bridges and has an estimated project value of US$398 million.
In total, the 49 projects registered are expected to create 2,551 new jobs, with 2,208 of these expected for Ghanaians and the remaining 343 for expatriates.
By Austin Hicks