Ghana attracts 1.3 billion dollars investment in four years

Accra(Greater Accra) 26 March ?99

Between September 1994 and December 1998, the Ghana Investment Promotion Centre (GIPC) registered 780 investment projects valued at 1.3 billion dollars (318.5 billion cedis).

Out of the figure, 246 projects, estimated at 260.4 million dollars, were wholly foreign-owned, and 534 projects, costing one billion dollars, were joint ventureships between Ghanaians and foreign partners.

Mr Cletus Kosiba, Deputy Director of the GIPC, disclosed this at the launching of seven ranges of "Safe Solutions", disinfectant products, introduced by Pointer Limited, in Accra on Thursday. The products are design to prevent bacteria, fungi and virus infections on the human body. Mr Kosiba noted that since the inception of the GIPC and the privatisation policy of the government about four-and-a-half years ago, there has been a steady growth in foreign and joint venture investment.

The total investment of 1.3 billion dollars chalked so far "was made up of 997.04 million dollars of foreign direct investment and 269.7 million dollars in local investment" , he said. Mr Kosiba said initial foreign capital transfers within the period amounted to 113.57 million dollars, as against the expected transfers of 25.75 million dollars. "These investments were expected to generate a total employment of 45,300 Ghanaians and 2,800 foreigners, mainly in the manufacturing (16,178), agriculture (8,982), building and construction (7,278) and services (7,633) sectors of the country." Mr Kosiba said in 1998 alone, the centre registered 187 projects in various sectors, estimated at 177,44 million dollars. This comprised foreign capital of 164.82 dollars and 12.61 million dollars of local contribution. It generated 12,240 jobs. He noted that the records show the success in the government's privatisation policy initiative, saying that GIPC would persevere in its effort to sustain Ghana's image as a competitive location for private direct investment.

"We will step up our efforts and sharpen strategies to develop and expand the domestic capacity to absorb foreign direct investment in order to guarantee meaningful co-operation between domestic and foreign investors." He called on businesses in the country to collaborate with the GIPC and play a more proactive role in efforts at marketing Ghana as the gateway to West Africa. Mr Kosiba noted that the example of Pointer Limited in the joint venture investment is indicative of the fact that the GIPC is on the path to achieving its goals outlined in Vision 2020. Mr David Anthony, the manufacturer, said the products are environmentally friendly and cost-effective, and are designed for preventive rather than curative purposes. Mr Herman Seshie, Managing Director of Pointer Limited, said a manufacturing plant for the "Safe Solutions" range of products would soon be established in Ghana.