Ghana elevated to most-favoured nation status

.. As, Botswana, Ghana Sign Trade Treaty

Gaborone -- Botswana and Ghana recently signed a 10-year trade agreement on intergovernmental cooperation in Foreign Direct Investment (FDI). The Permanent Secretary at the Ministry of Trade and Industry, Banny Molosiwa, says the Bilateral Investment Treaty (BIT) focuses on investment protection in the wider context of policies that favour and promote FDI.

The treaty protects contracting parties against expropriation, provides for dispute settlement mechanisms and guarantees free transfer of funds between the two countries.

It elevates Ghana to most-favoured nation status and extends a special Ghanaian national treatment to investors from the West African country that celebrated 50 years of independence last March. Molosiwa says Ghanaian investors will be accorded treatment equal to that enjoyed by investors from other countries in Botswana.

They will also enjoy national treatment, which means that with limited exceptions, Ghanaian investors will enjoy treatment equal to that accorded to domestic investors.

"Botswana investors will also be entitled to similar treatment in the Republic of Ghana," she says. "This treaty will remain in force for a period of 10 years and shall continue in force thereafter until (one) contracting party notifies the other contracting party in writing of its decision to terminate the treaty."

The Assistant Minister of Trade and Industry, Lebonaamang Mokalake, signed on behalf of Botswana while Nana Akufo-Ado, Ghana's Minister of Foreign Affairs, represented his country. Botswana hosted a Botswana-Ghana Expo to strengthen trade links between the two countries in 2005.