Ghana aspires to industrialize, modernize its agriculture, and provide economic opportunities for its growing population. One of the key constraints to this vision is the inconsistent and expensive supply of electric power, and the energy sector’s significant financial deficit.
- Access to financing remains a significant challenge for local companies. Commercial bank rates average 32 percent. Government debt remains high, at 88 percent of GDP (end of 2022), and domestic revenue mobilization remains a challenge.
- Exporters to Ghana without attractive financing options will find themselves at a disadvantage.
- U.S. companies can also expect significant competition from companies from China, India, EU Member States, the United Kingdom, Korea, Israel, Turkey South Africa, and elsewhere. Because of historical connections to Europe and geographic proximity, European companies benefit from well-established business connections in Ghana and receive tariff preferences under bilateral trade agreements. However, U.S. firms compete effectively across key sectors.
- Ghanaian buyers are price sensitive and thus, while U.S. products and services are perceived as high quality, durable and state-of-the art, cheaper (often Chinese) products are sometimes purchased for cost reasons. Although new U.S. equipment is bought by Ghanaian companies, re-conditioned U.S. goods (e.g., vehicles and equipment) have been successful in the Ghanaian market.
- If a buyer asks you to advance money to pay for miscellaneous fees (taxes, registration, bank fees, attorney fees, etc.) related to an export transaction, this is a scam. If you have already lost funds or feel you may currently be involved in a scheme, please contact your local Secret Service field office and file a complaint with the FBI’s Internet Crime Complaint Center (IC3).
- Recipients of unsolicited offers to participate in government procurement opportunities in Ghana should proceed with caution. Any offers that require upfront payments of advanced fees should be viewed with caution. Fraudulent procurement tenders using the name of the Economic Community of West Africa States (ECOWAS) are particularly common. U.S. companies that receive unsolicited tenders or are told that they have won a bid without participating in a tender should contact the U.S. Commercial Service Ghana for assistance in determining whether a tender is legitimate.
African Continental Free Trade Area (AfCFTA): Ghana is host to the Secretariat of the AfCFTA, which came into force on January 1, 2021, and is designed to facilitate intra-African trade and investment and grow regional value chains. The Government of Ghana and some in the private sector see the location of the Secretariat in Accra as an opportunity for Ghana to become the commercial hub of West Africa and beyond. As a result, many companies are eyeing Ghana not only as a vibrant market itself, but also as a springboard for Pan African market entry and expansion.
Contact: Commercial Service Ghana at Office.Accra@trade.gov can assist companies to understand developments related to the AfCFTA, including the status of negotiations and implementation, as well as the commercial opportunities created by this regional integration effort.