Ghana's 1992 Constitution, which is the basic framework for the governance of the country, offers guarantees for protection to investors and their investments. Chapter five of the Constitution embodies the relevant protection mechanisms.
How safe will my investment in Ghana be?
Will my company be allowed to transfer profits, dividends and capital upon liquidation?
Companies are guaranteed:
- Unconditional transferability of dividends and net profits after tax to their home countries
- Transferability of payments for loan servicing in the case of foreign loans and royalties and other fees in respect of technology transfer transactions e.g. licenses technical assistance and management contracts
- the remittances of proceeds in the event of sale and liquidation of investment assets in the currency in which the investment was originally made to their home countries so far as they meet their tax obligations.
What guarantees do you have under the laws of Ghana for protecting my investment?
What is your government's track record in expropriation?
The GIPC Act offers guarantees against expropriation. Similar to the provisions in the Constitution, expropriation is allowed only in the national interest and must be accompanied by fair and adequate compensation. The aggrieved party or the investor is given the right of access to the High Court for the determination of the fair value of the investment and the amount of compensation payable.
Does your government accord national and most favoured nation treatment in any bilateral regimes between Ghana and my country?
Ghana offers commitments at the bilateral level to protect investors and their investments. Under these bilateral regimes, government gives the right to the investor to take government to arbitration in any of the selected and pre-agreed dispute settlement fora.Further protection under the BITs include: national treatment, which is by reference to treatment similar to that accorded to nationals of the host country; most favoured nation treatment, which is by reference to the standard of treatment not less favourable than that accorded to nationals and investments of third countries in similar circumstances; and treatment which is fair and equitable which is derived from basic principles of international law and a common shared sense of justice.