Ghana has vast opportunity for the development of Information and Communication Technology (ICT). The potential investor within the sub-sector has the following aspects of ICT readily available for consideration: Provision of International Internet Protocol, (IP) based network/internet technology, Content development and services, Multimedia publishing, Computer software and packages production, etc.
Advantages of the Sector in Ghana
Ghana has potential for the development of Information and Communication Technology (ICT). Currently, there are various institutions training the youth in ICT. A steady pool of these professionals are, therefore, being established to feed any facility located in Ghana in any aspect of the ICT sector. Local professionals earn about US$500 a month against US$4000 in Northern Ireland and India. Again, the floor space cost composition is lower in Ghana. Further, an ICT village is being developed to provide Network Access Point (NAP) for landlocked countries in West Africa.
The following are some of the advantages Ghana has over other West African countries in the ICT sub-sector:
- Ghana has unsaturated infrastructure for transmission;
- The Greenwich Meridian passes through the country – indeed through the main industrial city of Tema
- Ghana has an excellent Free zones Programme with very competitive incentives that cannot be easily matched in the sub-region
Investment Incentives within the sub-sector
Reputable surveys rate Ghana as one of the most attractive locations for doing business in Africa. However, in the field of ICT in particular, the country has the following incentives for potential investors in the sub-sector:
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All Automatic Data Processing machines and unites thereof attracts zero (0) import duty;
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A free zone ICT enterprise (Tema and Boankra Enclaves) enjoys ten (10) years exemption and 8% corporate tax thereafter
- ICT companies can carry forward losses for five years
Investment guarantees
The Ghana Investment Promotion Centre Act provides guarantees to all enterprises; including free transferability through any authorized dealer bank in freely convertible currency of dividends or net profits. Ghana also has an Investment Incentive Agreement with the Overseas Investment Corporation (OPIC) of the USA. The country is also a signatory to the MIGA Convention.
Recommendation
The ICT sub-sector in Ghana presents one of the greatest opportunities for the foreign investor, particularly, for outsourced data processing investors. Ghana provides the most cost effective connectivity within the West African sub-region. With the creation of the Network Access points (NAP), Ghana, thus, becomes a pool for West Africa’s Telecommunications Traffic, all for the benefit of the ICT investor in the country.
*The following websites may provide further information on investment opportunities in Ghana:-