Governance Matters: The Ghana Investment Promotion Centre (GIPC) recently won several industry awards in recognition of its work. What makes the GIPC stand out from other investment promotion agencies around the world?

‍R. Yofi Grant:  The GIPC pursues a highly proactive and targeted investment promotion strategy with the aim of attracting Foreign Direct Investment (FDI). This strategy includes various activities such as organising investment roadshows, participating in international conferences and exhibitions, and facilitating business matchmaking events. By engaging with potential investors, the GIPC effectively showcases investment opportunities in Ghana and helps to form partnerships between investors and local businesses.

We view the investment process as a lasting relationship rather than a one-off event. That is why we place considerable importance on supporting investors and providing aftercare services. The GIPC also has a dedicated aftercare unit that provides continuous assistance to investors throughout their journey.

We have introduced digitalisation to streamline our registration process, which has simplified and expedited this step for investors. Furthermore, we make sure that our social media platforms, website, and other digital marketing tools are coherently promoting Ghana as an investment destination. Through these digital channels, we can share valuable information regarding investing in Ghana, enhance engagement with investors, and improve communication with the public.

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The GIPC comes directly under the Office of the President of Ghana. How does this impact the way the GIPC carries out its work?

Having direct access to the Presidency is a significant advantage because it provides greater political support and influence, which helps expedite decision-making. It also enables the GIPC to engage in high-level discussions, present investment proposals, and offer input on policies and regulations relating to investment promotion and facilitation directly to the President and other influential decision-makers within the Government. Moreover, being directly under the Presidency ensures the GIPC aligns its activities with the Government’s broader development and economic priorities. This in turn ensures that our investment promotion efforts are always in harmony with the national agenda, thus ensuring a coordinated approach.

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What are some practical steps that Ghana has taken to attract foreign investment in industries that will foster innovation and provide long-term, high-quality jobs and training for local people?

As a nation, Ghana has incorporated the United Nations’ (UN) Sustainable Development Goals into the national budget, aligning our economic policies with these global goals that emphasise social and environmental sustainability. As host of the African Continental Free Trade Area (AfCFTA), Ghana has positioned itself as a hub for regional economic integration that can boost trade and investment across the African continent. The GIPC has partnered with the United Nations Development Programme (UNDP) to launch and implement an investor roadmap, which provides a framework for promoting responsible investments that prioritise technology transfer, job creation, and innovation.

The Government’s industrialisation policy is aimed at encouraging investments in diverse sectors and includes incentives and support for both local and foreign investors to establish and expand industries. We have also been investing in infrastructure development, including transportation, energy, telecommunications, and industrial parks. The Government has been encouraging public-private partnerships to leverage the expertise and resources of both the public and private sectors, promoting collaboration and knowledge-sharing.

The Government has also sought to improve the ease of doing business through reforms that aim to simplify bureaucratic processes, reduce red tape, enhance transparency, and protect investor rights. The GIPC has played a key role in this effort, too. The COVID-19 pandemic and the closure of borders brought about a significant shift in the way technology is used for communication and business transactions. We adapted swiftly and implemented digital solutions for investor registration processes, which has reduced bureaucratic obstacles, saved time, and greatly improved the overall ease of doing business.

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You serve on the board of the World Association of Investment Promotion Agencies (WAIPA) representing sub-Saharan Africa. What opportunities and challenges does the region face in this changing investment promotion landscape?

Membership of the WAIPA board brings invaluable insights into the challenges and opportunities the region encounters within the evolving investment promotion landscape. Sub-Saharan Africa is a diverse and dynamic region with immense potential. It is resource-rich, with 50% of the world’s gold, up to 90% of its chromium and platinum, and the world’s largest reserves of cobalt, diamonds, platinum, and uranium. Many of these resources are essential for the clean energy transition and the region also has abundant renewable energy potential, particularly in solar, wind, and hydroelectric power.

One of the region’s greatest assets is its youthful population, with approximately 70% of the sub-Saharan African populace under the age of 30, as reported by the UN. This demographic dividend offers not only a significant labour force but also a substantial consumer market. By strategically investing in education, healthcare, and job creation, we can stimulate economic growth and attract investors who target emerging markets.

More importantly, AfCFTA offers a transformative opportunity for sub-Saharan Africa. It is the world’s largest free trade area bringing together the 55 countries of the African Union (AU) and eight Regional Economic Communities (RECs). AfCFTA creates a single continental market with a population of about 1.4 billion people and a combined GDP of approximately US$ 3.4 trillion. This initiative fosters economic integration and paves the way for expanded trade and investment.

The digital revolution is another avenue teeming with opportunities for sub-Saharan Africa. Increased mobile phone penetration, expanding internet connectivity, and the rise of fintech have opened avenues for innovation, e-commerce, and financial inclusion. Embracing and investing in technology can boost productivity and drive economic transformation.

Of course, sub-Saharan Africa also faces unique hurdles that require strategic thinking and innovative approaches. Insufficient infrastructure remains a significant challenge across sub-Saharan Africa. Annually, Africa requires over US$ 100 billion to address this gap. Limited access to reliable power, inadequate transportation networks, and underdeveloped digital connectivity are hindering investment and economic growth.

Inconsistent regulatory frameworks and bureaucratic red tape pose challenges to investment promotion in the region. Inconsistent policies, complex licensing procedures, and corruption erode investor confidence. Streamlining regulations, enhancing transparency, and promoting good governance are essential for creating an enabling environment for investment.

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How can investment promotion agencies in Africa work together to optimise FDI opportunities?

I think this is a very exciting area where there is great potential. We can certainly work together to promote Africa as a single investment destination. This can be done by jointly participating in trade shows and conferences, and by developing joint marketing materials. We can also advocate for a favourable investment climate across Africa by working with governments to improve the regulatory environment, reduce corruption, and strengthen the rule of law. Lastly, we must also invest in research and development related to functioning markets and investments.

I also believe there is scope to strengthen the forums through which we can work together. At present, we have the African Investment Promotion Forum (AIPF), which was established by the African Development Bank. This is a valuable platform for promoting investment by helping to advance projects and raise capital for deals. The Southern African Development Community (SADC) and the East African Community (EAC) each also have regional Investment Promotion Agencies (IPAs).

I am now helping to establish another regional investment promotion network, likely named the Association of African Investment Promotion Agencies (AAIPA). This would create a regional investment promotion network that would offer another chance for IPAs to share information, coordinate their efforts, and advocate policies that support investment.

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What are the most important qualities that an investment promotion officer needs to possess?

It is crucial to have a strong understanding of the global investment landscape in order to identify and assess opportunities and understand the needs of investors. The investment environment is constantly changing, so we need to be willing to learn and adapt to new trends and technologies.

Investment promotion is a very personal endeavour. Our role is to share the great opportunities in our country and then to help those people who do want to invest. Investment promotion officers need to be excellent communicators with investors, both in person and in writing. This helps to network and build relationships. We also need to be committed to providing excellent customer service to investors. This includes being responsive, providing investors with timely information, and helping them navigate the investment process. Investment promotion officers also need to be proactive and passionate about their work and about promoting investment in their region.

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How does the GIPC go about training new investment promotion officers?

The GIPC employs a comprehensive approach to training new investment promotion officers, utilising both formal and on-the-job training methods to ensure their proficiency in promoting and facilitating investments. This begins with our onboarding process, during which new officers are attached to various divisions so they can familiarise themselves with the whole of the institution. We also offer division-specific training, for example teaching officers joining the research division about data collection and analysis.

The GIPC collaborates with external partners for additional support. These include the UN Conference on Trade and Development, the World Trade Organization, and the World Bank, as well as national level organisations from countries such as China, South Korea, and Japan. We also work with private consultants to help fill skills gaps, for example in marketing and project management. This collaboration allows the GIPC to access a diverse range of expertise and resources, enhancing the quality and effectiveness of our training programmes.

One powerful element has been our promotion of independent learning, encouraging new officers to study at their own time and pace. This approach promotes continuous learning and empowers officers to take the initiative in expanding their expertise.

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Your career in banking and finance has spanned many organisations and countries over more than 30 years. How have these experiences helped you in your work and informed your vision for the GIPC?

First, they have given me a deep understanding of the global investment landscape. I have seen firsthand how investors make decisions, what they are looking for in a new investment destination, and what challenges they face. This understanding has been invaluable in my work at the GIPC, particularly around developing strategies to attract investment to Ghana.

Second, my experience has given me a strong network of contacts in the investment community. I have worked with investors from all over the world. These relationships have been essential in helping me to promote Ghana and to connect people with opportunities in the country that will suit everybody involved.

Third, my experience has taught me the importance of collaboration. In my previous roles, I worked with governments, businesses, and other organisations to promote investment. I have learned that the best way to attract investment is to work with all stakeholders and that is one of the pillars of the GIPC’s strategy.

As I have always maintained, the Ghana story is that of three Os: Opportunity, Optimism, and Openness. As such, my vision for the GIPC is to make Ghana, and Africa, a premier investment destination. I believe that we can achieve this goal by continuing to build on our strengths. I am confident that, with the support of the government and the private sector, we can achieve our vision for the GIPC.