Ghana's new investment law: what changes for foreign SMEs

Ghana has replaced its investment law. The Ghana Investment Promotion Authority Act, 2026 (Act 1173) turns the Ghana Investment Promotion Centre into an Authority and, most importantly for smaller investors, removes the minimum foreign capital for most non-trading businesses. According to Clyde & Co, Parliament passed the Act on 4 April 2026 and the President assented on 15 July 2026.

What changes

• Minimum capital for non-trading businesses falls away. Under the old law (Act 865), a joint venture needed at least USD 200,000 in foreign capital and a wholly foreign-owned company USD 500,000. For most non-trading activities, those thresholds no longer apply.
• Trading companies still have a minimum, but a lower one. Foreign trading enterprises need USD 500,000 instead of USD 1,000,000, and at least 75% of their employees must be skilled Ghanaians.
• Registration remains mandatory. A foreign-owned company must register with the Authority after incorporation and before it starts operating.
• New support functions. The Authority now also promotes outward investment, acts as Ghana's national focal point for the AfCFTA and must help resolve investor grievances within three months.

What it means for a European SME

For a mid-sized company that wants to set up a service, processing or tourism business in Ghana, the biggest barrier to a small first step is gone. A pilot operation no longer needs to tie up half a million dollars before it can register.

Trading remains different. If your plan is mainly to import and sell goods, the USD 500,000 minimum and the staffing rule still shape the structure. A local distribution partner may be the better first step.

What is still open

The sources we reviewed do not state when the Act takes effect, and some details depend on regulations still to come. Before you structure an investment, have a licensed Ghanaian lawyer confirm the current position.