The Ghana National Chamber of Commerce and Industry (GNCCI) has warned that if the concerns of the business community and industry are not addressed by the government, many foreign businesses will stop operating in Ghana.
Several notable brands, including Glovo, Nivea, Jumia Foods, Lipton Tea, Dark and Lovely, BET 365, Game, and BIC, have decided to cease operations in Ghana, raising concerns about the impact on job creation and economic growth.
Chief Executive Officer of the GNCCI, Mark Adu Aboagye said that until the government takes decisive steps to resolve the concerns of businesses in Ghana, both local and foreign enterprises will continue to close their operations.
He emphasised that businesses with the smallest profit margins will be the first to fall quickly.
“Because their business model depends on the ability of the Ghanaian to purchase a product. So if Ghanaians are not buying, it means Glovo and Jumia will not be there to distribute. Ghanaians are not buying. Sales have gone down. Purchasing power has gone down. There is no money in the pocket of ordinary Ghanaians.”
“Two, three years ago, if you had observed, there were a number of these courier companies running around Accra. Motorbikes with these boxes behind them. Check if they are still there. They are all gone. I know one of them that was employing about 25 riders with 15 office operators. Now, it’s totally gone. Those people are home,” he said.
Director of Dalex Finance, Ken Thompson, blamed the government for its failure to create a conducive environment for businesses to thrive.
According to him, the government does not focus on the private sector as much as they focus on the public sector.
“The government doesn’t care about creating jobs. The government is only interested in the government and the people who benefit from it. The government of Ghana does not listen. I mean every time we complain, they reel out projects that have been done. We built this block, we built this garden. Who cares?
“We cannot plan. We don’t know where to invest. Our hard-earned savings are gone and nobody is listening. The government does not care. All they care about is spending more money. Interest rates are high. We can’t do business. The population is poor so they can’t spend.”
According to JoyNews sources, the trade and industry ministry held a meeting with the business community in a move to address their concerns.
Deputy Trade Minister, Michael Okyere Baafi assured Ghanaian businesses that the issues raised would not be permanent and that the government is actively working to address them.
“We have given them assurance in that area and also tried as much as possible to address some of their immediate challenges as in the area of local competitors and doing other things that will not inure to the benefit of the customer.”
“Government is so concerned about this. Not only in the area of job creation but also not good for us as country.”
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