The Ghana Investment Promotion Centre’s promotional activities continue to yield positive results in terms of Foreign Direct Investment (FDI) attraction into Ghana. As at the end of the fourth quarter of 2011, the FDI inflows target of US$1.5 billion for the year had been exceeded.
In the 4th quarter, new projects registered were 117; an increase of 56% compared to 75 registered projects in the corresponding quarter of 2010.
Of the 117 projects registered during the fourth (4th) quarter, 85projects representing (72.65%), were wholly-owned foreign enterprises. The valued of these projects was GH¢637.23 million (US$424.83 million) representing 12.30% of the total estimated value of projects registered. The remaining 32 projects being (27.35%) were joint ventures between Ghanaians and foreign partners and was valued at GH¢4.55 billion (US$3.03 billion) also representing 87.70% of the total estimated value of projects registered.
For the corresponding quarter of 2010, 49 wholly-owned foreign enterprises and 26 joint ventures were registered and valued at GH¢147.13 million (US$105.09 million) and GH¢51.50 million (US$36.79 million) respectively.
The total estimated value of the registered projects for the quarter stood at GH¢5.18 billion (US$3.45 billion). Out of this amount, the Asanteman Hong Group Limited project for real estate development & general construction accounted for US$3billion. The remaining 116 projects were valued at US$454.99 million.
The total initial capital transfers for the newly registered projects during the quarter amounted to GH¢29.08 million (US$19.39 million). This gives an increase of 65.16% compared to GH¢16.44 million (US$11.74 million) recorded for the corresponding quarter in 2010.
The FDI component of the estimated value of the projects registered for the quarter was GH¢4.04 billion (US$2.69 billion), representing 77.94% of the total estimated value. The local currency component also amounted to GH¢1.14 billion (US$762.06 million), representing 22.06% of the total estimated value for the quarter.
From the 117 new projects registered in the fourth quarter (4th) quarter, it is expected that 8,351 jobs will be created. This is an increment of 134.32% over 3,564 expected jobs to be created in the corresponding quarter of 2010. Out of the total number of jobs to be created in the fourth (4th) quarter, 91.35% (7,629) will be for Ghanaians and the remaining 8.65% (722), for expatriates.
Year to date (1st January to 31st December), 2011 Results:
A total of 514 projects were registered in 2011; an increase of 33.51% compared to 385 registered projects in the corresponding period of 2010.The total estimated value of registered projects for 2011 was GH¢11.52 billion (US$7.68 billion); a significant increase of 500.47% compared to the corresponding period of 2010. Excluding the estimated value for STX (US$2.5bn) and Asanteman Hong Group Limited (US$3bn) projects, the amount of US$2.18bn registered for the year, exceeds the GIPC’s target of US$1.5bn for the year and the subsequent US$2bn mark stated in the third quarter report.
The total initial capital transfers for the registered projects in 2011 amounted to GH¢319.94 million (US$213.29 million); a significant increase of 262.49% compared to the corresponding period of 2010.
The FDI component of the estimated value of registered projects amounted to GH¢10.23 billion (US$6.82 billion); an increase of 514.41% compared to the FDI component in the same period of 2010. The local currency component amounted to GH¢1.296 billion (US$864.08 million).
The total number of jobs expected to be created from registered projects amounted to 46,761.