Foreign Direct Investment (FDI) results recorded during the second quarter of this year increased by over 400% in the amount of initial transfers compared with the value recorded in the corresponding quarter of 2015.
[contextly_sidebar id=”MewEtXz6obQTtXOkfM7OHU9peCxRoZYj”]According to the Ghana Investment Promotion Centre (GIPC), 12 more projects were recorded in the second quarter compared with the number of projects recorded in the first quarter of 2016.
In addition, a total of 51 new projects were registered with total initial capital transfer amounting to US$59.12 million.
Meanwhile of the total estimated value of the projects which was US$1.45 billion, FDI component amounted to $1.41 billion.
Also total of over 4000 jobs are expected to be created by the projects recorded.
CEO of the GIPC, Mawuena Trebarh explained, “As part of our growing efforts in creating awareness of GIPC services to the local business community, the GIPC continues to engage with local investors through the annual outreach program.”
Meanwhile a total of eighteen (18) wholly Ghanaian projects were registered by the Centre in the quarter under review.
The estimated value of these projects amounted to US$392.19 million.
Ownership Structure of registered projects
Of the 51 projects registered during the second (2nd) quarter, 40 (78.43%), were wholly-foreign owned enterprises valued at US$391.17 million which is 26.97% of the total estimated value of projects registered.
The remaining 11 (21.57%) were joint ventures between Ghanaians and foreign partners valued at US$1.06 billion which is 73.03% of the total estimated value of projects registered.
Sectoral breakdown of the 2016 Q2 FDI
Geographical distribution of projects
Seven out of the ten regions directly benefited from the registered projects during the quarter.
The regions are Ashanti, Central, Eastern, Greater Accra, Northern, Volta and Western region.
74% of all the projects registered are located in Greater Accra region.
Sources of Foreign Direct Investment (FDI)
China, with 13 projects, ranked the number 1 source of investments by number of projects.
Also, with an FDI value of US$1.06 billion, Singapore topped the list of countries with the largest value of investments registered during the quarter.
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By: Pius Amihere Eduku/citibusinessnews.com/Ghana