GIPC warns against fronting for foreign retailers
The Ghana Investment Promotion Centre (GIPC) has cautioned Ghanaians against fronting for foreign nationals to operate in retail spaces reserved exclusively for citizens.
The centre explained that the caution had become necessary following growing public concerns over the increasing involvement of foreigners in local retail trading as the Ghana Investment Promotion Authority Bill awaited presidential assent to strengthen the country’s investment regulatory framework.
The GIPC maintained that the proposed law would still prohibit foreign investors from engaging in local market trading and other sectors reserved for Ghanaians despite the broader investment reforms captured in the bill.
The centre stressed that the restrictions were intended to protect local participation in specific areas of the economy while promoting responsible foreign investment in the country.
Speaking at a media briefing at Peduasi in the Eastern Region on May 26, the Chief Executive Officer of the GIPC, Simon Madjie, stated that the solution to the growing concerns over foreign participation in local markets lay in public education and stronger collaboration among regulatory institutions.
“We need the support of the media and the public to educate Ghanaians to avoid fronting for people who clearly ought not to operate in areas reserved for citizens of Ghana,” he said.
Reserved sectors
Mr Madjie explained that the restrictions on foreign participation in local retail trading remained unchanged under the proposed law despite plans to remove minimum capital requirements for some categories of investors.
He stated that non-citizens were still prohibited from engaging in market trading, hawking, taxi services and retail pharmaceutical operations because those sub-sectors were reserved exclusively for Ghanaians.
He said the centre was collaborating with agencies such as the Immigration Service and the Ministry of Interior to address concerns relating to nationality verification and compliance enforcement.
He stated that the centre planned to roll out a nationwide public education campaign by August to sensitise traders and the public on business activities reserved for Ghanaian citizens.
“These reserved areas are protected under the law and regardless of the amount of money an investor brings into the country, they cannot operate in sectors exclusively reserved for citizens of Ghana,” he said.
Public education
The CEO said the centre had intensified engagements with trader associations, market leaders and other stakeholders to address concerns over foreign participation in local retail trading.
He explained that the GIPC was working closely with the Ministry of Trade, Agribusiness and Industry to strengthen awareness and enforcement of investment regulations governing reserved sectors.
He said that the centre considered public education as the most sustainable approach to addressing the issue instead of indiscriminate closure of shops without proper verification.
“Our best solution to this issue is education of the public so that we all become vanguards in protecting areas that are reserved for citizens of Ghana,” he said.
Mr Madjie stated that the centre remained committed to attracting responsible foreign investment into sectors that were open to international participation under Ghana’s investment laws.
He explained that the GIPC continued to promote Ghana as a preferred destination for large-scale investments, particularly in areas such as shopping malls, manufacturing, agribusiness and industrial development.
He added that the centre’s ongoing reforms were aimed at improving investor confidence, accelerating business registration processes and enhancing investment facilitation services across the country.
Retreat
The media briefing was organised after a two-day board and management retreat of the Ghana Investment Promotion Centre.
The retreat brought together the board and management of the GIPC to review the centre’s 2026 operational priorities and status, discuss key institutional reforms and align on measures to strengthen the country’s investment promotion and investor support agenda.
The media briefing was addressed by the Board Chairman of the GIPC, Akwasi Oppong-Fosu and Mr Madjie, who shared key highlights from the retreat and provided updates on the centre’s strategic direction for 2026.