Analysis of the special economic zones act, 2015 background the government has put emphasis on attracting foreign direct investment fdi and fast tracking implementation of the. Assistant lecturer, faculty of law, university of ghana, legon, accra, ghana. Amendment to the free zones act, 1995 act 504 the parliament of the republic of ghana has passed an amendment to the free zones act, 1995 act 504 by issuing a legislative instrument l. The world bank thomas farole, senior trade specialist prmtr book launch seminar march 9, 2011 1 special economic zones in africa. The ghana free zones authority gfza, is a ghanaian governmentcontrolled institution formed on 31 august 1995 to facilitate the setting up of free zones in ghana to improve the economic development and to regulate its related activities. Foreign direct investment and gross domestic product in ghana. In 1970 the government passed the export processing zone act, which provided. The ghana free zones authority participated in the 2nd ghana malta business forum on the 2nd march 2020 which took place at movenpick ambassador hotel in accra. Petroleum revenue management act, 2011 act 815 petroleum revenue management amendment act 2015, act 893 petroleum local content and local participation regulations, 20 l. Ghana amends customs act regarding bonded warehousing of goods. These laws were assented to by the president and gazetted on 29th december 2017 and thus became effective, from january 2018. Dec 17, 2019 the ghana free zones authority was established on 31st august 1995 by an act of parliament to enable the establishment of free zones in ghana for the promotion of economic development, to provide for the regulation of activities in free zones and for related purposes. The oil and gas free zones authority ogfza is the national regulatory agency superintending over the operation of the oil and gas free trade zones in the country.
Also, the income tax act, 2015 act 896 imposes a 5% withholding tax on insurance premiums paid by residents of ghana to foreign insurance companies. All the emerging countries are included in that list. Within these zones free zone developers and enterprises shall be free to negotiate and. The act was assented to by the president on 29 december 2017 and the gazette notification was issued the same day. A company qualified to be a free zone if it exports 70% of its products and the incentive include ten year corporate tax holiday and zero duty on imports bank of ghana bulletin, 2005. Leigh anderson prepared for the agricultural policy and statistics division of the bill and melinda gates foundation evans school policy analysis and research epar professor leigh anderson, pi and lead faculty.
Sales in national customs territory 1 the minister may, by legislative instrument, authorise the sales of up to thirty percent of the annual production of goods and services of a free zone and single factory zone enterprise. Ghana free zones authority recruitment 20202021 application form. We know the difficult zones and dare say that we know the answers. Limited data on the topography of the coastal zone did not allow other scenarios to be evaluated. Constitution of the republic of ghana constitution, 1992, the act entered into force on its date of publication, 30 december 2015. America issued foreigntrade zones act of 1934 to allow the establishment of the sez under the name or foreigntrade zones ftz 1, 22. Laws applicable to the operation of business in ghana conform to international standards and best practice. A person in ghana, however, may apply to obtain insurance from a foreign company for specific instances such as where the required insurance policy cannot be obtained in ghana. The ghana free zones authority gfza was established on 31st august, 1995 by an act of parliament1995 act 504, to enable the establishment of free zones for the promotion of economic development.
Fdi and gdp growth nexus the government of ghana had been making several attempts purposely to improve the economic and. Legislation online parliament of ghana, ghana pdf doc. Gfzb is responsible for planning, regulation, and promotion of the free zones, as well as for packaging of sites for development through. The ghana free zones board gfzb was established on 31 st august, 1995 by an act of parliament. The parliament of ghana has passed the customs amendment no. Trends and impacts of foreign investment in developing country agriculture. There is established by this act a board to be known as the free zones. The sale of anything whatsoever in a market, petty trading, hawking or selling from a kiosk at any place. Project finance 2019 laws and regulations ghana iclg. An act to enable the establishment of free zones for the promotion. Ghanas constitution of 1992 with amendments through 1996. Accordingly, the act came into force on 29 december 2017. Of the parliamnet of the republic of ghana entitled the free zone act, 1995 an act to enable the establishment of free zones in ghana for the promotion of economic development. The proposed project is expected to serve as a waste receptacle for the stream of solid wastes expected from the free zones enclave and the tema metropolitanity.
Parliament of ghana recently passed c ertain amendments to our existing tax laws and also enacted a new law, the amnesty act, 2017 act 955. New free zones act expected to be ready by third quarter. This act may be cited as the diplomatic immunities and shorttitle. Limits to free zones in the face of global competition92 6. Ghana, the free zones act 1995 act 504, an act to enable the establishment of free zones in ghana for the promotion of economic development. Running a business in a free zone the official portal of. The gfzb was established by the free zone act, 1995 as amended by the free zone act, 2002 to enable the establishment of free zones in. The act amends the customs act, 2015 act 891 to provide additional requirements for the bonded warehousing of goods and other related matters. Trends and impacts of foreign investment in developing. What is relevant for ghana is to ensure the mainstreaming of the climateproofing agenda into national development. The mandate of the free zone act 1995 act 504 is to enable the establishment of free zones in ghana for the promotion of economic. Free trade zones should be distinguished from free trade areas.
Free zones companies are regulated by the local government in each respective emirate. Free zones business entities eligible to operate as free zone developers or free zone enterprises are companies registered under the companies code, 1963 act 179 or a partnership registered under the incorporated private partnership act, 1962 act 15. An act to enable the establishment of free zones in ghana for the promotion of economic development. Free zone companies in ghana including accra, and more. Ftz free trade zone ecowas economic community of west african states eu european union fdi foreign direct investment gdp gross domestic product gfcf gross fixed capital formation gfzb ghana free zones board ghia ghana ports and harbours authority gipc ghana investment promotion centre gis ghana immigration service.
Hence, each free zone has its own set of procedures and restrictions. The ghana free zones board, which is the government agency responsible for the implementation of the programme, is achieving positive results. It was enacted by an act of parliament, the free zone act 1995 act 504. The companies act, 2019 act 992 has been in the works since 2018 and replaces the companies act, 1963 act 179.
Free zone companies in ghana add your free listing. The uganda free zones authority is a body corporate under the supervision of the ministry of finance, planning and economic development. The forum aimed at bringing together maltese companies and their ghanaian counterparts to identify trade and business opportunities for the mutual benefits of both countries was very. In exercise of the powers conferred on the minister responsible for trade and industry by sections 262 and 41 of the free zone act 1995 act 504, and after consultation with the minister responsible for customs and exercise and the commissioner of customs, excise and preventive service in accordance with section 262 of act 504, these regulations. A comparative analysis of effective free trade zone. Nigerian oil and gas industry content development act 2010 no. Ghana free zones boards act, 1995 act 504 and free zone regulations, 1996 l. These laws are based on a framework of legislation relating to business activity, s, patents, trademarks, disputes and labour relations. Ghana investment act schedule section 18 enterprises wholly reserved for ghanaians 1. However, in 2008 there were only minor changes with the focus on the reduction of corporate income tax rate on income derived from providing credit. The free zones act 1995, act 504, was passed on 31st. Ghana amends customs act regarding bonded warehousing. Gfzb ghana free zones board ghc ghanaian cedi gif ghana investment fund gipc ghana investment promotion.
Amends section 34 by adding a new subsection 4 concerning tax obligations foreign employees towards the ghana government. The controller and accountant generals department cagd has sensitized chief directors of the various ministries, departments and agencies mdas on. The ghana free zones authority gfza was established on 31st august, 1995 by an act of parliament the free zone act 1995 act 504, is to enable the establishment of free zones in ghana for the promotion of economic development. Free zone enterprises shall comply with the factories, offices and shops act 1970 act 238 on health and safety requirements. Tax regime and investment ghana offers competitive investment incentives to investors. Pricewaterhousecoopers ghana limited 1 october 2010 this edition of on point, our abridged tax newsletter, focuses on recent amendments to the ghanaian tax laws and general updates regarding tax issues in ghana. Use of export processing zones there are several free trade zones in ghana, which were established after the free zones act was passed in 1995. A nonghanaian may undertake this service provided he has a minimum fleet of ten new vehicles. Its important and expected role requires the board to. The establishment of free zones in ghana journal of african. Diplomtic ltlmwities and prn7leges the diplomatic immunities and privileges act sch, 36 of zob4. Justice daniel francis kweipe annan was the first speaker of the parliament of the 4th republic of ghana.
The income tax amendment act, 2015 act 902, was assented to by ghanas president and published in the official gazette on 30 december 2015. The free zone program in ghana, under the authority of the autonomous ghana free zones board gfzb is a good example of a program which makes a clear separation of these roles. Act 902 amends some provisions in act 896 the principal act. The agency is responsible for the establishment, development, management, marketing.
Amendment to the free zones act, 1995 act 504 the parliament of the republic of ghana has passed an amendment to. Access both online and pdf versions of all ey global tax alerts. Occupational and personal pensions scheme general regulations 2011, l. The ghana free zones programme is designed to promote processing and manufacturing of goods through the establishment of export. A free trade zone is normally established in a single country, although there are a few exceptions where a free zone may cross a national border, such as the syrianjordanian free trade zone. The impacts of special economic zones professor sara curran, joelle cook, katie hampton. The amendments passed by parliament in respect of taxation are as follows. Free zone amendment act 2002 free zones act 1995 free zone act no. Risk zone defined as area within cz below 3 m contour. Special economic zones sezs or industrial parks can be an effective instrument to promote industrialization if implemented properly in the right context, as shown in some of the emerging countries, particularly those in east asia. At a very high level, the new act seeks to introduce improved corporate governance standards for companies operating in ghana.
Ghana free zones act 1995 act 504 ghana investment act ghana standards board food, drugs and other goods general labelling rules, 1992 mercury act, 1989 the millennium development authority act, 2006 weights and measures act, 1975. The ghana free zones board gfzb and the tema metropolitan assembly tma were to construct an 18hectare sanitary landfill facility slf at kpone. Ogfza was established by section 2 of the oil and gas export free zone act no. Ghana, bearing in mind its linkages with our development. Ghana has a new companies act the companies act 2019 act. Reader to view the documents as they are in the widely accepted pdf format. As the act did not specify any date of commencement, in accordance with the provisions of the. In a bid to attract foreign investment, the ghana investment promotion centre act, 1994, provided for the establishment of the investment promotion centre to be responsible for the administration of investment activities in ghana. The minimum wage rate applies to all of ghana except the free trade zones where employers are free to negotiate and establish contracts of employment including wage levels that are consistent with ilo conventions. Problems risk zone cannot be accurately delineated due to poor data. Free zone developersenterprises lease transactions telecommunications. Sales in national customs territory 1 the minister may, by legislative instrument, authorise the sales of up to thirty percent of the annual production of goods and services of a free zone and single factory zone enterprise to the national customs territory. This brings to the fore, the reality of mutually reinforcing and integrating the climate change issues into the national planning and budgeting processes. In general, a company registered under a respective free zone is not permitted to carry out business outside the free zone, i.
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