The 2024 Business Environment and Competitiveness Survey, conducted by the UK-Ghana Chamber of Commerce (UKGCC), reveals key challenges impacting businesses in Ghana, with taxation policies topping the list of concerns.
Companies expressed frustration over increased tax burdens, particularly the Growth and Sustainability Levy, which has raised operational costs and restricted expansion and profitability, especially for small and medium-sized enterprises (SMEs).
Access to financing remains a persistent issue despite slight improvements.
High interest rates and stringent lending conditions continue to hinder SMEs from securing affordable credit, limiting their growth potential.
The survey also flagged regulatory hurdles, including bureaucratic inefficiencies and corruption, which have eroded business confidence.
The unpredictable regulatory framework complicates long-term planning for many companies.
Infrastructure deficits, particularly water availability, were also highlighted as significant barriers to growth, especially in agriculture and manufacturing.
However, businesses are increasingly turning to technology adoption, which has boosted productivity, particularly in the manufacturing and services sectors.
The expansion of digital infrastructure is also modernising operations across industries.
The private sector has called for urgent reforms to address these challenges. Businesses are urging the government to implement a more transparent and predictable taxation system, coupled with targeted tax incentives to stimulate investment and innovation.
Simplifying processes like business registration and enhancing support for exports are seen as essential for improving the business environment.
Access to credit remains a top priority, with calls for government-backed initiatives to provide affordable financing, particularly for SMEs.
Respondents also emphasised the need for stronger collaboration between the private sector, government, and international stakeholders to overcome these challenges and strengthen Ghana’s competitiveness.
Despite these hurdles, optimism about Ghana’s economic future remains high, driven by opportunities in the African Continental Free Trade Area (AfCFTA) and the expanding domestic market.
However, businesses stress the urgency of addressing structural bottlenecks to fully capitalize on these opportunities.
