The Traders Advocacy Group of Ghana (TAGG), has questioned the rationale behind government’s exclusion of Nigerian traders from the Ghana Investment Promotion Centre (GIPC) Act (Act 865), which bars foreigners from participating in the country’s retail sector.
The Speaker of Parliament, Alban Bagbin, is reported to have told Nigeria’s House of Representative last week that the Ghanaian government is reconsidering the $1 million minimum requirement for foreign trading enterprises under section 28(2) of the GIPC Act, which most Nigerian traders are unbale to meet hence their inability to gain lawful permission to engage in the country’s retail space.
“Of particular mention is the reconsideration of the $1 million minimum requirement for trading enterprises under section 28(2) of the Act. This is to facilitate regularization of the businesses of affected Nigerian retail traders in the trade impasse.”
“Equally commendable is the special concession to be applied to a requirement for a payment of 0.5 stamp duty. Our Parliament is working to make sure this does not apply to our brothers and sisters from Nigeria,” stated the Speaker.
But in a statement reacting to the assertions made by the Speaker to Nigeria’s House of Representatives, TAGG asserts that it rejects under no certain terms the Speaker’s call for the review of the GIPC Act to allow for the participation of Nigerian traders in the country’s retail sector which provides employment to thousands of Ghanaians and which might result in Nigerians taking-over the retail sector.
TAGG’s rejection of the call for review of the GIPC Act by the Speaker adds to earlier calls made by President of the Ghana Union of Traders Association (GUTA), Dr Joseph Obeng, for Ghanaian traders to reject plans by government to review the GIPC Act in favour of Nigerian traders.
“The announcement by the Speaker is a slap on the faces of Ghanaian traders and any attempt to review the GIPC Act 2013 will spell economic and security doom for the country.”
“The joint communique between Ghana and Nigeria has not even surfaced. We all factored in our inputs. It is something unknown to stakeholders. What was the Speaker talking about? Was it to please the people of Nigeria as against the people of Ghana?”
“The trading community in Ghana wants this law, and it should be made clear. Traders in Ghana might seem to be gentle, but we must be careful because they are very passionate about this law. This law pulled the brakes on Nigerian retailers overtaking our markets. These exemptions will do us more harm than any good,” Dr Obeng opined.
Read details of press statement below:
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