Gov offers tax incentives for factories outside Accra

Ghana is introducing a new government strategy to incentivize companies to set up factories outside the capital city of Accra, aiming to decentralize industrial development and foster a more equitable distribution of economic opportunities nationwide. Thomas Ampem Nyarko, Deputy Minister for Finance, announced the plan during a meeting with Parliament’s Economic and Development Committee.

Nyarko explained that the current heavy concentration of industries in Accra has contributed to rural-urban migration, congestion, and uneven development. The government intends to reverse this trend by encouraging investors to establish operations beyond the capital. The tax incentives will be data-driven to ensure they effectively stimulate growth in less-developed regions and are targeted at attracting investors committed to sustainable operations.

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The government was determined to reverse the trend by encouraging investors to move beyond the capital.

Government officials will closely monitor compliance to ensure that beneficiaries of these incentives contribute meaningfully to local economies. The policy is also expected to alleviate pressure on Accra's infrastructure while accelerating development in other regions, ultimately improving living standards and reducing inequality across Ghana.

Beyond tax incentives, the initiative will be supported by enhancements in infrastructure, access to credit, and skills training programs. The Deputy Minister emphasized the government's commitment to building a resilient, data-driven economy focused on inclusive growth. Dr. Nii Moi Thompson, Chairperson of the National Development Planning Commission, outlined a long-term vision that includes establishing industrial hubs in strategic locations to leverage local resources and create jobs, aligning policies with the national development agenda.

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The government remained committed to building a resilient economy anchored on data-driven policies and inclusive growth.