Why foreign businesses are evacuating from Ghana

Multinational companies have been having issues in Ghana, resulting in a large flight of brands from the country.

Numerous multinational companies have moved their operations out of Ghana due to the country's unstable economic environment. This pattern has been influenced by elements including the volatile Ghana cedi, high rates of inflation, and the high cost of imports.

There are more: the business environment has become more complex due to increased electricity bills and frequent power outages, locally referred to as "dumsor," which has affected both domestic and foreign firms.

Particular examples of companies that have left are:

BIC: The well-known pen manufacturer, which had existed in Ghana for many decades, relocated their operations from Ghana to Ivory Coast in March 2024, citing financial difficulties as the cause.

Nivea: In December 2023, the skincare brand announced that it was ending operations in Ghana due to high operational expenses and taxes.

Glovo: The delivery service provider declared that it would be leaving the Ghanaian market on May 10, 2024, citing issues with profitability and a challenging business environment.

Jumia Foods: A well-known e-commerce company closed its food delivery section in December 2023 as a result of unstable economic and market situations.

Lipton Tea (Unilever): Citing continuing economic difficulties, Unilever Ghana moved its tea business from Ghana to Nigeria in March 2024.

Dark and Lovely: Because of the difficult economic climate and unmanageable tax load, the haircare brand also left the Ghanaian market.

These exits affect economic growth and tax income, in addition to the GDP and job creation in Ghana.

The visionary John Mahama must, therefore, return on January 7, 2025, in order to help tackle the challenge of making the country more attractive to international operations.