Mahama urges multinationals to remain in Ghana amid economic challenges

The Flagbearer of the National Democratic Congress (NDC) has called on multinational companies to remain in Ghana despite the economic challenges prompting some corporations to exit the market.

He is appeal came during the 8th Ghana CEO Summit in Accra on May 27, 2024.

Ghana has faced significant economic difficulties since 2022, leading several multinational corporations to contemplate relocating their operations.

The latest departure is Glovo, a major food delivery company in Africa, which announced its exit from Ghana on May 10, 2024.

The Spanish company cited profitability issues and a reassessment of investment priorities as reasons for its decision.

In his address, Former President John Dramani Mahama underscored the detrimental effects of such corporate exits, including reduced job creation, lower tax revenue, and stunted economic growth.

He underscored the critical role multinationals play in the Ghanaian economy and urged business leaders to remain patient through these tough times, stressing, “The darkest hour is before the dawn.”

“I use this opportunity to appeal to you captains of the industry to tarry a bit more. Please don’t leave our country. There is a saying that the darkest hour is before the dawn,” Mahama stated.

Mahama also pledged to create a favourable environment for businesses if the NDC wins the 2024 elections. He emphasized the party’s commitment to fostering a supportive business climate to attract and retain multinational corporations, thereby boosting economic growth and prosperity in Ghana.

Ghana’s economy has suffered from the departure of several multinational companies in recent years, including Glovo, Nivea, Jumia Foods, Lipton Tea, Dark and Lovely, Bet365, Game, and Bic. These exits have significant economic impacts, such as job losses, decreased economic activity, reduced competition and innovation, higher consumer prices, and challenges for local businesses to fill the gaps left by these corporations.

Moreover, the departure of multinationals can lead to a decline in foreign investment, further exacerbating the economic challenges the country is facing.

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