The Food and Beverages Association of Ghana has highlighted the significant economic challenges facing businesses in the country.

According to the association, these challenges, combined with Ghana's tax regime, have compelled several multinational companies to downsize their operations and even relocate entirely.

Mr Samuel Aggrey, the General Secretary of the association, pointed out that the current economic turmoil and tax structure in Ghana have been major factors which have influenced the decisions of companies like Big Nivea, Dark and Lovely, Globo, and Jumia to relocate to neighbouring countries with more favourable tax environments.

Speaking on the Ghana Yensom Morning show on Accra 100.5 FM hosted by Otafrigya Kwesi Apea-Apreku, Mr Aggrey emphasised that these companies were attracted to countries with lower tax rates compared to Ghana’s. 

He stressed that while the neighbouring countries may not offer anything significantly different, their tax regimes make them more attractive destinations for businesses seeking to minimise costs and remain competitive.

Mr Aggrey expressed concern over the situation, noting that if Ghana's current economic challenges are not addressed, more industry players may follow suit or resort to downsizing to cope with the unfavourable business environment.

He urged policymakers to take decisive actions to reverse the economic downturn and create a more conducive environment for businesses to thrive and contribute to the country's growth