A Canadian investment advisor and CEO of Gorab Advisors, Richard Gorab, has said Ghana has all the right conditions that are needed to become the investment hub of the West Africa sub-region.
Mr. Gorab said the country’s current economic growth rate compares favorably to other emerging peers while its legal system is also efficient which guarantees that investors’ funds are always protected from undue exploitation.
The Canadian investor who was speaking in an interview with Citi Business News further singled out the financial sector and said the attempts by the Bank of Ghana to clean up sector is further tailored at making the system even more efficient which inures to the advantage of investors.
According to him, it takes more than a shake-up in the banking sector for investors to lose confidence in investing in the country.
With over two decades of experience in investment and wealth management, Mr. Gorab noted that investors look out for some major areas before making investments and these include good legal framework, good governance, good level of bureaucrats and educational infrastructure, which according to him, Ghana possesses.
“Ghana’s growth rate is usually between 5 and 7%. I mean that’s higher than China. And naturally, If I look at the macro level, West Africa versus other regions in the world I don’t know which country out there is getting that growth rate.
Sometimes, we think about our families and businesses when investing and a vote of confidence in the market in general. What gives you confidence is that if you make the right investment, you are going to be rewarded.
So, you need a good legal framework which Ghana already has including a good government and a good level of bureaucrats. It’s encouraging. You want to make sure that you get the money back if you roll the right dice”, said Mr. Gorab.
Touching on the banking sector crises from his 13-year background with the Royal Bank of Ghana, Richard Gorab noted that Ghana has a B-rating on the rating agency aggregate, which is a sub-investment grade, offers people the opportunity to bonds which gives it the ability to raise capital there.
As an entrepreneur with vast experience in the global financial space, Mr. Gorab advised the government to invest in entrepreneurs and also pay more attention to those in the informal sector.
According to him, entrepreneurs mostly serve as the backbone of the economy because they tend to reduce unemployment which in turn leads to a reduction in poverty. He noted that entrepreneurship in the informal sector cannot be discounted because they are not affected when recessions occur.
He said, for entrepreneurship to thrive, there must be a solid legal infrastructure in place. “You start a business, someone wants to take it away from you. You know we are talking ease to get permits. This is what is needed for entrepreneurship”, he said.
He also noted that the government must pay more attention to women in entrepreneurship because their contribution has a great trickledown effect on the economy. He said Canada is currently focusing more on women in entrepreneurship because studies show that when a woman does development it gets absorbed into the economy be it in the area of education or the family, there is a higher multiplier effect.
Currently, Gorab Advisors, with its highly diverse team of financial advisors headquartered in Canada, is working in Ghana on various projects and with other agencies including the building and construction works at the Apolonia City.