The Ashanti Regional Chairman of the Association of Ghana Industries (AGI), Kwesi Nyamekye, has stated that businesses are already struggling due to a 14.5 percent increase in electricity tariffs, and the government’s recent imposition of an additional 2.45 percent increase will worsen the situation.
Some business operators are now urging the government to consider reducing electricity tariffs to support local businesses.
This appeal follows the launch of the 24-Hour Economy policy on July 2, 2025 in Accra.
Speaking on Orange FM’s Sunrise , Mr. Nyamekye said the tariff hikes are likely to negatively affect the business sector.
Business Community Hopes for Incentives Under 24-Hour Economy
According to him, “The general view is that we are still negotiating and discussing the details. I heard that there may be some incentive packages for businesses that operate in shifts. For instance, if a business currently operates 8 hours and decides to move to 16 hours—that’s two shifts—they may receive a 25 percent reduction in certain charges. And if a business operates for 24 hours, which is three shifts, they could enjoy up to a 50 percent reduction. Unfortunately, I did not hear this officially mentioned during the programme,” he revealed.
Nyamekye further called on the government to enhance competitiveness within Ghana’s business environment, emphasizing that such efforts are essential for the successful implementation of the 24-Hour Economy policy.
“A lot of work needs to be done. Government must make production in Ghana more competitive compared to our neighboring countries. We are currently not competitive. I used to export to Mali, for instance, but now my goods are too expensive, and I’m unable to continue. This is happening even though the cedi may be appreciating,” he stated.
He added, “The cost of doing business in Ghana is extremely high. Energy costs in particular are higher than those of our neighboring countries. Government must look at this holistically—especially how we clear goods, the duties, taxes, and more. If the government wants this policy to succeed, they must be clear and deliberate about their support.”
He also expressed concerns about the unavailability of foreign exchange in local banks particularly dollars, despite the recent appreciation and stability of the Ghanaian Cedi.
