The Minister for Trade, Agribusiness and Industry, Elizabeth Ofosu-Adjare, has urged caution in calls to remove foreign retailers from Ghana’s retail space, stating that enforcement of existing laws remains challenging when Ghanaians act as fronts for foreign businesses.
Speaking at the Government Accountability Series in Accra on Wednesday, the minister said public perceptions that foreigners dominate Ghana’s retail market are often exaggerated and not supported by everyday realities.
“Without any scientific basis, I can say that foreigners are not responsible for 70 percent of our retail market. You don’t need rocket science—just go to the market and see who is actually manning the shops,” she stated.
Fronting Undermines Enforcement
Madam Ofosu-Adjare acknowledged that some foreign nationals are involved in retail trading, a sector reserved largely for Ghanaians under existing laws. However, she explained that many of these operations are registered in Ghanaian names and run by local representatives, making enforcement legally and practically difficult.
“Even where foreigners are in the retail space, they are often being fronted by local people. You enter the shop and see a Ghanaian there,” she said.
According to the minister, this practice extends to official documentation, including business registration records at the Registrar-General’s Authority, where ownership details typically reflect Ghanaian identities.
“On what basis do you close the shop when it is registered in a Ghanaian name and managed by a Ghanaian?” she questioned.
Call for Local Responsibility
The trade minister stressed that addressing foreign participation in restricted sectors requires cooperation from Ghanaians themselves, particularly business owners who knowingly facilitate such arrangements.
“If Ghanaians truly don’t want foreigners in the retail space, we can identify them and remove them. But as long as we front for them and register businesses for them, there is very little the state can do,” she added.
Background
Ghana’s retail trade laws are designed to protect local entrepreneurs by limiting foreign participation in certain categories of commerce. However, the practice of “fronting”—where locals register and manage businesses on behalf of foreigners—has long been cited as a major obstacle to effective enforcement.
Madam Ofosu-Adjare’s remarks highlight the need for stronger collaboration between regulators and citizens to ensure compliance with the law and safeguard opportunities for Ghanaian traders.
Source: Africa Publicity
