Ghana is an emerging economy. The country is prospering with a recently reevaluated currency, and expects to achieve a middle-income status by 2015. Prospects could not be brighter for potential investors. However, Ghana's laws and bureaucracy have not kept up with its quickly growing economy. If you plan on purchasing land or property in Ghana as a foreign investor, it is highly recommended that you utilize the services of a local lawyer experienced with land issues.



Despite the recently launched Land Administration Project (LAP) this year, there are hundreds, if not thousands, of open land claim cases in Ghana. Discrepancies over land title registration is a regular problem and there are often multiple landowners with claims to a parcel. Not only should you work with a trusted local representative, but you should also obtain independent third-party confirmation that there are no outstanding claims on the property you plan to purchase.

There are two other important reasons for investing in local knowledge when it comes to real estate - procedural and cultural awareness. Building permit procedures can be difficult to navigate, especially for an outsider. Another consideration is whether or not the lands are Stool lands - this is land that traditionally belongs to a particular tribe or chief. Essentially, it belongs to the Stool or throne. Having a local advisor can be a major advantage when it comes to negotiations and cultural customs.

Despite these apparent deterrents to investment, the government of Ghana is taking the issue of land registry very seriously. A street naming project has been launched in the past year, along with the first Ghana Land Information Bank Directory - a project intended to register almost 120,000 hectares of land, therefore making it available not only for investment, but also reducing litigation claims. The government is also continuing to work closely with traditional Chiefs, who are custodians of approximately 80 percent of the land being surveyed.

Prices are going up in the capital, Accra, and so are land values. Rents are increasing rapidly, and so are incomes. That said, if you're planning on building housing developments, keep in mind that while the economy and urban class salaries are growing, the financial sector's mortgage system is not. You may want to consider financing availability before embarking on a major development.

There may be challenges, but they are being addressed by the Ghanaian government. With a market already bursting at the seams, it's sure to explode once the constraints of bureaucracy and an old system have been cut away.