Ghana should consider formulating laws that will force new companies coming into the country to ensure significant local participation.

This is the view of former president, John Agyekum Kufuor.

He says the state should discuss and come up with new legislation that will adjust upwards, the equity holding of locals in existing foreign-controlled businesses in the country.

Kufuor made the remark in reaction to comments by famed businessman and statesman, Sir Sam Jonah, at a public lecture with Rotarians in Accra last week.

Sam Jonah indicated that there is a need for the economy to be restructured to allow for more local ownership of businesses.

“No country has attained the height of development unless the major drivers of the economy are owned and controlled largely by the citizenry…Take a look at the major drivers of the Ghanaian economy in the financial sector, the mining sector, construction of major projects, telecommunications, oil and gas, insurance etc. These are often predominantly foreign-owned, and Ghanaians own little in these sectors,” he remarked.

According to former President Kufuor, assessing the views of Sir Sam Jonah in a phased approach shows that Ghana today, unlike many years ago, is not in the position to restructure its partnerships in a way that will prove beneficial for locals as well as foreign businesses.

“We’ve come to a point where we should accelerate the partnership concept, so it will be a win-win for us and the partnership that will come from outside,” he said in an exclusive interview with Citi News’ Bernard Avle.

“We are moving into times when, through well-considered legislation, a State Act, we may adjust the equity holding so that the local content will increase. But if it is a new company coming in right now, then Ghana should make the laws that will ensure that no foreign company comes in to take for instance our gold, our oil, and so on without due partnership of the locals. We have the sovereign authority to do this,” President Kufuor added.

He said the pre-independence period saw Ghana being disadvantaged in the area of business because it had very little power or say in how the ownership structure of companies should be but with the country being sovereign now, it can make laws to boost local content in foreign-owned companies.