As concerns grow over frequent travels, economist recommends digitalization for GIPC

To improve its investment promotion strategies and justify travel expenditures, a US-based Ghanaian Economist, Samuel Ofosu Larbi says that the Ghana Investment Promotion Centre (GIPC) could consider embracing digital revolution.

For years, the government agency has been under scrutiny for its extensive international travel expenses, often struggling to justify the return on investment. But now, in a bold move that can turn heads in the global investment community, the economist suggested that the GIPC should consider pivoting to a digital-first strategy that promises to redefine how nations attract foreign capital.

A tip from a source hinted that a major overhaul in GIPC’s operations could be the way forward.

“We should go virtual in our travels instead of travelling in expensive flights, lodging in the most expensive hotels and taking fat per diem,” the source said, “and it’s not just because of budget cuts. I believe this is the future of investment promotion.”

Intrigued with these concerns, we delved deeper and what we uncovered was a comprehensive plan that could serve as a blueprint for investment agencies worldwide.

At the core of GIPC’s new strategy should be virtual investment forums. Gone are the days of expensive junkets to far-flung destinations. Instead, the Centre can invest in cutting-edge virtual event platforms that can host thousands of potential investors simultaneously.

“We will not just be replicating physical events online,” explains a top management member of GIPC who asked for anonymity. “We need to reimagine the entire investor engagement process. With virtual reality tours of our industrial parks and AI-powered matchmaking between investors and local partners, we will be offering experiences that aren’t possible before.”

According to the source, the numbers will be telling a compelling story, saying that when put into force, the first quarter after implementing the new strategy, GIPC could engage with 300% more potential investors compared to previous years, while reducing travel expenses by about 80%.

“But it is not just about cost-cutting. The Centre can leverage technology to showcase Ghana’s burgeoning tech scene. During a virtual forum, attendees can be wowed by a live demonstration of blockchain technology being used to streamline land registry processes – a key concern for many foreign investors. It’s like Ghana has suddenly leapfrogged into the future,” remarked the source.

The virtual strategy would equally allow GIPC to tap into previously unreached markets. A series of sector-specific webinars can attract niche investors from as far afield as Estonia and New Zealand – countries that were never on GIPC’s radar for physical roadshows due to budget constraints.

However, challenges remain. Some staff members, accustomed to the old way of doing things, would definitely struggle to adapt but the GIPC can respond by implementing a rigorous digital upskilling programme. “We’re not just changing our tools,” says another staff. “We’re changing our entire organizational culture.”

Critics argue that nothing can replace the handshake and personal connection of face-to-face meetings. The GIPC can respond by ensuring a hybrid model that uses virtual engagements to identify serious investors, followed by targeted, high-impact in-person visits.

As we concluded our investigation, it became clear that GIPC’s digital transformation would be more than just a cost-saving measure. It will be a strategic repositioning of Ghana as a modern, tech-savvy investment destination.

The true test will be whether these virtual connections would translate into real-world investments. But with early indicators showing promise, and other African nations already reaching out to learn from Ghana’s example, it seems the future of investment promotion may well be digital.

In the ever-competitive world of foreign direct investment, Ghana would be betting big on bits and bytes. And if GIPC’s bold experiment pays off, it could rewrite the playbook for how developing nations attract global capital in the 21st century.

The ripple effect

GIPC’s shift towards digital strategies would cause waves beyond Ghana’s borders. Other African nations are taking note, with delegations from Kenya, Rwanda, and Côte d’Ivoire to schedule visits to study Ghana’s new model. This could potentially trigger a continent-wide shift in how African countries approach investment promotion.

“We will be seeing a domino effect,” says Dr. Kojo Asamoah-Mensah, a governance expert. “If Ghana succeeds, it could lead to a pan-African digital investment promotion network, allowing smaller economies to pool resources and present a united front to global investors.”

Despite the early success that GIPC could chalk, digital pivot won’t be without its critics. Some argue that the lack of face-to-face interaction could lead to missed opportunities, particularly in cultures where personal relationships are crucial to business dealings.

“There would be a risk of losing the human touch,” warns Chief Kofi Amanor II, a traditional leader and business consultant. “In Ghana, trust is built through personal connections. Can a virtual platform truly replicate that?”

Moreover, concerns about digital infrastructure and internet reliability in some parts of Ghana have raised questions about the inclusivity of this approach. GIPC needs to respond by partnering with telecom companies to set up high-speed internet hubs in key locations across the country, but critics argue this doesn’t go far enough.

By Innocent Samuel Appiah

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