The Ghana Investment Promotion Centre (GIPC) has signaled a tougher stance on non-compliance with Technology Transfer Agreement (TTA) regulations, warning of impending sanctions against banks and businesses that fail to register such agreements with the Centre.
Technology Transfer Agreements are agreements between a company in Ghana (Transferee) and a company outside Ghana (Transferor) for the provision of services (not goods) by the Transferor to the Transferee for a duration of not less than 18 months.
The transferee is obliged to pay for these services by transferring fees to the Transferor. The services fall within these parameters:
Speaking at a stakeholder engagement in Accra, the Head of the Technology Transfer Agreement Unit at GIPC, Emmanuel Osei, underscored the Centre’s resolve to ensure strict adherence to regulatory requirements governing technology transfer arrangements between local companies and their foreign counterparts.
“Technically, if you don’t register the agreement with the GIPC, you cannot transfer fees under this agreement. And if you are found in a summary conviction against the company that flouts these laws, then the GIPC revokes your registration with the sector,” Osei cautioned.
He further stated that sanctions would not be limited to offending companies alone but would also extend to financial institutions that facilitate unapproved fee transfers.
“The bank that facilitates these kinds of transfers — the GIPC in collaboration with the Bank of Ghana (BoG) — will come out with a lot of punitive measures against banks who facilitate the transfers of these fees without recourse to a GIPC certificate or an opinion from GIPC negating that such agreement does not come within the contemplation of the law,” he added.
The stakeholder forum was convened to deepen awareness of the current TTA regulatory framework and compliance expectations. Organized by GIPC, the engagement brought together key actors from government, the financial sector, regulatory bodies, and private industry.
Technology Transfer Agreements are a critical component of foreign investment in Ghana, designed to ensure that intellectual property, know-how, and proprietary technologies are transferred legally and equitably between foreign entities and Ghanaian-incorporated companies.
Source:myjoyonline.com
