In this edition of our newsletter, we highlight the fintech industry and taxation in the petroleum industry.

Ghana's economy is undergoing significant shifts, with the fintech industry emerging as a dynamic growth engine andpetroleum taxation experiencing notable reforms.

The fintech sector in Ghana is experiencing a "golden era," driven by ambitious government policies, increasing mobile penetration, and a strong push for financial inclusion. Recent reports highlight a 26% increase in tech funding, placing Ghana among Africa's top five venture capital growth markets. Initiatives like the proposed $300 million fintech fund and the focus on digital innovation, are set to further accelerate this growth. Mobile money remains a dominant force, with 73% of users engaging weekly, showcasing the widespread adoption of digital financial services. While challenges like financial illiteracy and regulatory bottlenecks exist, optimism is high for Ghanaian fintechs to achieve significant valuations and economic impact.

Concurrently, Ghana's oil and gas taxation landscape has seen recent legislative changes. The government has approved significant tax and fiscal reforms, aimed at enhancing revenue efficiency and easing financial burdens. For the petroleum industry, the Petroleum Revenue Management Regulations, 2019 (L.I. 2381) outline specifics on royalties, surface rentals, and petroleum income tax, emphasizing self-assessment and direct transfers to the Petroleum Holding Fund. Discussions around ensuring fair contributions from resource extraction continue, with an eye on channeling oil revenue into critical infrastructure projects under "The Big Push" policy.

These developments underscore Ghana's commitment to diversifying its economy and establishing a robust financial ecosystem, while continuously refining its approach to managing natural resource revenues.