The 40% Rule – How Company Ownership Affects Land Rights in Ghana in 2026
Happy New Year family!! Are you planning to start a business or invest in Ghana in 2026? Did you know the Land Act 2020 treats companies with more than 40% foreign ownership as non-citizens? (Section 10(10))
This means if you set up a company in Ghana but keep foreign shareholding above 40%, that company will be limited to the same 50-year leasehold as any foreigner.
But here’s the good news: if you structure your company so that 60% or more is Ghanaian-owned, it can qualify as a “citizen company.” That company can then hold land interests beyond the 50-year limit.
Why it matters: Many diaspora investors pool funds with Ghanaian partners or family members. Structuring the company properly can give you access to stronger land rights.
Takeaway: The way you set up your company in Ghana can open or close doors. Get legal advice before registering your property.
Yaba