Ghana and Morocco have exchanged instruments of ratification on the agreement to avoid double taxation and prevent tax evasion.
The agreement for the avoidance of double taxation and prevention of fiscal evasion was signed by King Mohammed VI of the Kingdom of Morocco and President Nana Addo Danquah Akufo-Addo in 2017 when King Mohammed visited Ghana to strengthen relations in the areas of trade, investment and agriculture for economic enhancement.
The ratification means that companies in Morocco would not be made to pay taxes in Morocco and in Ghana, likewise Ghanaian companies who want to invest in Morocco would also be exempted from paying double taxes in Ghana and Morocco.
At a brief ceremony in Accra yesterday[October 18, 2022], documents were signed by both parties to ratify the agreement.
The Deputy Minister of the Ministry of Foreign Affairs and Regional Integration, Kwaku Ampratwum-Sarpong, signed on behalf of Ghana, while the Moroccan Ambassador to Ghana, Imane Ouaadil, signed on behalf of Morocco.
Both parties reiterated the need to maintain good relations to improve the standard of living of their people.
Mr Ampratwum-Sarpong said the ratification demonstrated the commitment of both parties to deepen their relations.
“The ratification of the document goes to reinforce the importance of economic diplomacy. This means that a huge burden has been lifted off the trade, business and on the economic diplomacy field,” he said.
He said the ratification would also help to boost businesses between the two countries, expressing the commitment of political actors to play their part in ensuring the implementation of the agreement.
“We, as political actors, have a great responsibility to make sure that whatever is expressed in these instruments are respected and upheld to make sure that it actually works. When it works, it will be for the benefit of both countries,” he said.
He indicated that Ghana and Morocco had over the years shared good relations, noting that the ratification would help to grow businesses and improve trade between the two countries.
Do business together
Ms Ouaadil, for her part, said the exchange of the instrument of ratification of the convention to avoid double taxation was timely for the business sector.
She, therefore, encouraged business owners in both countries to do business together, particularly to help to achieve the objectives of the African Continental Free Trade Area.
“We need to encourage our people to do business together — intra African business — as it is a way to increase trade among Africans. That is why we are happy that the exchange of the instruments of ratification was bringing the agreement into force. It is a great day for our bilateral trade,” she said.