The boss of a non-bank financial institution said investors would not take the country as a hospitable place for investment should industrial players and the government continue to create unfavorable business environment.
�The country is in the midst of economic crisis, the least expected is industrial disputes,� Mr Kenneth Kwamina Thompson, the Chief Executive Officer of Dalex Finance, told the GNA in an interview in Accra on Monday.
The Dalex boss said the much needed foreign investment would no longer be forthcoming, while domestic investment too would be discouraged.
�A capital out flow is most likely. Already there are significant capital outflows; the country's rating is likely to be downgraded and foreign investors would be dissuaded from investing here,� Mr Thompson stated.
Mr Thompson, therefore, called for new approaches by all stakeholders in dealing with disputes and appealed to the government to engage regularly with the private sector and industrial stakeholders to fix the economy.
�Sharp erosion of investor confidence, heightened-risk aversion, and growing concern about the strength and durability of the country�s recovery and the pace and quality of corporate earnings have repercussions in all of the major equity, credit, and foreign ex-change markets,� he said.
He said once business confidence is eroded it is difficult to regain as investors require a certainty that their investments are secure and they could also make profits.
Mr Thompson said an important prerequisite for investment was the certainty of economic policies.
He explained that business confidence was influenced by political and economic stability, certainty inand predictability of economic policies while specific economic policies such as tax and other incentives, labour regulations, work ethics, social and economic infrastructure and costs of production are also important considerations.
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