Hotels and Tourism Sites in Ashanti Region of Ghana Face Closure Due to Non-Compliance of New Tourism Regulations

Published on July 28, 2025

In a massive exercise to enforce tourism laws and regulations, the Ghana Tourism Authority (GTA) has announced the closure of more than 200 hotels, drinking spots and tourist facilities in the Ashanti Region. The decision is made as these businesses do not qualify under registration and licensure stipulations. The affected firms have been served with a 14-day ultimatum to regularise their status by registering with the GTA.

Enforcement will follow if they don’t abide by this, and they’ll be shut down. The move comes in the context of several initiatives implemented by the GTA to bring the sector within the regulatory framework, with the aim to make sure that all tourism enterprises operate within the legal standard and as well ensure the safety and quality for both local and international visitors.

The Importance of Proper Registration and Licensing

The Ghana Tourism Authority, which is tasked with overseeing the development and regulation of tourism in Ghana, has underscored the importance of proper registration and adherence to licensing requirements. The body stresses that unlicensed establishments pose risks not only to the integrity of the tourism sector but also to the safety of tourists and the quality of services provided. The GTA’s regulations are designed to create a controlled environment where both visitors and operators can thrive safely and efficiently.

The crackdown in Ashanti Region specifically targets a wide range of businesses, including bars, guesthouses, tourist attractions, and hotels, all of which are integral parts of the local tourism industry. Many of these establishments have reportedly been operating without the necessary credentials, which can severely undermine the region’s reputation as a tourist destination. By enforcing these rules, the GTA aims to protect both the customers and the businesses that comply with regulations.

A Nationwide Effort to Standardize the Sector

This action in the Ashanti Region is not an isolated event but part of a broader initiative by the Ghana Tourism Authority to improve and standardize the tourism sector across the country. The GTA has previously shut down several unlicensed tourist facilities, including those in Kumasi, which is one of the key tourist hubs in the region. The ongoing regulatory efforts signal a long-term strategy to maintain high industry standards.

In the past, the authority has faced significant challenges in monitoring and regulating the large number of informal tourism businesses. However, this latest action in Ashanti aims to correct these lapses and send a strong message to other operators across the nation. The GTA’s approach includes not only shutting down unregistered businesses but also educating them on the importance of licensing, proper standards, and how they can go about meeting the required criteria.

Impact on the Local Economy

The tourism industry is a vital contributor to the local economy in the Ashanti Region, with many businesses relying heavily on tourism-related income. Hotels, lodges, restaurants, and various tourist attractions form the backbone of this economic sector. However, the existence of unlicensed and unregulated businesses can harm the region’s tourism appeal, leading to a loss of consumer confidence.

In response to the looming closures, many of the affected businesses are working closely with the Ghana Tourism Authority to resolve their registration issues. There is an understanding among many operators that the long-term benefits of compliance far outweigh the short-term disruptions. By aligning with the regulatory framework, these businesses will ultimately benefit from improved credibility and visibility within the formal tourism sector.

Moreover, ensuring that tourism operations are properly registered and licensed will enable the region to better tap into international tourism markets. Travelers are increasingly seeking destinations that prioritize safety, professionalism, and quality. By enhancing these aspects, the Ashanti Region stands to strengthen its position as a prime destination in Ghana, attracting more visitors and increasing revenue.

The Role of the Ghana Tourism Authority

The Ghana Tourism Authority plays a crucial role in shaping the future of the country’s tourism industry. It is responsible for ensuring that the sector operates smoothly, benefits the local community, and meets international standards. The GTA has consistently worked toward modernizing tourism operations in Ghana, making sure that every facility is properly vetted, and that the country is known for its rich cultural heritage, historic sites, and world-class hospitality.

The GTA’s emphasis on compliance with registration requirements is also part of a wider strategy to make Ghana a preferred destination for both leisure and business tourism. With the global tourism industry becoming more competitive, it is essential for Ghana to ensure that all its tourism businesses are professionally run and meet international standards. This helps build trust and ensures a safe, memorable experience for tourists, which, in turn, fosters growth in the sector.

What’s Next for the Affected Businesses?

The 14-day ultimatum issued by the GTA serves as a final reminder to all tourism businesses in the Ashanti Region that they must comply with registration requirements. Those that fail to meet the criteria within this period will face forced closure, a move that will no doubt have significant consequences on the affected businesses. The GTA has reiterated that there will be no extensions to this deadline, and it is up to the operators to resolve the situation.

While the closures will have an immediate financial impact on businesses, the broader picture is one of long-term industry health. For the tourism sector to grow and become more competitive on the global stage, these regulatory measures are essential. In the end, the actions taken by the Ghana Tourism Authority are expected to have a positive impact on the region’s tourism industry, improving standards and attracting more visitors in the future.

Conclusion

The closure directive by the Ghana Tourism Authority of more than 200 tourism firms in the Ashanti Region is a significant move towards the professionalization and regulation of the tourism sector. Though resulting outcomes will pose a short-term hit to some businesses, these measures are to safeguard the future of the tourism industry in Ghana. By complying with what the GTA is asking for, businesses will play a role in creating a safer, more regulated, business oriented international tourism product in the country.