GHANA Law and Practice Contributed by: Victoria Bright and Justice Oteng, Addison Bright Sloane
mation) and IFRS S2 (Climate-related Disclosures). These require companies to disclose non-financial information, including environmental and social fac - tors, alongside financial reporting. 7.2 ESG Developments Ghana is undergoing significant transformation in environmental, social and governance (ESG) report - ing, driven by global sustainability trends and increas - ing regulatory oversight. There has been a notable rise in ESG compliance among listed companies, banks, mining firms and other regulated entities, supported by a mix of statutory frameworks and international standards. A key development is the enactment of the Environ - mental Protection Act, 2025 (Act 1124), which replac - es the 1994 regime and establishes an enhanced Environmental Protection Authority with broad powers over environmental and climate matters. The Act intro - duces mechanisms such as the Ghana Carbon Regis - try, eco-levies on electronic equipment, and dedicated funds for waste and pesticide management, while aligning Ghana with obligations under the Paris Agree - ment. Act 1124 mainly strengthens the Environmental (E) aspect of ESG, as it places strong emphasis on cli - mate change, pollution control, environmental trans - parency and sustainable resource management, while the Social and Governance aspects are addressed more indirectly through improved public access to information and regulatory oversight. There are currently no specific laws that directly regulate board oversight of artificial intelligence (AI) under Ghana’s legal framework, which is still evolv - ing. Boards, however, have obligations through gen - eral corporate governance and statutory duties to exercise care, oversight and risk management over all major business risks, including those arising from AI systems. The Securities and Exchange Commission Corpo - rate Governance Code for Listed Companies, 2020 requires the set-up of specific boards such as the 8. Artificial Intelligence 8.1 Board Oversight of AI
RISK committee, etc for the management of all poten - tial risks related to AI use or technology governance. The Data Protection Act, 2012 (Act 843) mandates that, since AI systems often rely on personal data, boards must ensure compliance with lawful process - ing, consent and security safeguards. Failure to do so exposes companies to sanctions by the Data Protec - tion Commission. Under the Cybersecurity Act, 2020 (Act 1038), obliga - tions exist for boards to oversee the protection of digi - tal infrastructure, which includes AI-driven systems. 8.2 AI Use-Related Risks Ghana does not yet have any AI-specific legislation. However, the assemblage of existing laws, regulatory guidelines, sector-specific frameworks and emerging policy instruments collectively govern AI use with the view to mitigate its associated risks. Ghana launched its National Artificial Intelligence Policy in 2023, making it one of the first sub-Saharan African countries to adopt a national AI policy. The policy establishes guiding principles for responsible AI development including fairness, transparency, accountability, safety and human-centricity. While not yet backed by primary legislation, it provides the foundational governance architecture against which regulators and courts may assess AI-related conduct. The bodies and functions responsible for AI strategy, risk management and assurance typically include the board of directors and specialised committees such as audit, risk or technological governance. Any per - son who is directly affected or impacted by the failure of a company and its directors or officers to perform their statutory duties may bring an action against the company or its directors and officers personally, or for any lawful remedy including damages for reputational injury. 8.3 Liability Exposures Arising From AI Use Directors and companies in Ghana face a broad spec - trum of liability arising from the use of AI across multi - ple legal regimes. Under the Companies Act, 2019 (Act 992), directors may be personally liable for breaches
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