Lali X Lola Urge Government to Fast-Track Bilateral Tax Treaties to Recover Withheld International Royalties and Boost Ghana’s Creative Economy

November 17, 2025 4

Ghanaian creative duo Lali X Lola have issued a strong call to the Minister of Finance, Hon. Dr. Cassiel Ato Forson, urging the government to implement structural reforms that will enable the recovery of millions in withheld international royalties owed to Ghanaian creatives.

Their appeal follows the Minister’s recent announcement of the Creative Arts Fund, seeded with GH¢20 million in the 2026 National Budget—an initiative they have welcomed but believe is only a fraction of what is required to transform Ghana’s creative sector into a globally competitive industry.

GH¢20 Million: A Start, But Not Enough

In their statement, Lali X Lola commend the Ministry of Finance for recognizing the creative arts as a vital pillar of Ghana’s economic future. However, they emphasize that the GH¢20 million allocation is insufficient to address the decades-long challenges hampering the growth of the sector.

Ghana’s creative ecosystem—covering music, film, digital arts, fashion, gaming, culinary arts, and cultural IP—has suffered from:

Underinvestment
Weak copyright enforcement
Limited export support
Poor royalty repatriation
Informal industry structures
Piracy
Lack of modern distribution and monitoring systems

According to the duo, meaningfully elevating the sector will require robust investment in IP protection, digital tracking systems, skills development, export support, industry financing, global partnerships, and effective royalty collection mechanisms.

The Bigger Opportunity: Recovering Withheld International Royalties

The artists highlight a major untapped source of revenue currently slipping through Ghana’s fingers—withheld royalties deducted abroad due to the absence of bilateral tax treaties.

Ghanaian creators lose 10% to 30% of their international royalties in withholding taxes in countries where Ghana has no tax agreement. These funds are:

Automatically deducted
Inaccessible to Ghanaian artists
Lost permanently to the Ghanaian economy
Spread across music, film, publishing, streaming, and digital performance royalties

When aggregated across years and across all creative fields, these losses far exceed the GH¢20 million budget allocation and could become one of the largest and most sustainable foreign exchange inflows for Ghana’s creative economy.

Key Recommendations from Lali X Lola

Lali X Lola are urging the government to pair the Creative Arts Fund with long-term structural reforms designed to unlock billions in future earnings. Their main recommendations include:

1. Negotiate Bilateral Tax Treaties with Major Creative Markets

They propose urgent engagement with countries such as:

United States
United Kingdom
France
Germany
Canada

These territories host major streaming platforms, publishers, and performance rights organizations. Securing treaties would allow Ghanaian creators to reclaim millions in withheld royalties annually—similar to models already used by South Africa, Morocco, and Egypt.

2. Establish a Creative Revenue Recovery Mechanism (CRRM)

They recommend creating a dedicated unit under the Creative Arts Fund responsible for:

Tracking historical withheld royalties
Working with foreign CMOs, DSPs, publishers, and rights agencies
Recovering and repatriating royalties
Ensuring transparent distribution
Enhancing welfare, insurance, and professional support for creatives

This mechanism, they argue, would multiply the impact of the initial GH¢20 million seed fund.

3. Develop a National Creative Earnings Data System

A centralized digital system would:

Improve planning and policy formulation
Provide accurate reporting for international platforms
Enhance transparency across the industry
Strengthen Ghana’s competitiveness in the global creative marketplace

Conclusion: A Transformative Opportunity for Ghana

Lali X Lola reaffirm their appreciation for the government’s commitment to the creative arts. They maintain that while the GH¢20 million Creative Arts Fund is a historic first step, recovering withheld royalties represents a far more sustainable and transformative solution that can unlock long-term financing for the sector.

They have expressed readiness to collaborate with the Ministry of Finance, provide research insights, and support stakeholder engagements to help Ghana maximize this opportunity.