President Mahama Advocates Industrial Expansion for Kwahu Firms as COCOBOD Struggles with GH¢3.4bn Debt

Yesterday•3 min read•12 sources

President John Dramani Mahama has issued a strong call to indigenous entrepreneurs, particularly the Kwahu business community, to transition from commerce into manufacturing and agro-processing to drive Ghana's economic growth. During a series of engagements with the Kwahu Business Forum Advocacy Association, the President emphasized that the private sector must lead the nation’s industrialization efforts. He highlighted the government's commitment to creating an enabling environment through the 24-Hour Economy Initiative and the Accelerated Export Development Programme. To support these ambitions, infrastructure projects like the new Afram River bridge at Ekye Amanfrom are being fast-tracked to unlock the agricultural potential of the Afram Plains, specifically in cashew, rice, and palm oil production.

However, these industrial aspirations face significant financial headwinds as the Ghana Cocoa Board (COCOBOD) continues to struggle with its debt obligations. COCOBOD missed its June target to clear over GH¢6 billion in arrears owed to cocoa farmers and Licensed Buying Companies (LBCs), leaving approximately GH¢3.4 billion still outstanding. Despite previous assurances from the Board's public affairs department that the debt would be largely resolved, the shortfall raises concerns about the liquidity of the cocoa sector and its impact on rural livelihoods. The President has acknowledged these challenges, promising tax reforms and energy logistics improvements to reduce the overall cost of doing business in the country.

Simultaneously, regulatory bodies are tightening oversight to enhance professional standards across key industries. The Ghana Tourism Authority (GTA) has initiated stakeholder consultations on new mandatory licensing and registration for multi-purpose establishments, including banquet halls and event planners. This move is accompanied by the launch of the Ghana Tourism Information System (GTIS), a digital platform designed to streamline administration and improve transparency for investors. Meanwhile, in Kumasi, the Metropolitan Assembly (KMA) has ordered the temporary closure of shops and corporate offices in the Central Business District this Friday and Saturday for a national clean-up exercise, prioritizing community health and sanitation despite the brief cessation of commercial activity.

On the corporate and personal finance front, the business community has been stirred by reports regarding the late Apostle Kwadwo Safo Kantanka’s estate. Allegations surrounding a leaked will suggest the industrialist bequeathed 50% of his company shares to his domestic staff as a gesture of gratitude. In the international finance and sports business arena, Manchester United is exploring a £2 billion stadium redevelopment project, while Lloyds Banking Group CEO Charlie Nunn has advised individuals to automate savings and build emergency funds to navigate global economic volatility. Together, these developments reflect a Ghanaian business landscape caught between aggressive industrial expansion and the urgent need for fiscal discipline and regulatory modernization.

This story touches markets covered on Anansi Intelligence ↗.

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President Mahama Advocates Industrial Expansion for Kwahu Firms as COCOBOD Struggles with GH¢3.4bn Debt

More from business

Ghanaian Economy Navigates 4.7% Growth Amid Rising Lending Rates and Global Market Volatility

Ghana Intensifies Revenue Mobilization as GRA Targets Tax Defaulters and Government Expands Strategic Trade Ties with Germany and Egypt

Ghana Scales Digital Economy with New 5G Bids, MSME Finance Solutions, and Expert Warnings Against 'Tax Traps'

Ghana’s Banking Sector Evolves: DBG Launches Women’s Lending Initiative as Experts Call for New Strategies in Low-Interest Era