Industry

Extreme Makeover: Industrial Edition

One District, One Factory

Balancing the need for extensive financing and long-term commitment will not be an easy task; however, the prospects of reshaping the agricultural and manufacturing industries has so far convinced foreign […]

Balancing the need for extensive financing and long-term commitment will not be an easy task; however, the prospects of reshaping the agricultural and manufacturing industries has so far convinced foreign and local investors to buy into the country’s industrial makeover program. With a steady budget deficit reduction and falling inflation, Ghana is aiming to switch the trend and to move, autonomously, from an import-based economy to a value-added, production-based one. Despite IMF recommendations to remain with the Extended Credit Facility program, President Nana Akufo-Addo asserted, “It is time for Ghana and African countries take over their own responsibilities.“

To fulfill this Herculean task, Ghana developed an ambitious, thoroughly-structured economic plan that calls for a sustainable increased role of the private sector: the One District, One Factory plan. This heavy industrialization program has since become the signature policy of the newly-elected New Patriotic Party cabinet, as it seeks to become the mainstay of Ghana’s economic growth for the mid- to long-term. As a matter of fact, the One District, One Policy program proposes to give to each of the 216 districts across the country a factory within the first four years of the administration’s mandate. In this regard, the government has recently announced the approval of the Asempa Budget for the first 51 districts that will receive a factory. The Ekumfi Fruit Processing Factory will be the first factory to benefit from the USD2-billion Chinese Exim bank loan granted under this plan.

As mentioned by the CEO of Ghana Investment Promotion Center, Yofi Grant, the One District, One Factory program represents an ideal PPP opportunity. As proof of serious intent, only players who meet specifically outlined criteria will be allowed to take a stake in the program. Thus, projects have the capacity to replace an imported product, the potential to generate significant levels of employment in the district, and an investment size ranging between USD1 million and USD5 million. If there is a way to gain economic independence, the One District, One Factory plan is certainly a step in the right direction.

You may also be interested in...

Ghana,National,Flag,Cloth,Fabric,Waving,On,Beautiful,Sky.

Diplomacy

Neither Victim nor Pawn

60 Years of Independence

View More
Accra,,Ghana,-,November,11,,2014:,The,Independence,Arch,Of

Economy

Back on Track

Diversification

View More
Ghanaian,Money,-,Cedi,In,The,Black,Wallet

Finance

Timely Decision

Capital Requirements

View More
09f04421-d1a5-4dc5-abe5-510b3b2b50bb

Telecoms & IT

Ahead of the Curve

Leapfrogging in ICT

View More
Green Tide

Energy & Mining

Green Tide

green economy

View More
Frenemies

Energy & Mining

Frenemies

TEN Field Project

View More
Pump It Up

Energy & Mining

Pump It Up

View More
Suburban Buffer

Real Estate & Construction

Suburban Buffer

Middle-Class Suburbanization

View More
View All Articles