By Ernest Bako WUBONTO
The Export-Import Bank (EXIM Bank) is set to raise as much as $200 million from financial markets as part of a significant initiative to secure current investments and boost industrial development.
The proposed capital increase aims to secure the achievements from 2025 by reviving stalled initiatives, finishing those that have started, and protecting companies from possible losses, during a period when obtaining long-term, cost-effective funding continues to be one of the economy’s most significant challenges.
The Minister of Trade, Agribusiness, and Industry, Elizabeth Ofosu-Adjare, revealed the initiative during the Government Accountability Series, referring to it as a strategic approach to address ongoing funding shortfalls in trade and industry.
“To boost its ability to finance projects, the Ghana EXIM Bank is looking into ways to secure up to $200 million from financial markets. The funds will be utilized to finish ongoing projects and safeguard current investments, thereby reducing possible losses,” she stated.
Building on 2025 gains
As stated by the minister, EXIM Bank allocated GH₵304 million in 2025 through its Credit Creation Policy, designed to enhance credit quality and assist businesses, especially micro, small, and medium-sized enterprises (MSMEs), in increasing their production capabilities.
She mentioned that the investments are already yielding outcomes, with loan repayments in 2025 expected to amount to GH₵107 million, reflecting enhanced loan performance.
Nevertheless, efforts to recover older or problematic loans are ongoing, with certain cases currently in court and others being handled by security agencies.
The suggested US$200 million funding is not solely focused on growth, but also on managing risks—ensuring that previous investments are not wasted and that stalled initiatives can be revived.
Export growth ambition
The minister stated that EXIM Bank’s improved financial status is anticipated to boost growth in non-traditional exports, as the government aims to raise export revenues from $3.5 billion to $10 billion by 2030.
This goal demonstrates a wider approach aimed at decreasing dependence on conventional exports by promoting agricultural processing, light industry, and high-value production for both local and international markets.
Industrial competitiveness
In addition to funding, the ministry is implementing actions aimed at enhancing the competitiveness and long-term viability of local businesses.
Important steps involve acquiring 40,000 acres in Yeji for extensive contract farming, designed to ensure a reliable supply of raw materials for agro-industries, along with government approval to limit the export of non-ferrous scrap metal, maintaining a consistent supply for local manufacturers.
These actions aim to address a persistent issue in the industry: inconsistent availability of cost-effective raw materials.
Jobs and rapid industrialisation
Mrs. Ofosu-Adjare mentioned that the government’s swift industrialization and employment program emphasizes enhancing value, revitalizing closed factories, and setting up key industries to generate jobs and stimulate economic growth.
Numerous significant policies have been developed under this initiative, such as the Textiles and Garments Manufacturing Policy, Pharmaceuticals Manufacturing Policy, Special Economic Zones Policy, Automotive Components Manufacturing Policy, and an updated Ghana Automotive Development Policy that now incorporates electric vehicles (EVs) along with two- and three-wheeled vehicles.
As part of the initiative in electric vehicle production, the government has entered into a memorandum of understanding with Shenzhen New Gecko from China to establish an electric vehicle assembly facility, and is currently negotiating with Chery International for a second plant.
Regarding clothing alone, the minister stated that the initiatives might generate approximately 2,700 jobs in the near to intermediate period.
Outlook
The planned US$200 million capital injection establishes EXIM Bank as a key component of Ghana’s industrial plan — not only as a financier, but also as a supporter of current investments and an enabler of future ones.
If carried out effectively, it may alleviate one of the major challenges confronting industry: availability of long-term funding, while supporting the government’s efforts to develop a more varied, export-focused, and employment-generating economy.
Provided by SyndiGate Media Inc.Syndigate.info).
