Ghana to End Foreign Cocoa Financing by 2030 – Prez. Mahama

By Praisebell Rosemond Larbi

President John Mahama has unveiled bold economic reforms aimed at strengthening Ghana’s sovereignty over its key commodities, announcing plans to end foreign financing of cocoa purchases and to halt the export of raw mineral ores by 2030. The declarations were made at the closing of the high-level side event, “Accra Reset’s Addis Reckoning,” held on the sidelines of the 39th African Union Assembly of Heads of State and Government in Addis Ababa, Ethiopia.

President Mahama outlined that under the current foreign financing model, Ghana’s cocoa sector has long been constrained. Loans used to purchase cocoa from farmers require the beans themselves as collateral. This arrangement not only exposes the country to market and currency risks but also restricts domestic processing, despite the nation’s capacity to process 400,000 tonnes locally.

“One of the key decisions we’ve made is to stop accepting foreign funding for the purchase of our cocoa. We will raise domestic bonds. We have enough Cedis in Ghana to pay for our cocoa,” he said, stressing that the new approach would allow direct purchases from farmers in local currency, freeing up cocoa for local processing, creating jobs, and capturing more value within the economy.

President Mahama provided context on the structural vulnerabilities the sector faces. He noted that fluctuations in international cocoa prices from $7,200 per tonne down to $4,200, combined with cedi appreciation, had previously caused significant losses under the foreign financing scheme. The new domestic bond framework, he said, would eliminate such dependency and align revenue flows with local economic objectives.

In addition to cocoa, the President set a firm deadline of 2030 to end the export of unprocessed minerals. “You’re not going to ship raw manganese ore, bauxite, or iron ore out of Ghana. You must process all that locally,” he declared. These measures are part of the broader Accra Reset philosophy, a continental initiative aimed at enhancing industrialisation, resource sovereignty, and economic self-determination.

Mahama tied these reforms to broader societal goals, highlighting the need to provide opportunities for Africa’s youthful population and curb dangerous migration trends. “Our young people are less patient than our generation. They want to see progress and prosperity today,” he said, adding that implementing these measures urgently could prevent young Africans from risking perilous journeys across the Sahara and Mediterranean.

The President emphasised swift execution over protracted consensus-building. “If parts of the continent are not ready, let’s form a coalition of the willing to move this as quickly as possible. And let all the others follow and join,” he urged, signalling Ghana’s readiness to lead by example.

The Accra Reset initiative seeks to restructure Africa’s economic engagement with the world, focusing on value addition, industrialisation, and resource-based sovereignty. Ghana’s announcements in Addis Ababa underline the country’s commitment to translating policy into actionable steps, with potential lessons for other African nations.

“From Addis, we must stop talking and start implementing,” President Mahama concluded, calling the gathering the “Addis reckoning.” This strategic shift positions Ghana at the forefront of Africa’s pursuit of economic self-reliance, with a clear roadmap to enhance domestic processing, generate employment, and retain greater value from its natural resources.