President John Mahama has proclaimed that the Ghanaian cedi is the strongest-performing currency globally this year, as he encouraged Japanese companies to explore emerging investment prospects in Ghana.
Addressing the Ghana Presidential Investment Forum held alongside the 9th Tokyo International Conference on African Development (TICAD IX) on Wednesday, Mahama said Ghana has regained macroeconomic stability and boosted investor trust.
“For those of you who know the history of the Ghanaian cedi, it’s been one of the most volatile currencies in Africa, and a few years back, we were said to be the worst-performing currency.
“I’m happy to announce that this year, the Ghana cedi has been the best-performing currency in the world,” he stated.
He cited declining inflation, recent upgrades in Ghana’s sovereign credit rating, and comprehensive reforms aimed at reducing business costs as clear indicators of the country’s economic recovery.
“Inflation rose to a high of almost 23% in 2024 and it’s currently down to 13.7% and we expect that by the end of the year to hit single digit.
“And as Simon said, we’ve been upgraded from junk status to B minus with a stable outlook, and I’m certain that in the next review, we’re going to be upgraded again,” he said.
Mahama presented Ghana as a secure, democratic, and investment-friendly destination in West Africa, emphasizing its role as the headquarters of the African Continental Free Trade Area (AfCFTA).
“So far, almost 50 African countries have signed agreements that allow us to export duty-free, tariff-free into each other’s markets. And once you register your product and it meets all the standards, you can export duty-free and tariff-free into each other’s markets,” he explained.
He noted that Japanese investors could tap into a potential continental market of 1.4 billion people.
The president spotlighted recent legislative changes designed to attract more international investment, including revisions to the Ghana Investment Promotion Centre Act.
“Some barriers were put to foreign investment. You had to prove that you had brought in a certain amount of money to be classified as a foreign investor. In the reviewed Ghana Investment Promotion Centre Act, we are removing those minimal capital investments.
“This will enable any investor, however little money you have, $100,000 or $50,000, to be able to come in and set up a business in Ghana,” he announced.
Mahama also emphasized opportunities in key sectors such as vehicle assembly, agriculture, energy, and industrial production.
“Japan has a comparative advantage when it comes to automobile manufacturing. Using the opportunity to be able to export into not only our sub-region, but also into Africa, Ghana becomes a good place for the local assembly of automotive products.
“Already, we have Japanese companies that are based in Ghana and assembling for the local market and also for exporting to the sub-region,” he noted.
Regarding agriculture, he shared plans for the Volta Economic Corridor, which would utilize the Volta Lake to irrigate large tracts of land and host agro-industrial zones.
“We have millions of hectares of land that border that huge lake, and the water can be used to bring about 2 million hectares of land under irrigation.
“But also we intend to establish industrial parks, so that we can process agri products. We can invest in textile manufacture for export into the EU markets, into the American market and other places,” he said.
Mahama also highlighted Ghana’s energy resources, port facilities, and expanding digital sector as further incentives for Japanese firms.
“We also have an important area, which is the digital economy and skills. Ghana has a very young population, English-speaking, and they’re very smart, and quick to upskill in any areas, robotics, AI, fintechs. The FinTech sector is one of the fastest growing in Ghana than in any other African country,” he told investors.
He wrapped up with a strong appeal for deeper collaboration between Ghana and Japan.
“Africa is the next frontier for investment. Most parts of the world are saturated when it comes to investment. Africa is opening up, growing, and is a place that Japan should be looking at.
“And so let us marry Japanese position with Ghanaian potential and create a win-win situation for ourselves,” Mahama said.
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