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The Government of Ghana has signed a Memorandum of Understanding (MoU) with the Arab Bank for Economic Development in Africa (BADEA) to support the country’s 24-Hour Economy and Accelerated Export Development Programme. The agreement, which will see BADEA provide up to $500 million in funding, is aimed at modernising key sectors, enhancing competitiveness, and creating more jobs, particularly for youth and women.
The signing marks a significant step in Ghana’s efforts to drive inclusive growth and economic diversification. According to officials, the initiative will directly benefit entrepreneurs, farmers, small businesses, and innovators who are key players in the country’s transformation agenda.
Mr Goosie Tanoh, the Presidential Advisor on the 24-Hour Programme, said the partnership is a big opportunity for Ghanaian businesses and households. He explained that the MoU will help local entrepreneurs expand their production capacity, support farmers to grow their businesses, and give young innovators the chance to turn new ideas into viable ventures.
“This MoU opens new doors for the Ghanaian entrepreneur who wants to expand production, the farmer looking to grow her shop, and the young innovator with an idea that can change our future,” Mr Tanoh stated. He also expressed appreciation to BADEA for showing confidence in Ghana’s economy and people.
The President of BADEA, Mr Abdullah Almusaibeeh, who led the bank’s delegation to Ghana, commended the country’s bold vision for inclusive and sustainable growth. He said the MoU represents a new phase in Arab-African cooperation and demonstrates the strong potential for collaboration in trade, investment, and development financing.
“With this memorandum of understanding, we are laying the foundation for a new and promising chapter in Arab-African cooperation,” Mr Almusaibeeh said.
He further outlined the scope of the agreement, which includes providing technical assistance to strengthen Ghana’s capacity for programme implementation, setting up a trade finance facility to support food security and balanced trade, and offering affordable financing to small businesses to help them grow and create jobs.
The Second Deputy Governor of the Bank of Ghana, Mrs Matilda Asante-Asiedu, also welcomed the partnership. She said the Central Bank is committed to ensuring a stable financial environment that will support the success of the 24-Hour Economy and export programme. “The Bank of Ghana will continue to ensure a stable financial environment that supports this initiative,” she assured.
Under the terms of the MoU, BADEA will provide up to $500 million to Ghana, with an initial tranche of $60 million expected to flow through the Development Bank of Ghana to small and medium-sized enterprises (SMEs). The financing will focus on boosting sectors that have the potential to drive exports, increase productivity, and create sustainable jobs.
Apart from direct financing, the partnership also includes technical support for government agencies and businesses, trade finance to strengthen food security, and affordable loans for SMEs and cooperatives. The deal will also promote Public-Private Partnerships (PPPs) that can help accelerate investment in infrastructure such as roads, energy, and logistics, which are vital for competitiveness and industrial growth.
Analysts say this agreement is coming at a crucial time when Ghana is seeking to diversify its economy, reduce reliance on imports, and create more opportunities for its growing population. The 24-Hour Economy initiative, championed by the government, is designed to keep businesses and industries running around the clock, thereby improving productivity and job opportunities.
With BADEA’s support, Ghana aims to unlock affordable and patient capital for small businesses and cooperatives, which are often constrained by high borrowing costs in the local financial system. The funding is expected to provide a major boost to Ghana’s export drive and give SMEs the capacity to compete in regional and global markets.
The MoU is seen as an important milestone in Ghana’s development journey and a model for other African countries seeking strategic partnerships to accelerate growth. It also strengthens Arab-African economic cooperation at a time when both regions are working to build stronger trade and investment ties.
