The International Finance Corporation (IFC) has doubled down on its confidence in Ghana’s economic resilience, positioning the West African nation as a strategic hub for private-sector growth despite recent macroeconomic turbulence.
During a recent working visit, Dahlia Khalifa, IFC’s Regional Director for Central Africa and Anglophone West Africa, underscored the institution’s commitment to fostering job creation and transformative development, emphasizing that Ghana’s long-term prospects outweigh short-term challenges.
“Our focus isn’t solely on the volume of investments but on the tangible impact—jobs created, livelihoods improved, and industries transformed,” Khalifa stated in an interview with the *B&FT* following her engagements in Accra. Over the past decade, the IFC has channeled more than $2 billion into Ghana’s economy, including $450 million in the last fiscal year alone—a figure poised to rise in 2024.
Sectoral Priorities: Energy, Agribusiness, and Manufacturing
Central to the IFC’s strategy is directing capital into sectors with high employment potential, such as agribusiness, renewable energy, and light manufacturing. A standout initiative is the corporation’s $21 million investment in Ghana’s largest private-sector-led solar project, developed in partnership with LMI Holdings. The initiative, part of a broader $100 million financing facility, has already deployed 16.8 megawatts of rooftop solar capacity in industrial zones, ranking it as Africa’s largest and the third-largest globally, trailing only Tesla and Apple. Khalifa revealed plans to scale the project to 200 megawatts, a move expected to bolster Ghana’s renewable energy infrastructure and reduce reliance on volatile fossil fuels.
“This is a milestone Ghanaians should celebrate,” Khalifa remarked. “LMI’s vision isn’t just about energy—it’s about enabling an ecosystem where businesses thrive.”
In agriculture, the IFC is targeting value chain development to curb imports and boost local production. Efforts are concentrated on industries like rice, tomatoes, fisheries, and animal feed, where Ghana possesses untapped potential. “There’s no reason for Ghana to import what it can produce domestically,” Khalifa asserted, highlighting partnerships with agribusinesses to strengthen self-sufficiency.
SMEs and Garments: Catalysts for Job Creation
The IFC is also amplifying support for small and medium-sized enterprises (SMEs), viewed as critical drivers of employment. A recent $20 million agreement with Access Bank aims to expand financing for SMEs, particularly women-led ventures. Additionally, the corporation is leveraging private equity and venture capital, with direct investments in Ghana-based firms like Oasis Capital and 4DX Ventures, which fund startups in fintech and logistics.
In the manufacturing sector, apparel company DTRT (Do the Right Thing) exemplifies the IFC’s impact. With over 7,000 employees, DTRT has become a blueprint for scaling labor-intensive industries. “Each job here supports a household,” Khalifa noted. “Ghana has the potential to emerge as a regional garment production hub, and we’re committed to fueling that growth.”
Ghana at an “Inflection Point”
Khalifa’s visit reinforced her optimism about Ghana’s trajectory, citing synergies between private-sector dynamism and government reforms to enhance the business climate. “The consensus is clear—Ghana is on an upward path,” she said, pointing to streamlined regulations and efforts to stabilize the economy post-debt restructuring.
While challenges like currency volatility and inflation persist, the IFC’s focus on strategic sectors signals a vote of confidence in Ghana’s ability to harness its resources and human capital. For a nation eyeing industrial diversification and energy transition, this partnership could prove pivotal in turning potential into prosperity.
As Khalifa concluded, “Ghana isn’t just navigating challenges—it’s laying the groundwork for sustained, inclusive growth.” With the IFC’s backing, the country’s ambition to become a regional economic powerhouse appears increasingly within reach.
