President John Mahama has vowed to resuscitate the economy of Ghana’s Western Region, once a thriving epicenter of oil and gas activity, now reeling from mass layoffs and shuttered businesses linked to the sector’s steep decline.
During his February 27 State of the Nation Address, Mahama acknowledged the crisis in Sekondi-Takoradi, where dwindling upstream operations have erased jobs and stifled growth, pledging to “restore hope” through renewed investment and policy reforms.
The region, which contributed over 60% of Ghana’s crude oil output at its peak, has seen production plummet by 32% since 2019, according to energy ministry data. Once-bustling fabrication yards and logistics firms now sit idle, with thousands of workers laid off as major oil companies, including Tullow and Aker Energy, scaled back operations or exited entirely. Mahama blamed the downturn on “excessive political interference” and a “hostile business environment,” which deterred investment and stalled exploration.
“Sekondi-Takoradi’s streets tell a story of broken promises,” Mahama said. “We will breathe life back into this region by restoring investor confidence and ensuring the petroleum sector works for Ghanaians, not against them.”
The president revealed that recent talks with upstream industry leaders had yielded commitments for “billions of dollars” in new investments, though he did not name specific firms or projects. His administration aims to fast-track stalled oilfield developments, streamline permitting processes, and offer tax incentives to attract service companies back to the region.
Local residents, however, remain skeptical. “We’ve heard these pledges before,” said Kweku Ansah, a former welder laid off by a Takoradi shipyard in 2022. “Politicians show up during elections, but the jobs never return.”
Analysts warn that recovery faces steep hurdles. Ghana’s oil sector has been plagued by contract disputes, regulatory delays, and global volatility. The country’s flagship Jubilee and TEN fields are aging, with output declining steadily since 2016. While the Pecan field, operated by Aker Energy, holds potential, development has stalled amid financing challenges.
Mahama’s plan hinges on reversing this trajectory. Beyond oil, his administration proposes diversifying the Western Region’s economy through port upgrades and agro-processing zones. Yet critics argue infrastructure gaps and energy costs—industrial electricity rates in Ghana are among Africa’s highest—could undermine progress.
The push carries political weight. The Western Region, a key electoral battleground, has seen rising discontent over unfulfilled development promises. With unemployment exceeding 20% in some districts, Mahama’s ability to deliver could sway voter sentiment ahead of the 2028 polls.
“Oil built this city, but its collapse broke us,” said Mercy Eshun, a restaurant owner in Takoradi’s once-busy harbor area. “We don’t need speeches. We need action.”
As the government finalizes its strategy, the stakes extend beyond economics. For Mahama, reviving Sekondi-Takoradi isn’t just about jobs—it’s a test of credibility in a region demanding tangible change.
