Mahama unveils $20bn investment plans to create jobs at London Summit

President John Dramani Mahama has outlined plans to mobilise $20 billion for infrastructure development and investment in job-creating sectors as part of efforts to strengthen Ghana’s economic recovery and accelerate industrial growth.

Speaking at the Financial Times Africa Summit in the United Kingdom, President Mahama said the government was implementing a $10 billion Big Push infrastructure programme over five years, with $2 billion allocated annually.

He said the programme, which began with road infrastructure, would be expanded to cover schools, hospitals, irrigation schemes and other development projects.

The President also announced plans for a separate $10 billion New Economy Plan to be implemented over four years, targeting nine job-rich sectors.

These include tourism, energy, agriculture, agro-processing, pharmaceuticals, textiles and garments, among other productive industries.

President Mahama said the plans were intended to expand economic opportunities, stimulate private-sector activity and create employment, particularly for the country’s growing youth population.

He explained that the government was pursuing fiscal adjustments to create additional room for investment in productive sectors.

According to him, the government had agreed with the International Monetary Fund (IMF) to reduce its primary balance target from 1.5 per cent to 0.5 per cent, freeing up fiscal space for the identified sectors.

President Mahama said Ghana had completed its IMF programme and transitioned from the Extended Credit Facility to the Policy Coordination Instrument (PCI), which does not provide direct financing.

He said the transition made domestic resource mobilisation, prudent expenditure management and stronger public financial institutions critical to sustaining the country’s recovery.

The government’s reforms, he added, included amendments to the Public Financial Management Act and the Public Procurement Act, as well as the establishment of a Fiscal Responsibility Council.

President Mahama also pointed to improving economic indicators, including inflation of about five per cent, a stable currency and falling interest rates, as signs of resilience amid international uncertainty.

He said Ghana’s economic performance demonstrated that domestic reforms and sound economic management could help cushion the country against external shocks.

The President identified oil and gas, mining, agriculture, irrigation, agro-processing, pharmaceuticals, tourism, hospitality and garment manufacturing as key areas of investment opportunity.

He called on local and international investors to partner Ghana in expanding productive industries, processing natural resources locally and strengthening the country’s capacity to manufacture medicines and vaccines.

President Mahama said investment in these sectors would help reduce dependence on imported products, improve economic resilience and create sustainable jobs.

He maintained that Ghana’s long-term development would depend on the country’s ability to mobilise domestic resources, attract responsible investment and transform its economic structure from reliance on raw materials towards higher-value production.