Country Profile
From The Report: Ghana 2014
View in Online Reader

By dint of its history, Ghana has long had strong social, political and economic ties to both the US and UK, and to a lesser extent other Western European countries. Ghana is also an active member within the UN and has routinely served on UN peacekeeping missions. Closer to home Ghana is beginning to strengthen ties with its larger neighbour, Nigeria. The US and UK have long been among Ghana’s chief trading partners, accounting for sizeable amounts of both exports and imports in prior decades. The two nations also consistently rank among the top investors in the country.

This chapter contains a viewpoint from President John Dramani Mahama; and interviews with Kadré Désiré Ouédraogo, President, Commission of the Economic Community of West Africa States (ECOWAS); Penny Pritzker, US Secretary of Commerce; and Georg Wilfried Schmidt, Regional Director for Sub-Saharan Africa and the Sahel, German Federal Foreign Office.

Articles from this Chapter

Overview

Oil-fuelled GDP growth set to decelerate as other sectors take the lead
OBG
plus

Nestled in the Gulf of Guinea on Africa’s Atlantic Coast, Ghana has developed a reputation as a robust and stable democracy, and with a storied legacy of pan-African initiatives it has long punched above its weight diplomatically. Due to its vast natural resources, Ghana has a strong export profile, although it is somewhat dependent on commodities. It is the world’s second-largest exporter of cocoa, behind Côte d’Ivoire, and one of the continent’s largest gold producers, while new reserves…

Overview

A stable political system supports growing foreign relations
OBG
plus

Under the 1992 constitution, which created the fourth republic, Ghana has a unitary presidential system. The president, who is also the head of state, is elected every four years and the balance of power is ensured by a system of checks and balances. The current constitution of the Fourth Republic outlines the foundations of a republican version of democratic government, with an emphasis on a tripartite separation of powers and a system of checks and balances, inspired in part by both the British…

Viewpoint

President John Dramani Mahama on overcoming short-term headwinds
OBG
plus

The nation of Ghana is charting a credible and lasting course for our collective development. We are no longer just another developing country; we are now classified as a middle-income country. To be sure, we are currently at the lower end of the middle-income spectrum, but we are working hard to consolidate this new status so that soon enough, in the foreseeable future, we can attain upper-middle-income status and, shortly thereafter, graduate into a high-income status. We are in the midst of overcoming…

Analysis

Chinese investors continue to view Ghana as a hub for expanding exports into West Africa
OBG
plus

The most prominent example of Ghana’s efforts to strengthen south-south cooperation and diversify both its trade and investment links can be seen in the evolution of its relationship with China. Ghana’s links with China date back to the 1960s, and Accra has long supported the country in a number of its international imbroglios, including the campaign for re-entry into the UN and the border war with India. Even as US and UK trade flows begin to stagnate, export and import volumes with China have…

Interview

OBG talks to Kadré Désiré Ouédraogo, President, Commission of the Economic Community of West Africa States (ECOWAS)
OBG
plus

Interview:Kadré Désiré Ouédraogo How will the ECOWAS-EU economic partnership agreement (EPA) benefit West African states? KADRÉDÉSIRÉOUÉDRAOGO: According to the Cotonou Agreement, EPAs are intended to foster the smooth and gradual integration of the African, Caribbean and Pacific Group of States (ACP) into the global economy, with regard for their political choices and development priorities. This will promote their sustainable development and contribute to poverty eradication…

Analysis

Strength in regional cohesion: Ghana leads among members of the West African Monetary Zone
OBG
plus

Ghana’s national currency, the cedi, is derived from the Akan word for the cowry shells used as currency during the days when Ghana was referred to as the Gold Coast. The current version of the cedi is the third printing of the currency since independence. Yet, if ECOWAS succeeds in its plan for a unified currency bloc, the latest version of the cedi, introduced in 2007, will be the last. Instead, Ghana and several other ECOWAS members have committed themselves to a common currency known as the…

Analysis

New initiatives to address regional disparities in growth
OBG
plus

In spite of the country’s challenging fiscal situation (see Economy chapter), Ghana has been one of Africa’s best-performing economies in recent years, having seen significant jumps in both headline growth and capital inflows. Recent oil discoveries, combined with sustained prices for cocoa and gold, led to an influx of capital and boosted activity in a range of sectors, from telecoms to construction. Ghana’s economy is still growing apace – GDP was up 6.7% in the first quarter of 2014 year-on-year…

Interview

OBG talks to Penny Pritzker, US Secretary of Commerce
OBG
plus

Interview:Penny Pritzker What potential do you see for the growth of nontraditional exports from Ghana to the US? PENNY PRITZKER: This administration supports the seamless extension of the African Growth and Opportunity Act (AGOA). Exports from Ghana to the US are at about $366m and continuing to grow, but are not where they need to be. What we need to do is continue the AGOA so that more and more small and medium-sized businesses can take advantage of the programme, and also so that they…

Interview

OBG talks to Georg Wilfried Schmidt, Regional Director for Sub-Saharan Africa and the Sahel, German Federal Foreign Office
OBG
plus

Interview:Georg Wilfried Schmidt What can emerging markets learn from the success of small and medium-sized enterprises (SMEs) in German-speaking countries? GEORG WILFRIED SCHMIDT: A major factor in Germany’s extraordinary economic success is the large number of SMEs, with their typical dedication to improving all aspects of their operations. They represent 99% of German companies and account for 52% of economic output. They are often family-run businesses operated by generations of committed…