The Ghana Cocoa Board (COCOBOD) has successfully raised GH¢3.39 billion through its new domestic financing model, however, this amount falls short of the initial target of GH¢4 billion. This development has put investor appetite for the board's planned GH¢16.3 billion funding programme under scrutiny. The funds raised will be used to support COCOBOD's operations and activities. The shortfall may raise concerns about the sustainability of the funding model.
The domestic funding model is a new approach adopted by COCOBOD to secure funding for its activities. The model aims to reduce the board's reliance on external funding and provide a more stable source of financing. The GH¢3.39 billion raised through this model will be used to support the board's operations, including the purchase of cocoa beans from farmers. The success of this model is crucial for the growth and development of Ghana's cocoa industry.
The Ghanaian economy has been experiencing a recovery in business conditions, with the private sector gaining strength in September. The recovery is expected to have a positive impact on investor appetite for COCOBOD's funding programme. However, the shortfall in the domestic funding target may raise concerns about the sustainability of the funding model. The Bank of Ghana (BoG) has been taking steps to strengthen liquidity risk management and ensure lenders can withstand future financial shocks.
The BoG is preparing to introduce a liquidity coverage ratio (LCR) requirement for banks, which is expected to strengthen liquidity risk management. The introduction of the LCR requirement is part of efforts to ensure lenders can withstand future financial shocks. This development is expected to have a positive impact on the stability of the financial system and investor appetite for COCOBOD's funding programme.
Advans Ghana Savings and Loans is targeting a near-doubling of its customer base to 300,000 entrepreneurs by 2030, alongside a GH¢1.5 billion gross loan portfolio and GH¢1.2 billion in deposits. The financial institution's expansion plans are expected to have a positive impact on the growth and development of the Ghanaian economy. Sao Pay has also officially commenced operations in Ghana as a Dedicated Electronic Money Issuer (DEMI).
Sao Pay's operations in Ghana are expected to position the country as a key hub for its planned expansion across Africa and international payment corridors. The company is targeting the creation of 5,000 jobs through its operations in Ghana. The growth of the financial sector is crucial for the development of the Ghanaian economy.
The Ntiamoah Foundation has launched a year-long campaign marking two decades of improving lives through education, health, and community development. The campaign, titled "BEYOND 20: From Impact to Legacy," aims to set out the foundation's vision for the future. The foundation's efforts are expected to have a positive impact on the growth and development of the Ghanaian economy.
Key points
- COCOBOD raises GH¢3.39 billion through domestic funding model, short of GH¢4 billion target
- The domestic funding model aims to reduce COCOBOD's reliance on external funding
- The Ghanaian economy is experiencing a recovery in business conditions, with the private sector gaining strength
