Mahama launches Presidential Dialogue with private sector, sets 15% manufacturing target by 2030

President John Dramani Mahama has formally inaugurated an annual Presidential Dialogue with the private sector, declaring it a decisive step toward repositioning Ghana’s economy for industrial transformation and long-term competitiveness.

Addressing captains of industry, business executives, ministers of state, and senior government officials, the President described the forum as the fulfilment of a campaign pledge he made ahead of the 2024 general elections.

“In the run-up to the 2024 election, I made a firm promise that if Ghanaians entrusted me with their mandate, I would hold an annual dialogue with captains of industry and business to address the challenges hindering private sector growth,” he stated. “Promise made, promise kept.”

President Mahama underscored that Ghana’s economic transformation must be anchored on a renewed partnership between government and enterprise.

“Ghana’s economic transformation is a joint enterprise. The government cannot achieve it alone. And equally, the private sector cannot thrive without a government that listens, reforms and creates an enabling environment,” he said.

From Stabilisation to Transformation

While acknowledging recent macroeconomic improvements—including relative currency stability, improved investor sentiment and renewed private capital inflows—the President cautioned against complacency.

“Stabilisation is not equal to transformation,” he stressed.

He noted that for over five decades, manufacturing has contributed roughly 10 per cent to Ghana’s Gross Domestic Product (GDP), a figure he described as inadequate compared to emerging Asian economies that have expanded manufacturing to between 20 and 30 per cent of GDP.

“We need to change our trajectory,” President Mahama declared. “Manufacturing must contribute at least 15 per cent of GDP by the year 2030, supported by 500,000 new quality industrial jobs. This will require structural reform and not incremental adjustments.”

Energy and Financing Reforms

The President identified high energy costs and unreliable power supply as the most pressing constraints facing industry.

“No industrial nation thrives under structurally high cost of power,” he said, adding that his administration would accelerate energy sector debt restructuring, expand renewable generation, introduce differentiated off-peak industrial tariffs and promote embedded generation within industrial enclaves.

“Energy reform is not optional. It is foundational to Ghana’s industrial takeoff,” he emphasised.

On financing, President Mahama observed that although interest rates have declined significantly from previous highs of nearly 38 per cent, current rates of 18 to 20 per cent remain prohibitive for industrial expansion.

“Industrialisation cannot take off when interest rates remain around 18 to 20 per cent and lending tenors are short term,” he noted.

He announced plans to establish dedicated financing windows for manufacturing in partnership with the Bank of Ghana and development finance institutions, alongside expanded credit guarantee schemes and long-term capital market instruments.

“Access to affordable patient capital will be treated as a structural reform priority by this government,” he assured.

Crackdown on Smuggling and Trade Infractions

President Mahama also vowed to intensify enforcement against smuggling, under-declaration, counterfeiting and the rebagging of inferior products.

“These are not minor infractions. They constitute economic sabotage,” he stated. “This government is determined to protect Ghanaian enterprises so they can thrive and grow.”

Measures outlined include coordinated border enforcement, prosecution of culpable public officers, deployment of technology-driven customs surveillance systems and strict enforcement of product standards.

Sector-Specific Interventions

The President detailed targeted reforms across key sectors including textiles, agro-processing, pharmaceuticals, cement, iron and steel, food and beverages, and automotive manufacturing.

He further announced that Cabinet would soon approve a National Agribusiness Policy aimed at accelerating value addition.

Addressing recent volatility in global cocoa prices, President Mahama said reforms would be introduced across the cocoa value chain, including an automatic pricing mechanism that guarantees farmers 70 per cent of the international market price at prevailing exchange rates.

“We must move Ghana from a raw commodity exporter to a value-added producer,” he declared.

24-Hour Economy Policy

At the centre of the government’s industrial agenda, he said, is the newly established 24-Hour Economy Policy.

“Factories operating one shift produce one shift output; factories operating three shifts maximise capital, infrastructure and labour productivity,” he explained.

Describing the policy as “a productivity revolution,” he indicated that it includes shift-based incentives, off-peak electricity tariffs, enhanced nighttime security and tax exemptions on equipment for factory expansion.

A Covenant with the Private Sector

Concluding his address, President Mahama proposed what he termed a “covenant” between government and the private sector.

“Government must commit to maintain stable macroeconomic policy… maintain regulatory clarity… enforce fair trade and improve infrastructure,” he said.

In return, he called on businesses to reinvest, scale domestic production, create jobs and prioritise local content.

“The Ghana we all seek will not be built by speeches,” he declared. “It will be built by factories operating at scale… by industrial parks producing for Ghana and exporting to Africa and beyond.”