Ghana Eyes $3 billion Investment by Diaspora

Ghana’s Finance Ministry is targeting to raise $3 billion in funding from its diaspora, through African Sankofa Account to fund economic development in the West African nation.

The government will structure the investment vehicle to offer better rates to depositors, Finance Minister Ken Ofori-Atta said.

He said the initiative was dictated by government’s quest to ensure that the Diaspora bring tangible benefits to the economy while offering them an opportunity to make good returns on their investments.

In 2017, the country realized about $1.6 billion from remittances; it increased to $2.5 billion in 2018 and there are projections it would cross $3 billion in 2019, after securing about 2.5 billion dollars in the first quarter of the year,” he said.

Mr Ofori Atta explained that although many people in the diaspora had the desire to invest in the economy, the challenge over the years had been how to identify the right products that did not conflict with the country’s securities rules.

Through the new initiative, the government is seeking to encourage the full participation of the diaspora in the country’s economic development.

Ghana is gradually building industrial capacity. Growth in industry was projected at 9.8% in 2019 and 5.9% in 2020.