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The golden gateway to Africa

(China Daily)
Updated: 2010-10-26 07:57

Ghana wants to use its abundant natural resources for sustainable development. Provided to China Daily

The peaceful West African republic is enjoying an important new chapter

Celebrating 50 years of diplomatic relations with China, the former British colony has been granted a $30 billion development package from the Asian nation to help build vital infrastructure that will, amongst other things, maximize its potential as an energy producer.

On a six-day State visit to China in September, Ghana's President John Evans Atta Mills, paid tribute to China for its support, declaring it was time for Ghana and the rest of Africa to take advantage of Chinese collaboration to impact positively on their economies and fast-track the continent's emergence as an economic giant.

Ghana's administration, would, Atta Mills promised, use the resources to the benefit of Ghana's 24 million people to improve living standards.

He said the government would not sway from the "Better Ghana" agenda-a blueprint which aims to transform the lives of Ghanaians as it invested in people, built a viable economy and ran an open, honest, and transparent government.

The government would, he said, create an enabling environment for the growth of private business and investment in the Ghanaian economy.

Minister of Information Akologu John Tia said: "What we mean by 'Better Ghana' is a country where the people live in peace and harmony, where their living standards are upgraded and where governance is transparent and accountable. The 'Better Ghana' agenda will be followed by all people and not just left to government. Everybody can play a part in fulfilling the goals of the 'Better Ghana' agenda."

Blessed with plentiful natural resources, Ghana enjoys around twice the per-capita output of the poorest countries in West Africa, although it is still dependent on international financial and technical assistance. Gold and cocoa production and individual remittances are major sources of foreign exchange, while oil production, due to expand at the end of this year, is expected to bring significant new wealth.

The domestic economy continues to revolve around agriculture, which accounts for more than a third of GDP and employs more than half the work force, most of them in smallholdings.

"We have prioritized investment in agriculture and are putting in more capacity for two reasons," Vice President of Ghana John Dramani Mahama explained.

"First, more than 60 percent of the population is engaged in the sector, and secondly, we want to take the opportunity to increase production and feed the world.

"The World Food Crisis in 2007 was a wake-up signal for the whole world. The world population is due to reach 9 billion people by 2050 and the challenge to feed 3 billion more people is a challenge all countries are aware of. We want to assure food security for Ghana, but also turn it into a net exporter of food."

Parliament is also pushing through the legislation needed to ensure a fair and regulated oil and gas industry. "Everything will be ready before production starts," the vice president assured InFocus Reports.

"We have been meticulous, inviting advice from other oil producing nations, such as Norway and Trinidad and Tobago, on how best to proceed."

Commenting on the impact of the anniversary of Sino-Ghanaian relations, Mahama said: "We have been engaging with China to make sure our links become as close as possible. I was at the Forum on China-African Cooperation in Sharm el Sheik, Egypt [in November 2009], when China pledged $10 billion for the development of Africa.

"China is the major financer of our Bui Dam hydroelectricity project, which will add another 400 megawatts to our power generation. We are also collaborating with them on highway construction and water projects. China has easily become our biggest bilateral partner."

Investors will enjoy a safe and secure base in the West African region, the Vice President said. "Ghana has positioned itself as the Gateway to West Africa, so many investors see us as a convenient place to coordinate their sub-region. We are seeing investors coming in, setting up assembly plants, regional offices and using Ghana to export to other countries. Even though we only have 24 million people, our environment, our warm and friendly people, and our cheap and educated workforce, means we are seeing many investors coming into the country."

Shanghai experience

As a participator in this year's World Expo in Shanghai, Ghana showcased its positive experience of urban and socioeconomic development.

Speaking at a press conference ahead of the event, Deputy Minister of Trade and Industry Mahama Ayariga, said the country would use the experience to promote and exchange ideas, as well as learn from other countries on how to effectively manage the growing concern of rural urban migration.

"Ghana's theme seeks to encourage rural dwellers to engage in valuable venture, promote decentralization and rural development, promote healthy social and environmental practices, like green-belt cities, as well as promote food and security," he said.

Ayariga, designated commissioner general of Ghana for World Expo 2010, said the event showcases the country's uniqueness culture, the growing attraction of rural areas due to infrastructural expansion, the potential of agri-processing to rural employment and the success story of Ghana's cocoa industry.

It specifically promotes Ghana's medical plant herbs and spices, trade and investment opportunities, eco-tourism and sites potentials, natural resource endowment and the nation's social cohesion of various communities.

(China Daily 10/26/2010 page5)