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SADA DISTRICTS’ INVESTMENT OPPORTUNITIES Map data ©2015 Google USAID Financing Ghanaian Agriculture Project This publication was prepared for the United States Agency for International Development by CARANA Corporation SADA Districts’ Investment Opportunities March 2016 FOREWORD BY SADA We are delighted once more to partner with USAID Financing Ghanaian Agriculture Project (USAID-FinGAP) and the Regional and District Economic Planning Officers of the 5 regions to produce these Investment Guides for the 63 Districts of the SADA Zone. The first Guides, produced in March 2015 for the SADA Business and Investment Forum (SABIF 2015), focused predominantly on the agricultural potentials of these districts. This second volume expands into other sectors significantly. The main purpose of these Investment Guides is to show- case the immense potentials that these districts offer for boosting Ghana’s economic growth and transformation if supported with the commensurate share of public and private investments and supportive policies. The second objective is to provide guidance to the decentralised planning and budgeting process as to the investment and growth potentials that needs to be leveraged with public policy and resources. These Guides should also feed into the National Long Term Development Plan (NLTDP) and the SADA Zone master plan underway, both of which should lead to the achievement of the Social that the result of the export-oriented policies pursued under structural Development Goals (SDGs) which is rooted in the concept of “leaving adjustment was to concentrate investment in a few sectors in the no one behind” and “zero extreme poverty 2030” that Ghana has signed industrial core, especially within the free trade zones. Between 1994 and on to. The third objective is more specific, although related to the first – 2013, 84 percent of all FDI projects were located in the Greater Accra to entice Ghanaians and non-Ghanaians and international development region, followed by Ashanti Region with 6 percent and Western Region partners to put money and technical support into these areas. with 4 percent. The three northern regions combined accumulated just 1 percent of total FDI projects in this period Our hope is that these Guides and SADA’s continued effort (with the support of partners like USAID) to highlight both the neglect and The SADA zone possesses most of the arable land; is well drained opportunities of these areas will contribute to changing the lopsided by the Volta river basin and has small population density which when nature of growth and investments in our country. This lopsidedness combined with the right technologies, extension services and market is both wasteful – we are not optimising growth and development in and public infrastructure represent Ghana’s hope for breaking import the country – as well as dangerous and costly – we are entrenching dependency of agricultural products; stabilising its currency through and exacerbating inequalities spatially and reproducing poverty in the exports, and a new route to industrialisation beyond the oil and gas – process. Deepening spatial inequalities is particularly dangerous for led industrialisation model. The “Feed the Future” program of USAID sustainable peace and security. shows what is possible to achieve in agriculture productivity, incomes and nutrition with the appropriate support and focus. These concerns are borne out by the facts as demonstrated by several recent publications – the poverty and inequality maps recently We are grateful to USAID-FINGAP, the Regional and District published by Ghana Statistical Service and the World Bank show the Coordination Councils of the Brong Ahafo, Volta, Northern, Upper east SADA districts standing out as the poorest and some getting poorer; and Upper West regions, as well as to the staff of SADA. the World Bank 2014 publication on poverty in Ghana shows declining performance of food sector agriculture which the SADA zone relies most on for livelihoods and incomes; the National Spatial Development Charles A. Abugre, CEO Framework published by Town and Country Planning Department noted SADA FOREWORD BY USAID/GHANA I am pleased to present this booklet highlighting investment opportunities in northern Ghana. We at USAID work with many organizations and institutions including SADA, development partners, district assemblies, and farmer associations. Our efforts help spur economic growth and promote improved health, nutrition and education in the SADA Zone. We have all seen how the credit constraint facing businesses in Ghana is impeding the growth of commercial agriculture here in the north. But for this area to reach its potential, investment must come from private sources like foreign direct investment, banks, capital markets, and private transfers. USAID is pleased to assist SADA in providing investor information about the districts within the SADA Zone. This will serve as key ingredient to facilitating investment and development in these districts. 2 SADA Districts’ Investment Opportunities March 2016 This profile is being released during the 20th Ghana International Trade I believe strongly that our partnerships and investments will pay Fair taking place in Tamale. This is a golden opportunity to show Ghana dividends in northern Ghana for generations to come. and the international community how vibrant and full of promise this area is. Andy Karas, Mission Director USAID/Ghana FOREWORD BY USAID-FINGAP I have great pleasure to once again, present to you investment opportunities including those in agribusiness in the 63 districts of the Savannah Accelerated Development Authority (SADA) Zone also known as the Northern Savannah Ecological Zone (NSEZ). The investment opportunities booklet published with the support of the USAID-Financing Ghanaian Agriculture Project (USAID-FinGAP) highlights the unique comparative attractiveness of the SADA Zone, and provides detailed information on each of the 63 districts required by prospective investors to make the right investment decision. The publication of this investment opportunities booklet fits in well with USAID-FinGAP’s goal of facilitating finance and investment in the maize, rice and soy supply and value chains in the north of Ghana, and improving ancillary services so that agribusinesses can operate at full capacity and expand levels of food security in the country. USAID- FinGAP supports the facilitation of finance for small, medium including large enterprises (SMiLEs) physically located in the north of Ghana, above the 8th parallel, also known as SADA Zone, and others whose operations pull demand for maize, rice and soy from the north of Ghana The activities of USAID-FinGAP and the investment opportunities leading to an increase in production and economic growth. presented in this booklet are all geared towards laying the right foundation and providing the requisite building blocks for making the In this regard, USAID-FinGAP has in the last two years collaborated right business and investment decision. Once the decision to invest with SADA to attract investment into the SADA Zone. In March 2015, is made, USAID-FinGAP will provide you with the necessary support USAID-FinGAP collaborated with SADA to hold the First SADA through its network of Business Advisory Services Providers and Partner Business and Investment Forum dubbed “SABIF 2015” in Tamale. This Financial Institutions for successful project implementation. year, USAID-FinGAP is supporting SADA with the publication of the investment opportunities booklet and 63 district profiles. This is in We are available to provide more information on facilitating finance addition to the USAID-FinGAP’s sponsorship of the Business Round- and investment into the agribusiness sector. Contact us and find out Table Discussion on “Access to Finance and Challenges” to SMiLEs, and more. Business-to-Business meetings being organized on 3rd March 2016 as part of the 20th Edition of the Ghana International Trade Fair being held for the first time in Tamale by SADA and the Ghana Trade Fair Company. Rick Dvorin, Chief of Party After two years of facilitating over $85 million in private capital to USAID-FinGAP the maize, rice and soy value chains by financial institutions and investors, USAID-FinGAP is pursuing the development of alternative sources of financing for SMiLEs through the listing of debt or equity securities on the Ghana Alternative Market (GAX). Additionally, USAID-FinGAP is exploring access to cheaper and competitive sources of finance for SMiLEs, spearheading the promotion of Public-Private-Partnerships (PPP) investments in agribusiness as well as promoting the use of risk mitigation tools by financial institutions in order to increase lending to agribusinesses. 3 SADA Districts’ Investment Opportunities March 2016 TABLE OF CONTENts Foreword BY SADA.........................................................................................................................................................................2 Foreword BY USAID/GHANA ......................................................................................................................................................2 Foreword BY USAID-FINGAP ........................................................................................................................................................3 BRONG AHAFO REGION .......................................................................................................... 7 ATEBUBU-AMANTIN DISTRICT .........................................................................................................................................................8
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