THE CHINA-GHANA FOR SADA COOPERATION FRAMEWORK: Enabling The Comprehensive Development of The Northern Savannah Ecological Zone Of Ghana.
August 2016
Savannah Accelerated sada Development Authority
THE CHINA-GHANA FOR SADA COOPERATION FRAMEWORK: Enabling The Comprehensive Development of The Northern Savannah Ecological Zone Of Ghana.
August 2016 Table of Contents
LIST OF PICTURES Page ‐ iii
ABBREVIATIONS Page ‐ iv
EXECUTIVE SUMMARY Page ‐ 1
1.0 CHAPTER ONE: OUR COMMON INTERESTS, OUR MUTUAL NEEDS ‐ WHAT THE REPUBLIC OF GHANA AND THE SADA ZONE REPRESENT Pages 2 ‐ 5 1.1 What the China‐Ghana for SADA Coopera on Framework is based on 1.2 The Republic of Ghana – (Gateway to Africa) 1.3 Mandate of SADA
2.0 CHAPTER TWO: CHINA, THE GLOBAL POWERHOUSE AND AFRICA'S STRATEGIC PARTNER Pages 6 ‐ 8 2.1 Founda ons of China‐Africa Rela ons 2.2 Forum on China – Africa Coopera on (FOCAC) 2.3 Ghana – The African Union (AU) and Regional Integra on
3.0 CHAPTER THREE: CHINA – GHANA BILATERAL RELATIONS Pages 9 ‐ 12 3.1 Diploma c Ties between the People's Republic of China (PRC) and the Republic of Ghana 3.2 Economic Coopera on Between the People's Republic of China and the Republic of Ghana 3.3 People to People Exchanges Between the People's Republic of China and the Republic of Ghana 3.4 Ghana and the 21st Century Mari me Silk Road
4.0 CHAPTER FOUR: THE MECHANISMS AND FRAMEWORK FOR THE CHINA – GHANA FOR SADA COOPERATION FRAMEWORK Pages 13 ‐ 22 4.1 SADA Zone's Compara ve Advantages (Specific Assets of The Zone) 4.2 Pillars of the Strategic Coopera on Framework 4.2.1 PILL AR ONE: Win‐win Economic Coopera on 4.2.2 PILLAR TWO: The Coopera on for Industrialisa on 4.2.3 PILLAR THREE: Coopera on under the China‐Africa Agricultural Modernisa on 4.2.4 PILLAR FOUR: Coopera on in Infrastructure Development 4.2.5 PILLAR FIVE: Coopera on in Minerals, Mining and Value Addi on 4.2.6 PILLAR SIX: Coopera on in Trade, Finance and Investment Facilita on 4.2.7 PILLAR SEVEN: Coopera on in Poverty Reduc on 4.2.8 PILLAR EIGHT: Coopera on in Health, Educa on and Skills Development 4.2.9 PILLAR NINE: Coopera on in People‐People and cultural exchange 4.2.10 PILLAR TEN: Social Development Coopera on 4.2.11 PILLAR ELEVEN: Coopera on in Green Economy and Environmental Sanita on
5.0 CHAPTER FIVE: THE FINANCING MECHANISMS OR MODELS Pages 23 ‐ 25 5.1 ECOWAS Bank For Investment And Development (EBID) 5.2 The Savannah Investment and Development Bank 5.3 Ghana Infrastructure Investment Fund
i Table of Contents
5.4 Ghana Exim Bank 5.5 Industrial Bank of Ghana led by the Associa on of Ghanaian Industries 5.6 Nature of financing partnerships
6.0 CHAPTER SIX: IMPLEMENTATION MODALITIES Pages 26 ‐ 27 6.1 Establishment of a China representa ve office 6.2 Joint SADA‐China working group 6.3 Coordina on with Ghana Investment Promo on Centre (GIPC) and other agencies 6.4 A SADA‐China Business Pla orm 6.4 Ensuring orderly and mutually beneficial access to land and government incen ves to promote investments and development.
APPENDIX THE SAVANNAH IN CONTEXT Pages 28 ‐ 33 Brief Summary Administra ve Boundaries Irriga on, Hydropower And Renewable Energy Ghana and SADA at a glance Development Financing Hydrographic Network of the SADA Zone
ii List of Pictures
PIC 1.1 FORUM ON CHINA AFRICA COOPERATION Page ‐ 6
PIC 1.2 CHINA INTERNATIONAL FAIR FOR INVESTMENT AND TRADE Page ‐ 14
iii Abbreviations
ACP AFRICAN CARRRIBEAN AND PACIFIC AGI ASSOCIATION OF GHANA INDUSTRIES AU AFRICAN UNION BOT BUILD OPERATE AND TRANSFER BRICS BRAZIL RUSSIA INDIA CHINA SOUTH AFRICA CAAMS CHINESE ACADEMY OF AGRICULTURAL MECHANISATION SCIENCES CAD CHINA AFRICA DEVELOPMENT FUND CADP COMPREHENSIVE AFRICA DEVELOPMENT PROGRAM CAPFA CHINA AFRICAN PEOPLES FRIENDSHIP ASSOCIATION CDB CHINESE DEVELOPMENT BANK CIFIT CHINA INTERNATIONAL FAIR FOR INVESTMENT AND TRADE COMESA COMMON MARKET FOR EAST AFRICAN COUNTRIES COSSS COMMUNITY OF SAHEL SAHARA STATES CPAFFC CHINA PEOPLES ASSOCIATION FOR FRIENDSHIP WITH FOREIGN COUNTRIES DCH DAH CHONG HONG ECCAS ECONOMIC COMMUNITY OF CENTRAL AFRICAN STATES ECOWAS ECONOMIC COMMUNITY OF WEST AFRICAN STATES EBID ECOWAS BANK FOR INVESTMENT AND DEVELOPMENT EDAIF EXPORT DEVELOPMENT AND AGRICULTURAL INVESTMENT FUND EFCL EXPORT FINANCE COMPANY EU EUROPEAN UNION FOCAC FORUM ON CHINA AFRICA COOPERATION FXXC FUXING XIAOCHENG TECHNOLOGY COMPANY GIIF GHANA INFRASTRUCTURE INVESTMENT FUND GHACHIFA GHANA CHINA FRIENDSHIP ASSOCIATION GDP GROSS DOMESTIC PRODUCT GWDP GREAT WESTERN DEVELOPMENT PROGRAM IGAD INTERGOVERNMENTAL AUTHRORITY ON DEVELOPMENT ICBC INDUSTRIAL AND COMMERCIAL BANK OF CHINA JMET JIALING MOTOR LK LK INTERNATIONAL CO.LTD MOU MEMORANDUM OF UNDERSTANDING
iv Abbreviations - cont.
MOFA MINISTRY OF FOOD AND AGRICULTURE MW MEGA WATTS NSEZ NORTHERN SAVANNAH ECOLOGICAL ZONE OAU ORGANISATION OF AFRICAN UNITY PRC PEOPLES REPUBLIC OF CHINA PPP PUBLIC PRIVATE PARTNERSHIP RECS REGIONAL ECONOMIC COMMUNITIES SADA SAVANNAH ACCELERATED DEVELOPMENT AUTHORITY SADC SOUTHERN AFRICAN DEVELOPMENT COMMUNITY UN UNITED NATIONS UDS UNIVERSITY FOR DEVELOPMENT STUDIES VBA VOLTA BASIN AUTHORITY ZTE ZHONGXIAN TELECOMMUNICATION EQUIPMENT
v EXECUTIVE SUMMARY
The Savannah Accelerated Development Authority (SADA) is a government Regional Development Authority set up by law (Act 805, 2010) to bring about rapid and fundamental development of the northern half of Ghana (54.4% of the surface area of Ghana ), which is located in the Savannah Ecological Zone ‐ also alterna vely called the SADA Zone.
This document proposes a “China‐Ghana for SADA Coopera on Framework”, couched within the China‐Africa Coopera on Strategy recently outlined at the sixth (6th) summit of the Forum on China‐Africa Coopera on (FOCAC) held in Johannesburg, South Africa. The “China‐Ghana for SADA“ Coopera on framework (herein outlined) aims to be consistent with the FOCAC Declara ons based on the principles of economic coopera on for win‐win results, mutual trust, cultural exchanges and mutual learning between Chinese and African civilisa ons which are among the oldest in the world.
The “China‐Ghana for SADA” coopera on captures the spirit of “China‐Africa Progressing together for win‐win and shared development”. This principle is highly relevant for the Savannah Zone of Ghana, which is made up of more than 54% of the surface area of Ghana, comprising the Upper East Region, the Upper West Region, the Northern Region and the northern parts of the Brong Ahafo and Volta Regions.
In spite of being home to the oldest kingdoms in West Africa, the Savannah regions remain rela vely less developed and have higher indices of poverty. The Volta River basin and much of the Volta Lake, provides a water source for transport, agriculture and hydropower. The Savannah Zone contains millions of hectares of land suitable for commercial agriculture and is well served with minerals including poten al for hydrocarbons. All this notwithstanding the area is deprived of essen al development, including infrastructure and economic development. This leads to the area recording highest levels of poverty and underdevelopment in Ghana. SADA was established to deal with this rela ve neglect and depriva on compared to the southern parts of the country. SADA's approach is to fundamentally transform the economy of this area over the long term by addressing public investment in infrastructure and a rac ng private investment into business, produc on and trade.
The rapid development of the People's Republic of China, the crea on of the Great Western Development Programme of China to address similar condi ons of underdevelopment, and China's success in transforming dry land areas into places of high produc vity holds great lessons for the transforma on of the Northern Savannah of Ghana.
“The China‐ Ghana for SADA Coopera on Framework” document outlines a strategic approach and concrete programs and project ideas around which to transform the Ghanaian Savannah based on the overarching principle of a win‐win, equitable and mutually advantageous economic, social and cultural coopera on between China and Ghana.
The China-Ghana for SADA Cooperation Framework 1 # .0 OUR COMMON INTERESTS, OUR MUTUAL NEEDS Chapter 1 One WHAT THE REPUBLIC OF GHANA AND THE SADA ZONE REPRESENT 1.1 What the China‐Ghana for SADA Coopera on Framework is based on This document outlines the framework for mutual coopera on between the Republic of Ghana and the Peoples Republic of China for the development of the Northern Savannah Ecological Zone (NSEZ) of Ghana. This coopera on framework is herein referred to as “The China‐Ghana for SADA Coopera on Framework”. The Savannah Accelerated Development Authority (SADA), is a government Regional Development Authority, with the responsibility to oversee the comprehensive and accelerated development of the poorer northern half of Ghana. Coopera on to develop the Savannah zone will further strengthen the exis ng bond between the Republic of Ghana and the People's Republic of China for the cultural, poli cal and socio‐ economic development of the two na ons.
The China‐ Ghana for SADA Coopera on framework outlined in this document also draws from the principles and ideals underpinning China‐Africa Coopera on outlined most forcibly in the recent Johannesburg Declara on of the 6th Ministerial conference of the Forum on China‐Africa Coopera on on the theme “China‐Africa Progressing Together: Win‐Win Coopera on for Common Development.” The framework takes into considera on the upgrade to a comprehensive, strategic and coopera ve partnership and follows the principles detailed in the “five major pillars” and “ten coopera on's plans” of the FOCAC Declara on and Ac on Plan.
1.2 The Republic of Ghana – (Gateway to Africa) Loca on and Brief History: The Republic of Ghana is located along the Gulf of Guinea on Atlan c Ocean, in the sub region of West Africa. Spanning a land mass of 238,535km2, Ghana is bordered by the Ivory Coast to the west, Burkina Faso to the north, Togo to the east and the Atlan c Ocean to the south. The coastal area was previously named the Gold Coast for its abundant supply of Gold by Europeans who first arrived at the coast in the 15th Century. At independence, the coastal areas, together with the forested hinterland protectorate and the Northern Territories as well as Trans Volta Togoland, were combined to form the current day na on state of Ghana.
Ghana was the first African country south of the Sahara desert to achieve independence from Bri sh coloniza on. Ghana has a popula on of approximately 27million, spanning a variety of ethnic, linguis c and religious groups that represent cultures and peoples from across West Africa.
The new na on derived its name from the powerful medieval Kingdom of Wagadugu. Its spread across vast lands below the Sahara desert and the kingdom lasted from the 4th to 13th Centuries. The kings of this empire were called Ghana. Legend had it that this place was so rich that its dogs wore gold collars. The new na on – Ghana ‐ symbolised prosperity, civiliza on and greatness.
Terrain: Ghana's terrain lies between la tudes 4°S and 12°N, and longitudes 4°W and 2°E. The Prime Meridian passes through Ghana's industrial port town of Tema and intersects la tude 0,
The China-Ghana for SADA Cooperation Framework 2 (offshore). The no onal centre of the earth, (0°, 0°) is located in the Atlan c Ocean approximately 614km (382 mi) off the south‐east coast of Ghana on the Gulf of Guinea. Ghana is therefore the closest country to the centre of the world.
Ghana has four main ecological zones. These include the coastal savannah, the forest zone, a transi on zone of deciduous forest and finally the Savannah grasslands. Ghana's forest cover is diminishing rapidly and the Savannah ecology expanding. Ghana is also blessed with varied geographical features such as plains, waterfalls, hills, rivers, vast expanse of river basins. It also has the Lake Volta (the world's largest ar ficial lake), several islands and a beau ful coastal line of vast sandy beaches.
Economy in Brief: Ghana's economy is dominated by the services sector accoun ng for about 49.8%, followed by Industry with 28.7% and Agriculture with 21.5% of GDP respec vely. However, the Agricultural sector especially cocoa is the largest contributor to employment export earnings. The mining sector is also significant with gold being the second highest export earner. The country also produces diamond and bauxite. It was the first country to grow cocoa in Africa. Ghana is one of the countries on the con nent that produces petroleum and natural gas, and possesses the con nents fi h largest oil reserves and sixth largest natural gas reserves as currently known. Ghana's growing economic prosperity, rela ve peace and democra c poli cal system has made it a regional power in West Africa. Ghana has the ninth‐ largest economy on the African con nent by purchasing power parity and nominal Gross Domes c Product (GDP).
Ghana's trade rela ons with China dates back to the ancient silk route. The economy of Ghana con nues to be strongly ed to the economy of the People's Republic of China, (PRC) with China‐Ghana trade growing from (strength to strength) over the years. The Chinese Yuan Renminbi has recently become an interna onal reserve currency for Ghana. Ghana operates a free market economy, scoring among the top two (2) in Africa in terms of the World Bank's Ease of Doing Business index.
Ghana's claim as the Gateway to Africa is derived from a number of factors including the pioneering role led by Ghana in forging independence across the African con nent and for poli cal independence and the prac ce of democracy.
The Northern Savannah Ecological Zone (SADA Zone) of Ghana. The geographical area currently designated as the Northern Savannah Ecological Zone (NSEZ) – the SADA zone covers five regions: Northern, Upper‐West, Upper East Regions and the Northern parts of the Volta and Brong Ahafo Regions, consis ng of 63 Administra ve Districts, out of a total of 216 Districts but covers about 54.4% of the total surface area of Ghana. The area is defined by a shared ecology – a dry land Savannah and transi on zone – but also by shared characteris cs of underdevelopment caused in part by historical under‐investments and sparse popula on se lements.
Although blessed with immense and untapped natural resources including vast unused lands, tremendous water resources both surface and underground and resilient, culturally rich and hardworking people, this area of Ghana has seen li le investments. With increased and focused public and private investments, the zone can be transformed rapidly. Such a transforma on must be led by industrialisa on on the back of agriculture and natural resources backed by Science and Technology. The Zone is also well posi oned as a bridge and a gateway to the larger markets of its ECOWAS neighbours namely: Burkina, Togo, Niger, Mali, Cote D'Ivoire and Nigeria, the most populous country in Africa.
The China-Ghana for SADA Cooperation Framework 3 # The Zone is home to much of the Volta River basin which includes the Volta Lake. The Volta Lake is fed by four (4) river basins – the White Volta, the Black Volta, the Red Volta and the O River‐ and other sub‐basins including the Sissili, the Nasia Nabogo and the Daka. The Volta Lake powers the Akosombo hydropower plant and is poten ally a major water transport corridor, covering more than 500 km. When properly developed, it will serve the bulk transport needs of Ghana's landlocked neighbours to the north. Star ng from (Akosombo to Buipe) allowing many communi es on the banks to benefit from growing economic ac vi es. This will open up the economies of several se lements along the lake including tourism.
The river basins can irrigate hundreds of thousands of acres of land for agriculture. It is es mated that there are over 8 million hectares of land that currently lie fallow but suitable for commercial agriculture especially: rice, sugar cane, co on, soya beans, maize, Cassava, Groundnut as well as livestock. Research has shown that almost all land in the NSEZ is suitable for Agriculture. With cheap hydropower that can be harnessed from the Volta and its tributaries and other renewable energy, the zone can be a hub for processing and manufacturing. Protec ng these basins can also be an investment a rac on, for example the plan ng of bamboo and other valuable tree species along the river banks.
At least 8 poten al middle‐size hydropower dams are feasible along especially the Black Volta (where the Bui Dam is constructed with Chinese assistance), the White Volta and on the O River.
The Zone contains the largest sedimentary basin, a poten al source of hydrocarbons, but is poorly explored. Similarly, the zone has proven commercial reserves of lime, iron ore, gold, bauxite, uranium and several non‐precious minerals. However given the limited geological studies conducted in the zone, it is possible that even large deposits of minerals are yet to be discovered.
The SADA zone offers opportuni es for designing and building new ci es, housing and real estate, suppor ng infrastructure for a newly established interna onal airport such as aircra servicing, warehousing, cold storage etc, and railways development, among others.
1.3 Mandate of SADA The Savannah Accelerated Development Authority (SADA) was established by an Act of Parliament in 2010 (Act 805) to be an “independent and autonomous statutory body with the responsibility to oversee the accelerated, comprehensive and integrated development of the Northern Savannah Ecological Zone (NSEZ) of Ghana” – the SADA Zone. The ul mate aim is to accelerate development in this zone, in a comprehensive manner, in order to accelerate development of Ghana generally but also to bridge the inequality gap between the two halves of the country.
SADA's mandate covers 3 broad areas: (1) to provide long‐term strategic planning guidance to government (2) to mobilise addi onal financial and technical resources, including public and private investments and to par cipate in joint ventures and public‐private partnerships in order to transform the economy of the zone (3) to help coordinate interven ons to achieve impact.
The China-Ghana for SADA Cooperation Framework 4 The Authority (SADA) reports to the Office of the President of the Republic of Ghana and has the total support of the Government of Ghana as the ins tu onal vehicle to champion the comprehensive development of the Northern Savannah Ecological Zone of Ghana. The Authority has power to facilitate infrastructure and business investments, contract loans, issue bonds, establish financial ins tu ons, acquire land, subject to the approval of the Minister of Finance, in order finance its development. It also has the authority to enter into joint ventures and Public Private Partnerships (PPPs) with private companies on its own behalf or on behalf of the Government of Ghana.
SADA's strategy is hinged on the overall and comprehensive use of water to induce Agricultural produc on and agro processing and for greening the environment. To achieve this, it will require significant infrastructural investment, including irriga on infrastructure and systems, energy systems, transport, industrial infrastructure, mechaniza on systems, science and technology, research, and agro parks as well as skills training, among others. These investments would pull synergies together, trigger various value chains, increase produc vity and diversify the economy of the zone in par cular and Ghana in general.
The commitment to transform the Northern Savannah Ecological Zone (SADA Zone) as a development ini a ve is similar in nature to the People's Republic of China's Great Western Development Strategy (Xibu Da kaifa) ‐ a special ini a ve to rapidly develop the area that has been le behind by modernisa on and rapid development in the coastal parts. The Savannah Zone's dry land ecology – is also similar to other parts of China, namely the southern parts. The manner in which the southern parts of China has rapidly developed under similar clima c condi ons offers encouragement and lessons, as well as strong possibili es for coopera on with the People's Republic of China for mutual benefit and win‐win coopera on.
The SADA Zone of Ghana has immense resources and the right ingredients for rapid economic development based on solid coopera on for mutual benefit. Like the Great Western Development Strategy of China, the SADA zone needs strategic, coordinated and sustained investments and priority government a en on including infrastructure to make the necessary leap in development. We believe that a China‐Ghana for SADA Coopera on will apply the lessons and experience derived from Xibu Da Kaifa and other ini a ves, combined with local knowledge and ideas to transform the Ghanaian Savannah.
The China-Ghana for SADA Cooperation Framework 5 # .0 CHINA, THE GLOBAL POWERHOUSE AND Chapter AFRICA'S STRATEGIC PARTNER 2 Two 2.1 Founda ons of China‐Africa Rela ons The historic rela ons between China and Africa is well documented and is serving as a cornerstone for promo ng the significant journey of libera on of our people into a system of social‐economic transforma on for a “New Era of China‐Africa Win‐Win Coopera on and Common Development” and a pathway in “Working Together to Write a New Chapter in China‐Africa Coopera on”.
Following a consistent program of reform and opening up, the Chinese economy has transi oned from a centrally planned economy to that of a socialist market‐oriented economic system which has not only transformed China but also resulted in posi ve spill‐over effects among many developing and emergent economies including Ghana thus making it ever‐important to learn a great deal from the opportuni es and contribu ons created by our friends from the far east.
The People's Republic of China has become a recognized world economic superpower. It is the second largest economy in the world and primed to be the largest within a rela vely short me. With a popula on of about 1.7 billion inhabitants, a manufacturing, industrial, agricultural, science and technology power house and possessing the world's largest currency reserves, China is a formidable player in the world and a strategic partner to developing countries. In addi on, China's financial ins tu ons and corpora ons (state‐owned and privately held) are key global players par cipa ng and shaping the new interna onal economic order and among the world's leading financial ins tu ons providing game‐changing investments and developments across the corners of the global economy.
Africa, and for that ma er Ghana, share a lot in common with China and also share similar characteris cs and common challenges from our historical struggles of the past and certainly do share a common future. And through this China‐Ghana for SADA Coopera on, we wish to re‐ enforce this shared agenda and to promote the common interests of our two peoples in 'Working Together to Write a New Chapter in China‐Africa coopera on.”.
2.2 Forum on China – Africa Coopera on (FOCAC) China‐Africa rela ons are on the rise and within the spirit of a win‐win coopera on framework, we envision a China‐Africa rela onship founded on mutual development, friendship and respect for our unique iden es based on poli cal equality and mutual trust. It is in this context that the China‐ Ghana for SADA Coopera on framework is established in order to build the comprehensive strategic and coopera ve partnership between the good people of the Republic of Ghana and the People's Republic of China.
The African community welcomed President Xi's speech at the Opening Ceremony of the 6th FOCAC when he said that “Today's Africa is a con nent of encouraging and dynamic development. Africa has ac vely explored a path of development suited to its condi ons and adhered to the principle of solving African issues in the African way”. This is also the context in which the China‐ SADA Coopera on is framed.
The China-Ghana for SADA Cooperation Framework 6 It is quite awe‐inspiring to hear President Xi Jinping acknowledge that “Africa has ac vely explored a path of development suited to its condi ons and adhered to the principle of solving African issues in the African way”. And also very encouraging to note that China, a er reform and opening‐up of over 30 years, now has the technology, equipment, professional and skilled personnel and capital needed to help Africa realize sustainable self‐development. The Government of Ghana is apprecia ve of the fact that China has the strong poli cal commitment to suppor ng Africa in achieving development and prosperity as emphasized at the 6th FOCAC. Both na ons indeed do share mutual needs and complementari es and does face a rare historic opportunity in pursuing development through coopera on.
Picture 1.1: Forum on China Africa Coopera on (FOCAC 2015, Johannesburg).
2.3 Ghana – The African Union (AU) and Regional Integra on Ghana is a na on of a number of many 'firsts” in various endeavours in Africa and has used its posi on and history to promote decolonisa on, unity and progress across the African con nent. In 1957, it became the first sub‐Saharan African na on to declare independence from European colonisa on. Ghana was also the first Sub‐Saharan na on to have had the United Na on (UN) Secretary‐General posi on. Today Ghana is a regional power and regional hegemony in spite of its size in Africa.
The historical founda ons of the African Union (AU) lie in the Union of African States, a confedera on proposed by Kwame Nkrumah in the 1960s, which was adopted in a different form as the Organisa on of African Unity (OAU) on 25 May 1963.
Currently, there are eight (8) Regional Economic Communi es (RECS) recognized by the AU, each established under a separate regional treaty. They are:
1. The Common Market for Eastern and Southern Africa (COMESA) 2. The Community of Sahel‐Saharan States (CEN‐SAD) 3. The East African Community (EAC) 4. The Economic Community of Central African States (ECCAS) The China-Ghana for SADA Cooperation Framework 7 # 5. The Economic Community of West African States (ECOWAS) 6. The Intergovernmental Authority on Development (IGAD) 7. The Southern Africa Development Community (SADC) 8. Arab Maghreb Union (AMU)
Ghana belongs to the ECOWAS bloc and it's growing economic prosperity, poli cal and democra c stability, has made it a regional power in the ECOWAS Region. Ghana has contributed and s ll contributes significantly to the process of regional security and integra on in Africa towards a wider con nental integra on.
Ghana's President, H.E. John Dramani Mahama, the immediate past Chairman of ECOWAS, has been a strong advocate of regional integra on in Africa and made several presenta ons at interna onal mee ngs on this subject. In his acceptance speech as ECOWAS Chairman on 24th March, 2014 in Cote d'Ivoire, he noted that 'Today, Dr Nkrumah's dream for the unity of Africa is more relevant, more pressing and more desired than ever before. The libera on that Dr Nkrumah called for is not just poli cal, but also economic, social, and developmental. In line with this vision, the Economic Community of West African States remains a key vehicle for making our unity a reality. When we achieve true integra on among ourselves in ECOWAS then our sub region would, once again, lead the way for the rest of our African con nent”.
China ‐ Ghana for SADA Coopera on would aim to leverage the abundant resources of the region through inves ng in regional infrastructure to accelerate growth, purchasing power and expand trade for the mutual benefits of the people of the ECOWAS region and China.
This will be in accordance with the FOCAC Ac on Plan (2016‐2018) for the support to African countries in establishing five (5) transporta on universi es and facilitate infrastructure connec vity and economic integra on in Africa.
Consequently, the China‐Ghana for SADA Coopera on framework will be posi oned to leverage regional infrastructure investment opportuni es in the areas of Energy, Transporta on, Water and Mineral Resources, Ports, Roads, Highways & Railways, warehousing and logis cs. This would also boost exis ng coopera on mechanisms such as the Joint Working Group of Transna onal and Trans‐regional Infrastructure Coopera on in Africa.
The China-Ghana for SADA Cooperation Framework 8 .0 Chapter 3 Three CHINA – GHANA BILATERAL RELATIONS Ghana and China have enjoyed cordial diploma c and friendly rela ons over the past half‐ century and will con nue to develop this bond and bilateral coopera on in various ways from the poli cal, cultural, economic, and security interests.
The historical path of development and challenges that was faced by many African na ons led by the Republic of Ghana in the 1950s and 1960s is quite similar to that of China in their struggle for independence and freedom from various forms of imperialist control. And China, having emerged from this period of depriva on has leap frogged many countries in less than three decades to become a world economic and military super power.
3.1 Diploma c Ties between the People's Republic of China (PRC) and the Republic of Ghana China‐Ghana diploma c rela ons date back over half a century ago with key and notable es between the good people of the two na ons since the 1960s. China and Ghana officially established diploma c rela ons on 5th July, 1960.
The two countries have enjoyed a strong rela onship ever since with high‐level official visits to China by then President Nkrumah and reciprocal visits to Ghana by Premier Zhou Enlai. Since then Ghana has provided substan al diploma c support to the PRC with the PRC reciproca ng with material support for Ghana's development.
Ghana's President Dr Kwame Nkrumah in the 1960s was one of Africa's first leaders to recognise China as a PRC. He lobbied for the PRC's reinstatement into the United Na ons in the 1960s and also supported the PRC during the Sino‐Indian War in 1962. The founding fathers of the two new born republics laid a solid cornerstone for the development of bilateral es. In 1971, Ghana voted the PRC to resume its legal seat as a permanent member of the UN Security Council.
It is quite significant to note that Nkrumah was overthrown at the me he was abroad with Zhou Enlai in the People's Republic of China for a mission to Hanoi in Vietnam to help end the Vietnam War which demonstrates the very strong bond between the Republic of Ghana and the People's Republic of China at the me. Both Ghana and the PRC were developing na ons facing a number of challenges and struggles in forging a new system of belief and ideologies for their people in the midst of strong opponents and oppressions from advanced na ons at the me.
In Furtherance of the diploma c es between our na ons, on 17th February, 2015, the PRC memorandum of understanding with Ghana on mutual visa exemp on to grant holders of diploma c and service passports free entry visas was signed. This protocol is awai ng final ra fica on by the Parliament of Ghana
The China-Ghana for SADA Cooperation Framework 9 # 3.2 Economic Coopera on Between the People's Republic of China and the Republic of Ghana China has provided significant economic assistance to Ghana and made vigorous efforts to promote the development of coopera on between the two countries. On October 12, 1989, China and Ghana signed a bilateral investment treaty for the Encouragement and Reciprocal Protec on of Investments among the two na ons.
At the government to government levels, the Chinese Government assisted Ghanaians in the construc on of the Na onal Theatre, the Afefi Irriga on Project, the Dangme East District Hospital, the Teshie General Hospital, the Police and Military Barracks, the Ofankor‐Nsawam stretch of the Accra‐Kumasi Road, the Kumasi Youth Centre, the Office Block of Ministry of Defence, several rural basic schools, and the Complex of Ministry of Foreign Affairs and Regional Integra on.
The newest projects granted by the Chinese Government such as the Sports Complex in Cape Coast, the campus of the University of Health and Allied Sciences in Ho and the New Century Career training Ins tute Expansion Project in Accra started in 2013 while those supported and contracted by the Chinese side such as Bui Hydroelectric Dam, Kpong Water Supply Expansion Project, Atuabo Gas Project are all in full progress.
China Ghana coopera on on economy and trade has increased significantly with the bilateral trading volume registered $5.434 billion and the number of newly registered Chinese investment projects topped Ghana's FDI list in 2012.
The Sunon Asogli Power Plant investment by the China Africa Development Fund and Shenzhen Energy Group has been combined to the na onal grid of Ghana in 2011 and now accounts for around 14% of Ghana's electricity genera on.
Despite temporary economic difficul es in the recent past, 2015 has witnessed frui ul coopera on between our two countries. China‐Ghana's trade volume in the first three quarters of 2015 hit USD 5.01 billion, increasing by 27.9% percent over the same period of the previous year. Chinese FDI to Ghana is on constant increase. Many projects financed or aided by China are playing a crucial role in Ghana's economic transforma on and improvement of people's livelihood. G . Furthermore, Ghanaian pioneering enterprises have elevated their compe veness from their coopera on with China with a high level of great sa sfac on through the integra on of Chinese technology, advanced equipment and exper se with Ghanaian private sector.
Exchanges and coopera on in the fields of culture, educa on and medical health have also been frequent. The Chinese Government granted 111 scholarships to Ghanaian students in 2013‐2014 academic year. Training courses and seminars of diverse forms have benefited more than 500 Ghanaians from various fields in 2012. The distance learning project at the University of Ghana winning the apprecia on and acclama on of the Ghanaian users is undergoing the phase II expansion. The Chinese side has also ini ated Chinese Ambassador Scholarship Program in several well‐known Ghanaian universi es in 2012 and inaugurated the first Confucius Ins tute in Ghana in May 2013.
The China-Ghana for SADA Cooperation Framework 10 3.3 People to People Exchanges Between the People's Republic of China and the Republic of Ghana Ghana has an enviable record of people to people and cultural exchanges with the PRC spanning a very long period of me since the founding of our two na ons.
On the 18th August, 1961, Ghana's first President, Dr Kwame Nkrumah signed a Treaty of Friendship with the People's Republic of China which laid the solid founda on suppor ng the tradi onal friendship and bond between the good people of our two na ons.
It is interes ng to note that since 1979, the Ghana China Friendship Associa on (GHACHIFA) has been in existence ll date and the current President of Ghana has been a good patron and member of the Associa on since his early career days as a Member of Parliament and Minister of State. The Ghana China Friendship Associa on has a strong bond and member status with both the Chinese African Peoples Friendship Associa on (CAPFA) and the China People's Associa on for Friendship with Foreign Countries (CPAFFC). Currently, various regions and ci es of Ghana have signed historic Sister City/Province Coopera on with counterpart ci es and provinces of the PRC. Notable among them are the Fujian ‐ Greater Accra Sister City/Province Coopera on, Ningxia – Volta Region and the Jiangxi‐Northern Region Sister City/Province Coopera on.
GHACHIFA has been at the forefront of providing a conducive local environment for Chinese residents, diplomats, businessmen and visitors and constantly promote a warm and hospitable feeling among the peoples of our two na ons in a friendly way. The goal of the Associa on is to enhance friendship and promote deeper collabora on between the peoples, ins tu ons and competent authori es of Ghana and China and to solidify the bond of solidarity which happily exists amongst our two na ons and cultures.
In Ghana, the GHACHIFA has been celebra ng the anniversary of the signing of the Friendship Treaty. In August 2011, the Associa on in collabora on with the Chinese Embassy in Accra organized a weeklong celebra on marking the 50th Anniversary (Golden Jubilee) of the signing of the Friendship Treaty.
The future of this bond between Ghana and the PRC is bright and calls for the further strengthening of our economic and social es with China. There should be new dynamisms and strategies for cemen ng the rela onship and to create the atmosphere of brotherliness based on mutual trust and equality, promo ng diversity, cultural exchanges between youths, women, think tanks, media, universi es in order to sustain the China‐Africa and the China‐Ghana friendship for many genera ons to come.
Tourism is one of the key components or pillars for building a stronger people to people exchange, and through this China‐Ghana for SADA Coopera on Framework; we shall upgrade the tradi onal friendship in order to expand our coopera on in tourism and to encourage travels by the na onals of Ghana and China. The SADA Zone abounds in tourist sites and a rac ons with very huge poten als which require heavy investments in infrastructure and human capacity and skills development for which China has a perfect model to draw from.
The China-Ghana for SADA Cooperation Framework 11 # 3.4 Ghana and the 21st Century Mari me Silk Road China's modern‐day Mari me Silk Road ini a ve of the “One Belt One Road” is a framework and development strategy for the coopera on and connec on of China to Europe, Asia, the Pacific and the rest of the world from Africa to La n America. Ghana has been iden fied as part of this modern mari me silk trade route. It is therefore a unique framework for global economic prosperity. Ghana must therefore posi on itself with appropriate infrastructure and trade investment to benefit fully from this mari me silk trade route.
Interes ngly, a recent research by the Fujian Foreign Affairs Office noted that historically Ghana was involved in the ancient silk route through the supply of certain special spices by merchants and traders along the route into the Mediterranean from across the Sahara Desert. Furthermore, the Fujian Provincial Government has recently signed a Sister‐City Coopera on between the Fujian Province (which happens to be the epicentre of the One Belt and Road Ini a ve in China) and the Greater Accra Region of Ghana (which also happens to be the capital of Ghana). This coopera on is of great economic, poli cal and cultural benefit to the en re country which the SADA Zone would directly and indirectly tap into.
The One Belt and One Road ini a ve presents a unique opportunity and advantage to Ghana specifically and with regards to its role within the West African sub‐region too. Through this unique China‐Ghana for SADA Coopera on, Ghana would aim to support this vision and to extend the “one belt one road” strategy into the hinterland of Ghana and land‐locked West Africa by water transport connec ng the interior to the coast via the Volta Lake and the many rivers that feed into it as well as by rail. Such a development will ensure Ghana's full par cipa on for the economic transforma on of Africa as outlined in the FOCAC Ac on Plans, Vision and Ac ons on Jointly Building Silk Road Economic Belt and 21st Century Mari me Silk Road.
Through this China‐Ghana for SADA Coopera on and fully apprecia ng the One Belt and Road Ini a ve, Ghana looks forward to promo ng an orderly and free flow of economic ac vi es, highly efficient alloca on of resources and deep integra on of markets. We shall also seek to work with countries along the Belt and Road to achieve a stronger climate of economic policy coordina on and carry out broader and more in‐depth regional coopera on as well as crea ng an open, inclusive and balanced regional coopera on that benefits all.
The China-Ghana for SADA Cooperation Framework 12 THE MECHANISMS AND FRAMEWORK FOR .0 THE CHINA – GHANA FOR SADA Chapter 4 Four COOPERATION FRAMEWORK The China‐Ghana for SADA Coopera on captures the spirit of “China‐Africa Progressing together for win‐ win and shared development”. This principle is highly relevant for the Savannah Zone of Ghana, which is made up of more than 54% of the surface area of Ghana, comprising the Upper East Region, the Upper West Region, the Northern Region and the northern parts of the Brong Ahafo and Volta Regions.
“The China‐Ghana for SADA” Coopera on Framework outlines a strategic approach and concrete programs and project ideas around to transform the Ghanaian Savannah based on the overarching principle of a win‐win, equitable and mutually advantageous economic, social and cultural coopera on between China and Ghana.
4.1 SADA Zone's Compara ve Advantages (Specific Assets of The Zone) The area currently designated as the Northern Savannah Ecological Zone, (NSEZ)‐the SADA zone is well endowed with immense resources and resilient culturally rich and hardworking people. Whilst NSEZ has many advantages, it also scores lower in most human development indicators and has a fragile environment. We believe that the zone can transform rapidly if it is adequately posi oned and adequate investments are channelled to harness its immense compara ve advantages. Such investments will need to be backed by industry, infrastructure, educa on and training, technology transfer and the right public policies that promote growth and compe veness.
As observed, the NSEZ is blessed with vast lands and valleys, criss‐crossed by rivers suitable for commercial agriculture, irriga on, hydro power and water transport which combine to s mulate agro processing: immense deposits of unexploited minerals suitable for a wide array of industries, (e.g., Iron Ore, Oil, Limestone, Gold, Shea nuts, Co on, etc.) including the housing sector. The emerging urban centres are growing fast and also provide high returns for investments and Housing.
The zone has abundant sun throughout the year suitable for energy. It also has ample wind and biomass suitable for renewable energy. There is a large regional market to the north (Niger, Burkina, Togo, Cote d'Ivoire and the rest of Ghana to the south as well as the rest of the ECOWAS sub‐ region. The loca on will therefore help plan the zone perfectly as a transi onal belt that can a ract manufacturing and boost regional trade and a culturally rich and confident people, bolstered by centuries of civiliza on and kingdoms that interacted with the world across the Sahara Desert for Centuries before the arrival of the European on the route in the 15th Centuries.
We envision the SADA zone in 25 years as a highly diversified economy transformed by highly produc ve agriculture and agro‐industries supported by first class infrastructure and logis cs. We expect higher incomes and green landscapes and ecosystem, combined with high value added services powering modern sustainable ci es a rac ve to live in whilst boos ng the rural economy and upli ing Ghana's GDP to the top middle income group.
Sample of investment opportuni es in the SADA zone include: 1. Up to 15 small and medium sized dams that can produce more than 500 MW of hydro power across the SADA zone providing rela vely cheap energy for industries. 2. Up to 500,000 hectares of irriga on poten al in rich, flat soils with few se lements, for commercial agriculture and agro business.
The China-Ghana for SADA Cooperation Framework 13 # 3. Up to 8 million hectares of land suitable for commercial agriculture both rain‐fed and irriga on. 4. The Volta Lake that has its source in the SADA zone – poten al ac ve water transport corridor for goods and recrea onal transport along the Volta Lake to connect the interior to the hinterland, this will extend the one belt one road concept to West African Hinterland. 5. Immense tourism poten als of all sorts untapped. 6. Rich array of minerals, including industrial minerals 7. Loca on advantages – bridge the bigger Sahelian market for manufactures that can be s mulated by industrial parks, agro‐parks, export processing zones, technology parks welcoming the reloca on of first and second genera on Chinese manufacturing industries. 8. The avia on industry with the development of Tamale as an interna onal airport that cuts access to European and American markets by nearly 2 hours and it brings virtually all West African ci es to within 2 hours of flight. 9. A real estate sector that fashioning new ci es, commercial centres and recrea onal facili es across in the emerging towns and ci es. 10. Financial ins tu ons – banking and insurance. For example, SADA is se ng about establishing a Development Finance Ins tu on, similar to the Chinese Development Bank for the purpose of mobilising public and private capital for investments. 11. Communica ons technology, including component assembly. 12. Co on and tex le villages 13. An inland port and port city at Buipe to serve the landlocked ECOWAS countries 14. Railway lines serving the Zone and linking to neigbours, north, south, east and west 15. First class health and educa on facili es and training ins tu ons 16. Solar and other renewable energies
4.2 Pillars of the Strategic Coopera on Framework The China‐Ghana for SADA Coopera on Framework would be hinged on the following cri cal and strategic priority socio‐economic development factors which has been cri cally analysed as the catalyst for transforming the en re SADA Zone and hence the economy of Ghana with a rippling and mul plier effect across the ECOWAS market.
4.2.1 PILLAR ONE: Win‐win Economic Coopera on
4.2.1.1 Both SADA and China should explore a possible way of extending their coopera on beyond the usual Agro‐processing, to include priority se ng which could unleash huge resources for rapid industrial development. 4.2.1.2 To expedite large scale investment in infrastructure (Rail and Water Systems for Transport). 4.2.1.3 Both sides should explore trade agreements coupled with new financing models from loans of more favourable terms and export credits than the usual loan system. 4.2.1.4 SADA would explore a mechanism of mapping out the total volume of water in the Volta basin and their distribu on across the savannah zone for rapid irriga on of the zone. Concurrently, SADA should develop and extend current inland water transport of the Volta Lake from Tema to Burkina; this will s mulate a vibrant water transport system with huge poten al to meet expected demand in Cote D'Ivoire, Togo and Niger, etc. Such a complex transport nexus will galvanise haulage and cargo transport for the Sahelian regions beyond Ghana. 4.2.1.5 SADA should encourage their Chinese counterparts to invest in the construc on of hydro dams in many parts of the savannah zone to provide the power needed to spur developments in industry and many sectors of the economy.
The China-Ghana for SADA Cooperation Framework 14 4.2.1.6 SADA has advanced plans of construc ng a hydro‐electric dam at Juale on the O River to provide power for iron ore mining at Sheini. This should be fast tracked and all impediments removed. Other hydropower dams primed for investment include Pwalugu, Jambito, Ntereso, Tain, Daboya and Sissili among others. 4.2.1.7 The two sides should explore the possibility of establishing a railway linking the resource areas of the SADA zone to open it up for easy transporta on of raw materials and other minerals of industrial importance. This rail will link from the south and connect Buipe, Ghana's only inland port, to Iron Ore deposit at Sheini and also to the Border town of Paga. The rail network should have three routes, the Central, connec ng the south to Kumasi, Buipe, Yendi and Bawku. The Western Corridor should also connect Tarkoradi, Sunyani, Wenchi, Bamboi, Damango, Bole on to the Republic of Mali through Wa and Hamile. The Third (3rd) would be from Buipe, through Tamale, Bolgatanga, and Paga on the Burkina Faso border 4.2.1.8 Ghana‐China should collaborate to integrate mul ‐modal transport networks linking road, water and rail transport. Such a network could involve pu ng first a railway link between Tema and Akosombo, deepening and dredging the Volta lake to be capable of carrying rail barges for containers that will ul mately be offloaded at the Buipe inland port as well as passenger ferries from Akosombo to Buipe. Buipe will be an intersec on of the central corridor highway, the lake transport and the railway links described above. 4.2.1.9 Both sides should explore the possibility of building a water master plan that will pool all the synergies for the purposes of agriculture and energy produc on, transport, consump on and environmental protec on and conserva on. 4.2.1.10 SADA would encourage their Chinese counterparts to develop renewable energy poten al in the zone in partnership with local energy companies. This energy would both s mulate manufacturing and the excess power can be exported to neighbouring countries. It is in this context that China‐Ghana for SADA Coopera on can be a catalyst to create linkages across the West African market for both Ghanaian and Chinese businesses. SADA in collabora on with their Chinese counterpart should make a concerted effort to manage and control water and climate change. To do this, SADA needs to build canals for irriga on purposes which will further enhance the crea on of terminals or se lements on the water bodies for transit oriented development. In addi on, SADA should encourage massive Bamboo plan ng for greening the Volta basin as a climate change adap ve project as well as s mulate bamboo value chains. This has the poten al to create jobs and protect the environment, including mi ga ng flooding.
4.2.2 PILLAR TWO: The Coopera on for Industrialisa on
4.2.2.1 SADA needs to establish an agro‐processing pact with China to facilitate value addi on in the fruit and beverage industry. Such a pact will have high addi onal u lity. 4.2.2.2 SADA needs to explore possible ways with their Chinese counterpart to create and implement assembling plants in the SADA zone. 4.2.2.3 Both sides should collaborate to site agricultural trac on machinery and heavy duty construc on equipment assembly plants. 4.2.2.4 SADA to encourage China to take advantage of its industrial park policy to build industrial parks across the zone, including Buipe in partnership with local partners and to also facilitate development of agro industrial park, industrial technology transfer centre (Kintampo, Dembai, Buipe, Damongo, Wa, Tamale, Bolga). The mo ve is to produce elite crop of Ar sans such as
The China-Ghana for SADA Cooperation Framework 15 # a. Machine tool specialists b. Heavy equipment (including agric) operators and maintenance c. Farm management specialists for large scale farming. d. Packaging and Marke ng specialists. e. So ware and computer chip producers f. Tex le weavers 4.2.2.5 SADA to encourage China and Chinese companies, to invest in co on produc on and the construc on of a Tex les Village, to revive the co on industry in Ghana and trigger industrialisa on through tex les. Such an investment can take advantage of Ghana's market access to US and European markets. 4.2.2.6 China should assist SADA to establish an industrial technology transfer centre to train skilled manpower for industrial development (allied to the polytechnics and technical universi es, the University of Development Studies and Damongo Agriculture College.) and science and technology parks, to s mulate high level research and applica on of science. 4.2.2.7 The Chinese should collaborate with the engineering department of the polytechnics in the NSEZ to facilitate transfer of relevant prac cal skills to students. 4.2.2.8 In the area of Industrial Capacity Coopera on, Ghana welcomes the transfer of labour‐ intensive compe ve industrial capaci es of China in an orderly way as a way of increasing employment and enhancing technology transfer. 4.2.2.9 The recently established China‐Africa Industrial Capacity Coopera on Fund with a seed amount of US10 billion is a strong signal of the commitment of China to Africa's industrial development and under this China‐Ghana for SADA Coopera on; new modali es should be worked out for Ghana to benefit strongly from this fund.
Picture 1.2: Minister for Trade and Industry at CIFIT 2015 delivering a speech on the Produc on Capacity Coopera on under the New Normal It is impera ve to note that the posi ve China‐Ghana investment climate is opportune for the SADA zone. Already, SADA has on‐going partnerships with a number of Chinese companies: 1. The SADA‐Solargiga Joint Venture to establish a 200MW solar power plant in the Gushie area of the Norhtern Region. DCH‐Solargiga is part of Solargiga Energy Holdings Limited, one of the world's largest mono crystalline silicon solar ingot and wafer makers and is listed on the Hong Kong Stock Exchange. We expect the plant to cut sod before the end of this year.
The China-Ghana for SADA Cooperation Framework 16 2. An MOU is being nego ated between SADA and Beijing Fuxing Xiaocheng Technology stock co. limited (FXXC) for the purpose of developing a hydro‐power plant in Juale in the SADA Zone. FXXC is in partnership with Tianwei Solu on (Beijing) Co Ltd to set up a solar panel manufacturing plant. 3. A joint venture arrangement involving JMET CORPORATION /JIALING MOTOR COMPANY, Jiangsu Sainty Interna onal Group, Nanjing, China, a Ghanaian company, Unik Dezines and SADA to establish a tricycle assembly plant and maintenance centres. This project is opera onal in Tamale and involves over $10 million, currently beginning to supply various models of tricycles and 2‐wheelers across the SADA zone. The plan is to progressively increase the components that can be produced in the SADA zone. 4. SADA and ZTE CORPORATION has entered into an MOU for the purpose of exploring the establishment of industrial zones in the SADA Zone. ZTE is a Chinese Corpora on registered address at ZTE Plaza, Keji Road South, Hi‐Tech Industrial Park, Nanshan District, Shenzhen, Peoples Republic of China 5. Lk Interna onal Ghana Limited: SADA and LK have entered into an MOU for the purpose of SADA facilita ng LK's establishment of agricultural equipment and tricycle assembly plant. 6. SADA‐ HENAN JIANGHAI Coopera on. The two ins tu ons signed an MOU to explore a range of investment opportuni es.
4.2.3 PILLAR THREE: Coopera on under the China‐Africa Agricultural Modernisa on
4.2.3.1 SADA will explore the possibility of paying par cular a en on to highly skilled professional requirements for the savannah zone in order to drive development sustainably. SADA and China needs to explore this great opportunity to build capaci es at various levels of the manpower er to enhance produc vity across all sectors. Human resource development and capacity building is the fulcrum on which the success of this development and transforma ve agenda could hinge on. 4.2.3.2 SADA and China should explore mechanisms for modernising agriculture by strengthening SADA‐ China agricultural coopera on's in a very special way to contribute to excess food for export. Priority should be given in context China‐SADA coopera on projects. This coopera on will enhance agricultural transforma on and upgrading, increase agricultural produc on, processing and income, and safeguard food security in Ghana bearing in mind the prevailing regulatory requirements. 4.2.3.3 Ministry of Food and Agriculture (MOFA) and SADA should con nue to strengthen coopera on in the fields of agricultural policy consulta on, planning and design, and support the implementa on of the Comprehensive Africa Development Programme (CADP) where SADA will be a beneficiary through assis ng to build agriculture technology demonstra on centre, sending professionals for technical coopera on, and training agricultural technicians. 4.2.3.4 SADA and China should explore the possibility of carrying out agricultural demonstra on projects in the SADA zone, build or upgrade agricultural technology demonstra on centres such as the co on and tex le village model, to make co on and tex le manufacturing a major foreign income earner in NSEZ. 4.2.3.5 SADA should collaborate with CAAMS to establish mechanisa on centres to train agricultural experts and teachers to provide voca onal educa on to SADA and to increase the number of assistance given to agro‐technology and administra on in SADA in other to improve overall agricultural technology and management.
The China-Ghana for SADA Cooperation Framework 17 # 4.2.3.6 SADA should explore the possibility of accessing assistance from China to develop water harves ng, conserva on and irriga on projects leading to prosperity in the SADA zone 4.2.3.7 Both sides should encourage the trade of agricultural products, improve trade policies, assess methods to promote agricultural trade, and con nuously scale up the trade of agricultural products between china and SADA.
4.2.4 PILLAR FOUR: Coopera on in Infrastructure Development
4.2.4.1 SADA recognises and agree that underdeveloped infrastructure is one of the bo lenecks hindering independent and sustainable development of the NSEZ zone. SADA therefore seeks partnership with china to take concrete measures and give priority to encourage Chinese businesses and financial ins tu ons to expand investment through various means, such as public‐private partnership (PPP) and build‐Operate‐transfer (BOT) as well as through technical coopera on; to support SADA infrastructure development programme in the efforts to build railroad, highway, ports, electricity, water supply, informa on technology and other infrastructural projects. 4.2.4.2 SADA and China would explore and cooperate on the planning and construc on of transna onal highway in the NSEZ to achieve a higher sub‐regional connec vity and integra on. 4.2.4.3 Both sides would collaborate and explore the mechanism of mapping out the volume of water in the Volta basin and their distribu on across the savannah zone for transport. 4.2.4.4 Both sides would collaborate and explore a SADA master plan that will pool all the synergies for the purposes of construc on, produc on and transport. 4.2.4.5 The need to explore and build canals for irriga on purposes which will further enhance the crea on of terminals or se lements on the water bodies for transit oriented development. 4.2.4.6 Loca on advantages–bridge the bigger Sahelian market for manufactures that can be s mulated by industrial parks, agro‐parks, technology parks welcoming the reloca on of first genera on Chinese manufacturing industries. 4.2.4.7 The avia on industry with the development of Tamale as an interna onal airport that cuts access to European and American markets by nearly 2 hours and it brings virtually all West African ci es to 2 hours of flight as part of implemen ng the China‐Africa regional avia on coopera on programme. 4.2.4.8 A real estate sector that can serve the wider Savannah and the Sahelian economy to the north. 4.2.4.9 China should explore the establishment of a China‐Africa civil avia on school in the SADA Zone of Ghana as well as consider Ghana in the set‐up of the five (5) transporta on universi es in Africa. 4.2.4.10 Both sides to explore developing a number of port infrastructure projects along the Volta basin and integrated with tourism development opportuni es as well as linking the Volta Lake which already meets the South Atlan c Ocean and connected to the Port of Tema in the Greater Accra Region of Ghana and other ports on the West African coast.
The China-Ghana for SADA Cooperation Framework 18 4.2.5 PILLAR FIVE: Coopera on in Minerals, Mining and Value Addi on
4.2.5.1 SADA should cooperate with China in the area of mineral resource development in the NSEZ on a win‐win basis. 4.2.5.2 SADA seeks to promote world class Chinese ins tu ons and companies with exper se in mining and processing to mine and add value to these mineral resources 4.2.5.3 Both sides would agree to develop the industrial mineral (par cularly clay) sector as well as train locals on modern produc on technologies that can enhance the development of low cost building materials which holds the poten al to boost the real estate and infrastructural sectors of the NSEZ. 4.2.5.4 SADA would encourage China to invest in hydrocarbon explora on within the NSEZ 4.2.5.5 SADA and China agree to develop iron and manganese deposits in the NSEZ for the fast development of the steel industry to support the infrastructural development in the zone. 4.2.5.6 SADA to facilitate the issuance of mineral concessions for Chinese companies with local partners. This would encourage technological transfer in the area of mineral resource development and mining. 4.2.5.7 China should collaborate with the University for Development Studies (UDS) to upgrade the Earth Science Department, training skilled man power to take up the challenge of aligning the mineral resources of the NSEZ to drive the development of the zone.
4.2.6 PILLAR SIX: Coopera on in Trade, Finance and Investment Facilita on
4.2.6.1 SADA will welcome an opportunity to learn the experience of the Great Western Development Program and to apply these lessons posi vely to transform the bigger half o he land space of Ghana that have been neglected for far too long. 4.2.6.2 SADA will tackle the bureaucracy such as permits and access to tax concessions provided by the law and expand investment and economic coopera on; SADA will also endeavour to solve the land acquisi on problems; fill the informa on gaps to enable investors to invest and help solve problems that investors encounter in the zone. 4.2.6.3 SADA will encourage the Chinese side to support the development and opera on of overseas business coopera on zones, special economic zones, freezones, etc. The development of special economic zones and freezones are special incen ves that SADA is mandated to provide to prospec ve investors in the SADA zone. 4.2.6.4 Both sides should support the establishment of logis c centres by Chinese enterprises that will ease trade in the SADA Zone as well as outlying neighbouring African countries that will benefit from the China‐Ghana for SADA Coopera on's immense economic boom 4.2.6.5 SADA will explore the possibility of accessing funds from the CAD Fund which has received a big boost in its capital. 4.2.6.6 SADA will explore building rela onship with the Silk Road Infrastructure Fund as a further step in promo ng win‐win coopera on 4.2.6.7 SADA looks forward to the Chinese side enhancing coopera on with the African Development Bank, ECOWAS Bank for Investment and Development (EBID) and other sub‐regional financial ins tu ons. The China-Ghana for SADA Cooperation Framework 19 # 4.2.6.8 SADA would seek to tap into financing mechanisms such as the Africa Growing Together Fund and Special Loans to Support Small and Medium Sized Enterprises in Africa which has been increased from US$ 1billion to US$ 6billion. 4.2.6.9 SADA will encourage the Chinese side to support Chinese and Ghanaian financial ins tu ons to strengthen coopera on, including opening of more branches in our respec ve countries as well as suppor ng ini a ves for enhancing China‐Ghana financial coopera on. 4.2.6.10 SADA will explore the benefits of working closely with the sovereign wealth fund of China; the China Investment Corpora on and Central Huijin Investments Ltd to look at innova ve ways of suppor ng the China‐Ghana for SADA Coopera on Framework. 4.2.6.11 The Coopera on between SADA and China would posi on Chinese state‐owned banks to reap substan al benefits in partnering and funding business ventures in Ghana especially in the SADA Zone considering the availability of natural resources for win‐win coopera on and mutual gains. 4.2.6.12 SADA is in the process of se ng up a Development Finance Ins tu on similar to the Chinese Development Bank (CDB) mainly and strategically targeted at development projects in the SADA Zones and in a bid to mobilising public and private capital for investments and would encourage Chinese state banks to look at inves ng in the new financing vehicle and other related financing models.
4.2.7 PILLAR SEVEN: Coopera on in Poverty Reduc on
4.2.7.1 The two sides should explore the right opportunity to strengthen coopera on on poverty reduc on between the People's Republic of China and SADA. 4.2.7.2 The two sides could explore the possibility of organising a SADA poverty reduc on and development forum to provide an in‐depth understanding on poverty eradica on strategies and policies and to gradually establish a mul ‐level inter government and inter society dialogue mechanism for poverty eradica on. 4.2.7.3 SADA in collabora on with China will con nue to hold workshops on poverty eradica on policies tailored to the needs of people in the SADA zone and offer educa onal programmes on poverty eradica on and development. 4.2.7.4 SADA should liaise with China to carry out village community level demonstra on projects on poverty eradica on and cooperate to implement village‐ community‐level comprehensive development project and help implement satellite T.V programmes. 4.2.7.5 SADA should work with China and relevant ins tu ons to launch joint research projects, offer consultancy services on poverty reduc on programmes focusing on women and children. 4.2.7.6 The two sides should mobilise resources including non‐governmental organisa ons to implement programmes that will ensure a happy life for the people of the SADA zone.
The China-Ghana for SADA Cooperation Framework 20 . 2.8 PILLAR EIGHT: Coopera on in Health, Educa on and Skills Development
4.2.8.1 SADA recognises that the shortage of professional and skilled persons is another major bo leneck constraining NSEZ sustainable development. Both sides should therefore strengthen coopera on in educa on and human resource development. 4.2.8.2 SADA should collaborate with China to offer higher degree educa on Opportuni es and some government scholarships to SADA. There should be another level of collabora on to welcome more SADA youth to study in China, innovate and expand ways for training SADA professionals 4.2.8.3 SADA will collaborate with China to train SADA senior professionals in administra on, economic development and technical management for na onal development through the south‐south coopera on. 4.2.8.4 SADA should collaborate with China to renovate as well as build voca onal and technical training facili es, establish a number of regional voca onal educa on centres and colleges for capacity building in the SADA zone and provide them with more training opportuni es in China 4.2.8.5 The China should assist SADA to develop public health systems and policies, help SADA to improve the public health surveillance, epidemiological and preven on systems, strengthen preven on and treatment of malaria and other common infec ous and communicable diseases in NSEZ.
4.2.9 PILLAR NINE: Coopera on in People‐People and cultural exchange
4.2.9.1 Both SADA and China will promote dialogue, mutual learning between cultures whiles respec ng the cultural uniqueness of each country. 4.2.9.2 Both countries would provide pla orms for an effec ve arena for bilateral exchanges in cultural policies. 4.2.9.3 Both sides will seek to maintain high level inter‐governmental mutual visits and dialogue in the cultural field and will con nue to follow through on the implementa on of the plan. 4.2.9.4 Both sides would con nue to build brand sister ci es to deepen understanding of and exchanges between each other. Each major town in SADA should have a sister City. 4.2.9.5 Both sides would be encouraged to support par cipa on by china SADA art and culture groups and ar sts in intercultural and art ac vi es. 4.2.9.6 The two side are encouraged to promote microsocial projects, promote mutual visits by non‐ government organisa ons and support extensive people to people exchanges and coopera on between them. 4.2.9.7 Both sides would appreciate the forma on of China‐SADA youth forum, which will serve as a pla orm for China ‐SADA youth dialogue and coopera on. 4.2.9.8 Both sides should encourage the sending of young Volunteers to both China and SADA zone on internship. 4.2.9.9 The two sides are encouraged to strengthen exchanges on gender equality and further deepen prac cal coopera on on women and gender affairs via dialogues between female leaders, seminars, sill training, human capacity development and cultural exchanges.
The China-Ghana for SADA Cooperation Framework 21 # 4.2.10 PILLAR TEN: Social Development Coopera on
4.2.10.1 SADA appreciate Chinas longstanding assistance for social development and humanitarian assistance, without any poli cal condi on, in diverse forms that will help it to eradicate poverty in the zone and improve livelihood such as agriculture, health, infrastructure, educa on under the framework of south‐ south coopera on. 4.2.10.2 SADA will cooperate with the Chinese side to con nue to scale up its assistance to the zone and for that ma er Ghana. 4.2.10.3 The expecta on is for China to support SADA to develop its public health systems and policies, to improve health, surveillance, epidemiological, and preven on systems and strengthens preven on and treatment of Malaria and other common infec ons and communicable diseases in Africa, enhance the assistance in maternal and child health, reproduc ve health and other fields in the zone. 4.2.10.4 The two sides support the sending of medical teams to SADA zone including short term medical teams.
4.2.11 PILLAR ELEVEN: Coopera on in Green Economy and Environmental Sanita on
4.2.11.1 The two sides would support ini a ves and coopera on in environmental protec on and solicit support for Ghana and the SADA Zone in bolstering its capacity for green, low‐carbon and sustainable development. 4.2.11.2 SADA will collaborate with Chinese waste management companies to use modern technologies of plas c waste recycling, a menace in Ghana. 4.2.11.3 SADA would partner with the Chinese to establish plas c waste recycling centres to train and equip people in the SADA zone with modern techniques of collec on and recycling of plas c waste. 4.2.11.4 The SADA side welcomes the opportunity by China in suppor ng Africa launch 100 projects to develop clean energy, protect wildlife, promote environmental friendly agriculture and build smart ci es, to become climate resilient. 4.2.11.5 SADA would seek for funding from China to embark on Bamboo cul va on and other tree species along the Volta Lake with advanced scien fic coopera on and policy dialogue on climate change mi ga on in order to tackle environmental risks and vulnerabili es. 4.2.11.6 SADA will work with both the African side and the Chinese government in the efforts towards the protec on of wildlife resources and welcome the set‐up of the China‐Africa Environment Coopera on Centre and the launch of the China‐Africa Green Innova on Project as well as the introduc on of the African Green Envoys Programme. 4.2.11.7 SADA appreciates the announcement of the Chinese Aid to make available 20billion Renminbi Yuan for the set‐up of the China South‐South Coopera on fund to support the combat of climate change as well as enhance capaci es to access the Green Climate Fund. 4.2.11.8 SADA will cooperate with China in pushing forward dialogue and coopera on on China‐Africa and China‐Ghana green finance or climate finance ini a ves. 4.2.11.9 SADA will strongly back China's effort in the development and provision of solar and other renewable technologies in the SADA Zone where the solar irradia ons are rela vely high. These are modest beginnings and although hopeful do not begin to scratch the surface of the immense poten als that lie untapped in the SADA Zone. The China-Ghana for SADA Cooperation Framework 22 .0 Chapter 5 Five THE FINANCING MECHANISMS OR MODELS The financing mechanisms or models for financing the China‐Ghana for SADA Coopera on Framework refer to the financing vehicles through which resources could be channelled or leveraged to support the implementa on of the various pillars defined in Chapter Four of this coopera on document. We propose the following mechanisms: 5.1 ECOWAS Bank For Investment And Development (EBID) The ECOWAS Bank for Investment and Development (EBID), is the financial ins tu on established by the 15 Member States of the Economic Community of West African States (ECOWAS) comprising Benin, Burkina Faso, Cape Verde, Côte d'Ivoire, The Gambia, Ghana, Guinea, Guinea‐Bissau, Liberia, Mali, Niger, Nigeria, Senegal, Sierra Leone and Togo. The Bank's headquarters is in Lome, Togo. Overall, EBID aims at contribu ng to the economic development of West Africa through the financing of projects and programmes in par cular, those related to transport, energy, telecommunica ons, industry, poverty allevia on, environment and natural resource. Within the scope of its corporate object, the EBID cooperates with na onal and sub‐regional development organisa ons opera ng within and outside the Community. Furthermore, the Bank cooperates with other interna onal organisa ons with similar aims and other ins tu ons involved in the development of the Community. The nature of the China‐Ghana for SADA Coopera on has in itself an in‐built strategy to leverage resources across the West African economic community by suppor ng the growth and development of joint infrastructure programmes that cut across Ghana to all neighbouring countries to enhance a stronger integra on of our economies and markets. And one of the strongest resources is the Volta basin. The Volta basin is shared by six riparian countries in West Africa namely; Benin, Burkina Faso, Cote d'Ivoire, Ghana, Mali and Togo. Recognising the importance of coordinated management of shared natural resources, the Heads of States established the Volta Basin Authority (VBA) to promote permanent consulta on and sustainable development of water and related resources of the Volta basin for equitable distribu on of benefits towards poverty allevia on and be er socio‐economic integra on. The strategic direc on to enhance the China‐Africa coopera on further and as strongly supported through this coopera on framework is to ensure that West Africa's sub‐regional financial body is well resourced to tap into the FOCAC financial plan to support ac vi es to be undertaken by SADA under the framework and pillars of the China‐Ghana for SADA Coopera on. In effect, stronger support from China to the EBID would bolster interna onal coopera on and regional integra on in West Africa and to use it as one of the strategic coopera on tools for promo ng China‐Africa trade and investment as well as infrastructure and industrial growth and development. 5.2 The Savannah Investment and Development Bank As the People's Republic of China together with the BRICs countries forge and champion the establishment of the BRICS New Development Bank and having its African Regional Centre in The China-Ghana for SADA Cooperation Framework 23 # South Africa with a focus on suppor ng development in Africa par cularly in infrastructure and sustainable development projects, SADA on the one hand is also working strongly for the establishment of a Development Bank geared and targeted towards the overall development of the Northern Savannah Ecological Zone (NSEZ) i.e. the SADA zone of Ghana. The dynamics of this development finance ins tu on is to seek for long‐term capital with less strings‐a ached which could be used to catapult the long‐term vision of the SADA zone and at the same me serve as a backbone and catalyst for the industrializa on of the economy of Ghana at large. 5.3 Ghana Infrastructure Investment Fund The Ghana Infrastructure Investment Fund has been recently set‐up as a strategic development ini a ve to posi on the Republic of Ghana for a faster na onal economic development. It is a sovereign investment fund established by statute to lead, promote, facilitate, fund, and backstop the development of, and investment in, infrastructure. Development of industrial infrastructure in the context of accelerated economic growth will provide early opportuni es for the Ghana Infrastructure Investment Fund to now focus on. And despite Ghana's economy showing an average economic growth rate of 5.0% per year over the past two decades, leading to a ainment of lower middle income status of $1,300 per capita in 2010, infrastructure and industry have lagged behind. The crea on of GIIF is therefore an impetus to re‐invigorate economic opportuni es especially through commercial infrastructure that can pay for themselves. It is an cipated that investment in power genera on, railways, roads, port services, etc., in direct coordina on with industrial investment will contribute significantly to growth and expansion in the economy in a win‐win for investors and the country. The structure and strategy of the Ghana Infrastructure Investment Fund could be one of the means of financing investments in the SADA Zone by incorpora ng innova ve financial instruments and models that could be leveraged on to support the SADA infrastructure investments and projects on large scale. And as the Fund is a key na onal development trigger, win‐win coopera on by the Chinese government with the Ghana Infrastructure Fund in structuring support to SADA would also lead to a be er policy coordina on and implementa on of infrastructure development from the central government and as well as provide sufficient safeguard in pooling resources and guarantees where needed. 5.4 Ghana Exim Bank Another key instrument of the China‐Ghana for SADA Coopera on would be the newly established Ghana Exim Bank facili es which is intended to promote and expand local industrializa on and promote trade and commerce as well as support agriculture and the Small and Medium‐sized enterprises in order to be well posi oned for growth and the export market. The Ghana Exim Bank is founded by the integra on of exis ng state‐funded financial ins tu ons in the area of trade made up of the Export Trade, Agricultural and Industrial Development Fund (EDAIF), the Export Finance Company Limited (EFCL) and the Exim guaranty Company Ghana Limited (ECL) into a more unified and well consolidated export credit agency. Ghana is uniquely located in the 'centre' of the world with equidistance to the markets of North and La n Americas, Europe and the UK as well as to other African countries and the rest of Asia. Already, opportuni es for the African Growth and Opportuni es Act by the US government as well as the subsequent implementa on of the EU Economic Partnership Agreement by the
The China-Ghana for SADA Cooperation Framework 24 African, Caribbean and the Pacific (ACP) countries calls for the development of Africa's produc on and industrial capaci es in order to par cularly trade more posi vely with the US and Europe. Thus the overall view of the China‐Africa and the China‐Ghana coopera on could be strengthened from the side of trade and investment and also improving the industrial capaci es of Africa through partnerships with Chinese corpora ons seeking to locate in Africa and to export to the African market as well as the markets of Europe and the Americas. Therefore, having strong home‐made policies with proper func oning export credit and finance ins tu ons could help spur the development of local businesses and with further coopera on with Chinese counterparts, a posi ve and a win‐win opportunity could be created. The China‐Ghana for SADA Coopera on would strongly advocate for the building of a es with the newly set‐up Ghana Exim Bank for financial coopera on and developing financial models and services to meet local business needs and to partner strongly with Chinese financial ins tu ons in cross‐border transac ons and trade. 5.5 Industrial Bank of Ghana led by the Associa on of Ghanaian Industries Ghana's industrial sector has a great deal of poten al looking at our history in the past and the support put in place by our na on's founder who had a dream of transforming the economy of Ghana and had cooperated with the People's Republic of China on a lot of common and shared ideologies and policies for moving their people out of the tentacles of poverty and oppression from colonial and imperial forces. The above notwithstanding, most of the fortunes of the industrial sector has been dwindling recently due to a number of challenges and set‐backs and key amongst them has been lack of adequate funding and costly where available as well as government crowding out private sector. Access to credit has consistently been listed as the number one challenge hindering the growth of businesses in the country, par cularly those in the SME bracket according to Associa on of Ghana Industries (AGI) business barometer reports. In view of the above, the Associa on of Ghana Industries have been nurturing the idea of an Industrial Bank modelled in terms similar to the Industrial and Commercial Bank of China (ICBC). And this is quite a unique opportunity for a deeper China‐Ghana financial coopera on as well as help posi on Chinese and Ghanaian industrialists and enterprises to seek coopera on. Chinese investors se ng up in Ghana can also a ract or derive support from the Industrial Bank of Ghana if there exists a stronger coopera on between the Bank and financial ins tu ons in China in suppor ng the founda ons and capaci es of Ghana's Industrial Bank. These unique financial models and mechanisms could be well leveraged to fasten the processes of the FOCAC Ac on Plan and financial plans to a higher degree and gran ng the opportunity for a more integrated financial market of the Chinese side and that of the Ghana side and further boost government to government and business to business as well as people to people coopera on among our two na ons. 5.6 Nature of financing partnerships The China‐Ghana for SADA coopera on will explore mul ple mechanisms for achieving the objec ves outlined above including grants, so loans, and commercial investments through public private partnerships, joint ventures, Build Operate and Transfer schemes and a combina on of the above.
The China-Ghana for SADA Cooperation Framework 25 # .0 Chapter 6 Six IMPLEMENTATION MODALITIES 6.1 Establishment of a China representa ve office SADA aims to establish a representa ve office in China to act as a link between SADA and China. The office shall be strategically staffed and maintained by both SADA and its agents in China. The office will work closely with the Ministry of Foreign affairs and Regional Integra on, the Ghanaian Embassy in China and the Chinese Embassy in Ghana to undertake the following func ons: a. Be the premier source of informa on to investors, researchers, and the Chinese public interested in Ghana and the SADA Zone in par cular. b. Ac vely prospect for investments from Chinese companies into the SADA Zone of Ghana c. Respond to queries in the first instance from investors and poten al investors from China d. Ac vely promote and deepen rela ons between Ghana and hence SADA and China and e. Act as a one‐stop shop for SADA‐China coopera on 6.2 Joint SADA‐China working group SADA shall form a joint SADA‐China working group to oversee the successful realiza on of the framework objec ves. The working group will both formulate and monitor key projects and undertakings in rela on to the strategic partnership with China. The working group shall be made of both staff in the China office and Ghana offices and shall be a permanent working group. The working group shall regularly develop methodologies and tools for ensuring the relevance, efficiency and effec veness of the SADA‐China coopera on. This could include a research project on impact assessment, which can inform the development of a more prac cal and hands‐on tool for a transforma onal agenda of SADA
6.3 Coordina on with Ghana Investment Promo on Centre (GIPC) and other agencies The implementa on of the framework involves several other government agencies such as GIPC, the Ghana Exports Promo on Centre, the EXIM Bank, the Ministry of Food and Agriculture (MOFA) the Ministry of Trade and Investment (MOTI), among others. While the SADA plays a leading role in terms of the development of the NSEZ, other government agencies also have a part to play in coopera on, in order to promote and implement the framework jointly. Therefore, a cross‐agency group communica on mechanism will be established, coordina ng various government agencies to carry out the various aspects of the coopera on as may be required on a case by case basis. SADA will work closely with GIPC, and draw from the exper se of to operate the China representa ve office.
The China-Ghana for SADA Cooperation Framework 26 6.4. A SADA‐China Business Pla orm SADA aims to establish (1) an on‐line investment informa on pla orm that is bilingual – English and Mandarin, as part of SADA's broader investments promo on drive (2) A SADA‐China Business roundtable held regularly that brings business people from both sides – Ghana/SADA and China – together on a regular basis to foster business partnerships and contribute to the enabling environment for promo ng investments in the SADA Zone. 6.5 Ensuring orderly and mutually beneficial access to land and government incen ves to promote investments and development. SADA is building a Land Bank and developing a Land Trust to assist investments in the zone. The Land Bank will be land acquired by SADA (as a public en ty) which it can sub‐lease to investors or use it as a contribu on to equity as the case may be. This is to make it easier for land acquisi on but also to ensure that SADA nego ates for joint ventures and long‐las ng benefits for communi es and land owners. The Land Trust is a legal mechanism to encourage land owners to pool their lands and cede them temporarily into the pool to be managed by the Trust on behalf of their members. This is to enable communi es and land owners develop the capacity to nego ate collec vely, provide more confidence to investors whilst ensuring enduring benefits to land owners. SADA will also assist investors to take advantage of government incen ves and help them navigate tedious procedures. SADA is also promo ng a financing vehicle which can be used to address long‐term financing needs, leverage capital locally and abroad and address risk factors. These are some of the ways SADA will posi on itself to realise the elements of the China‐Ghana for SADA Coopera on Framework.
The China-Ghana for SADA Cooperation Framework 27 # The China-Ghana for SADA Cooperation Framework 28 APPENDIX THE SAVANNAH IN CONTEXT
Brief Summary Administrative Boundaries Irrigation, Hydropower And Renewable Energy Ghana and SADA at a glance Development Financing Hydrographic Network of the SADA Zone
The China-Ghana for SADA Cooperation Framework 29 # THE SAVANNAH IN CONTEXT BRIEF SUMMARY
The China-Ghana for SADA Cooperation Framework 30 ADMINISTRATIVE BOUNDARIES
IRRIGATION, HYDROPOWER Example of ready AND RENEWABLE ENERGY made project KEY OPPORTUNITIES
At least 23 poten al dam sites that can be developed of various Bui Irriga on Scheme purpose; A minimum of 95 small poten al dam and weir sites that could bring 1968 Land and Water to produc on 104,000 ha in small and mid‐sized irriga on schemes Survey (FAO) Over 8 million ha suitable for rain‐fed or irrigated agriculture under 25 crop/LUTs; 1976 Bui Hydropower Feasibility (SMEC) Over 553MW of poten al installed capacity (2,276 Gwh) in new sites for hydropower genera on (excluding the exis ng capacity at Bui); 1995 Bui 174,000 ha to 400,000 ha in gross irrigable area to be developed for Hydropower Update (Coyne et Bellier) irriga on under 5 major ready‐made (exis ng feasibility studies) irriga on schemes, including: 2013 Bui Irriga on o Bui Irriga on Scheme Feasibility (Royal Haskoning) o Pwalugu irriga on Scheme o Nasia‐Nabogo Irriga on Scheme o Daka Irriga on Scheme o Fumbisi Irriga on Scheme
The China-Ghana for SADA Cooperation Framework 31 # GHANA AND SADA AT A GLANCE
GDP GROWTH RATES [%]
15.00 10.00 5.00 0.00 2010 2011 2012 2013 2014
ANGOLA EGYPT, ARAB REP.
ETHIOPIA GHANA
NIGERIA OECD MEMBERS
SUB‐SAHARAN AFRICA (ALL INCOME LEVELS)
FDI INFLOWS AS % OF GDP
10% 8% 6% 4% 2% 0% 2010 2011 2012 2013 ‐2% NIGERIA SOUTH AFRICA EGYPT, ARAB REP.
ALGERIA GHANA KENYA
The China-Ghana for SADA Cooperation Framework 32 DEVELOPMENT FINANCING How to do business in Ghana
The China-Ghana for SADA Cooperation Framework 33 # HYDROGRAPHIC NETWORK OF THE SADA ZONE
The SADA Zone is drained by the Volta river system comprising the Red,Black and White Voltas and the O River. The Volta basin covers an es mated 409,805 kilometre square of surface area accross the six riparian countries of Benin,Baukina Faso, Cote d'ivore ,Ghana,Mali and Togo.
The China-Ghana for SADA Cooperation Framework 34 Directorates
Corporate Affairs & Rela onship Coordina on
Social Development
Infrastructure, Lands and Natural Resources
Agriculture and Agribusiness
Private Sector Investment
Research, Planning, Monitoring, Evalua on and Learning
Finance & Business Services CONTACTS
ACCRA OFFICE TAMALE OFFICE House # 16, 15th Link, Cantonments Lamashegu, Industrial Area Opposite American Embassy, P.O. Box TL 883 Accra-Ghana Tamale, Northern Region Email:[email protected] Ghana Tel:+233 (0) 302 776 787 Email:[email protected] www.sadagh.org Tel:+233 (0) 37 202 897/8 www.sadagh.org
BRONG AHAFO REGIONAL OFFICE NORTHERN REGIONAL OFFICE Municipal Assembly Compound C/O Northern Regional Coordinating Council, ICT Building P. O. Box TL 100 P. O. Box 20 Tamale Kintampo
UPPER EAST REGIONAL OFFICE UPPER WEST REGIONAL OFFICE c/o The Regional Planning and Coordinating Regional Coordinating Council Unit (RPCU) P. O. Box 151 Regional Coordinating Council Wa Bolgatanga
VOLTA REGIONAL OFFICE c/o Krachi East District Assembly. (World Vision International Premises) P. O. Box 1 Dambai - Volta Region