The government is pushing forward with a new Palm Industry Policy that will see 50,000 hectares of oil palm cultivated nationwide, positioning the crop as a major economic pillar alongside cocoa.

The first phase of the project, covering 20,000 hectares, will require an investment of $100 million, according to Minister for Finance Dr Cassiel Ato Forson.

Announcing the move in a Facebook post on Friday, April 4, 2025, Dr Forson said the policy forms part of a broader plan to reduce Ghana’s dependence on palm oil imports while creating jobs and boosting agribusiness growth.

“We are looking to attract private sector investment to cultivate 50,000 hectares of palm. For the first 20,000 hectares alone, we estimate a need for $100 million in investment,” Dr Forson stated.

He cited Malaysia’s successful transformation of its economy through oil palm cultivation as a model for Ghana to emulate. Despite being well-suited for oil palm production, Ghana remains a net importer of palm oil.

“We must reverse this. Our neighbour, Côte d’Ivoire, is already exporting, which underlines the urgency for Ghana to scale up,” he noted.

The Palm Industry Policy is expected to create thousands of jobs in rural communities and contribute to Ghana’s import substitution agenda.

Dr Forson revealed that, as part of plans to support the palm initiative and other high-impact sectors, the Ministry of Finance will soon set up a Real Sector Division. This new unit will identify and develop key areas of economic growth, particularly agribusiness and responsible mining.

The announcement follows a meeting between the Finance Ministry and officials from British International Investment (BII), the UK government’s development finance institution. BII currently has more than $200 million invested in Ghana, primarily in the energy sector.

Dr Forson said BII has shown strong interest in expanding its investment footprint to include small and medium-sized enterprises (SMEs), forestry, and banking.

“They are also considering bringing their full board to Ghana for the first time in nearly a decade,” he added.

The government’s latest initiative comes as part of a renewed focus on value-added agriculture and targeted investments to stimulate the real economy.