Ghana stands at a crossroads.

Despite being one of Africa's most stable democracies and possessing abundant natural resources, the nation continues to haemorrhage billions of cedis annually through a pattern that has persisted since independence: exporting raw materials whilst importing finished goods and specialised services.

From medical procedures performed in Indian hospitals to gold, bauxite, manganese, and lithium shipped abroad unprocessed, from technology solutions imported rather than developed locally to roads built by foreign contractors, Ghana's wealth systematically flows outward.

The mathematics of this arrangement are stark and unsustainable. Without deliberate, strategic intervention to build domestic capacity across critical sectors, the country will remain perpetually dependent and unable to provide for its citizens' needs.

The Medical Exodus: A Haemorrhaging of Health and Wealth

Each year, thousands of Ghanaians travel abroad for medical procedures that their health system cannot provide. India has become the primary destination, with patients seeking cardiac surgeries, advanced cancer treatments, neurosurgery, organ transplants, and specialised orthopaedic procedures.

Medical tourism costs Ghana an estimated $60-100 million annually according to Ministry of Health data, with the Korle Bu Teaching Hospital alone referring 200-300 patients abroad annually. Ghana has fewer than ten cardiothoracic surgeons for a population exceeding 33 million.

Short-term strategies (1-3 years): Establish "Centres of Excellence" partnerships with leading institutions in India, South Africa, and Singapore, where Ghanaian surgeons receive accelerated training in specialised procedures.

Implement retention packages offering competitive salaries (matching 70% of diaspora earnings), research grants, and modern facilities. Create a "Medical Specialist Immigration Fast Track" offering citizenship pathways to skilled surgeons willing to commit five years of service.

Medium-term strategies (3-7 years): Establish three dedicated Centres of Excellence focusing on cardiac care, oncology, and neurosurgery, equipped with state-of-the-art technology. Expand University of Ghana Medical School and KNUST medical programmes to include mandatory specialisation pathways. Partner with Cuba's successful medical education model to rapidly train specialists at lower costs.

**Long-term strategies (7-15 years):** Position Ghana as West Africa's medical hub, attracting regional patients and generating foreign exchange.

This mirrors Thailand's transformation—from sending patients abroad in the 1980s to becoming a $4.7 billion medical tourism destination today through deliberate government investment in training and infrastructure.

## The Mineral Wealth Paradox: Gold, Bauxite, Manganese, Lithium, and Iron

Ghana's mineral sector represents the most egregious wealth extraction. As Africa's largest gold producer with approximately 130-140 tonnes annually, gold accounted for 96.9% of total mineral revenue in 2023—approximately $11.64 billion in exports.

Yet foreign companies own roughly 90% of large-scale operations and repatriated over $2.5 billion in profits in 2022 alone, whilst Ghana captured merely 10-15% through royalties and taxes.

Beyond gold, Ghana possesses Africa's second-largest bauxite reserves—an estimated 900 million tonnes in Awaso, Nyinahin, and Kibi. Since the 1940s, Ghana has exported raw bauxite whilst importing finished aluminium products worth up to 45,000 tonnes annually. Manganese production reached 3.2 million tonnes in 2022, with Ghana ranking as the world's fourth-largest exporter, yet 95% is exported unprocessed. The recent lithium discovery, with reserves of 35.3 million tonnes at the Ewoyaa project, has attracted global attention as battery demand surges, with worldwide lithium mines numbering just 45 as of 2022.

**Ghana's Green Minerals Policy (2023)** explicitly prohibits exporting raw lithium, manganese, and bauxite—a groundbreaking decision that, if enforced, could transform the economy. This policy alone distinguishes Ghana from resource-cursed neighbours.

**Short-term strategies (1-3 years):** Renegotiate existing mining agreements to increase government equity stakes from current 10% to minimum 30% in all operations. Mandate that 20% of extracted gold be refined domestically through facilities like the Royal Ghana Gold Refinery (inaugurated August 2024) and Gold Coast Refinery.

Implement enforceable local content requirements: 40% Ghanaian labour, 30% local procurement, with graduated increases. For lithium, the Minerals Income Investment Fund's $33 million investment in Atlantic Lithium (September 2023) demonstrates state participation, but this must become the template for all mineral ventures.

**Medium-term strategies (3-7 years):** Fast-track GIADEC's integrated aluminium industry—from bauxite mining through alumina refining to aluminium smelting. GIADEC's partnership with Mytilineos S.A. for Project 3A (Nyinahin-Mpasaaso mine and alumina refinery) will create over 1,500 jobs and finally establish domestic alumina production to feed the VALCO smelter. The UAE's Emirates Global Aluminium MOU includes developing 125-kilometre railway infrastructure to Takoradi port, transforming logistics. Establish lithium processing facilities to produce battery-grade lithium hydroxide rather than exporting spodumene concentrate, capturing 500% more value.

**Long-term strategies (7-15 years):** Develop full battery manufacturing capability, positioning Ghana as Africa's electric vehicle battery hub. The Madison Alumina partnership proposes 5,000 MW solar-powered production alongside converting bauxite's red mud residue into cement and caustic soda—eliminating waste whilst creating new industries.

This integrated approach could generate over 20,000 jobs. Botswana's model through Debswana (50-50 partnership with De Beers) demonstrates how state participation captures value: Botswana now cuts and polishes diamonds domestically, employing thousands. Ghana must replicate this across all minerals within 15 years.

## Cocoa: The Centuries-Old Scandal

Ghana produces 800,000-900,000 tonnes of cocoa annually—nearly 20% of global supply—yet captures just 1.5% of the $130 billion global chocolate industry's value. Ghana exports roughly 90% as raw beans at $2,000-2,500 per tonne, which become products worth $10,000-15,000 per tonne in European factories. The nation left approximately $3-5 billion on the table in 2023 alone.

**Short-term strategies:** Provide $200 million in low-interest financing for cocoa processing facilities. Support existing companies like Niche Cocoa with export marketing assistance targeting African and Asian markets where Ghanaian brands face less entrenched competition.

**Medium-term strategies:** Mandate that 40% of cocoa be processed domestically within five years, increasing to 60% within ten years. Establish the "Ghana Chocolate Marketing Board" to develop premium Ghanaian brands, modelling Switzerland's Lindt or Belgium's Godiva. Partner with Ghana's creative industries to develop world-class branding.

**Long-term strategies:** Process 75% domestically within 20 years, creating 50,000 manufacturing jobs. Côte d'Ivoire processes over 30% domestically; Ghana should surpass this within ten years and become Africa's chocolate manufacturing hub.

## Infrastructure: Building Our Own Roads

Foreign contractors, predominantly Chinese, execute approximately 70% of major infrastructure projects. Chinese firms alone account for over 60% of major road contracts awarded between 2018-2023. This costs Ghana 30-40% more than necessary when accounting for profit repatriation, imported materials, and lost capacity-building opportunities.

**Short-term strategies:** Implement mandatory technology transfer agreements in all infrastructure contracts exceeding $10 million. Require 40% local content (labour, materials, management) initially, increasing 5% annually. Establish the "Ghana Infrastructure Academy" partnering with Ethiopian Roads Authority, which successfully developed domestic construction capacity over two decades.

**Medium-term strategies:** Create preferential financing for Ghanaian construction firms through Ghana Infrastructure Investment Fund. KNUST and University of Ghana produce hundreds of civil engineering graduates annually—create internship programmes placing them on major projects. Mandate foreign contractors employ Ghanaian engineers in supervisory roles.

**Long-term strategies:** Achieve 70% domestic execution of infrastructure projects within 15 years. Rwanda's local content policies resulted in Rwandan firms progressively handling more complex projects; Ghana possesses superior human capital and should surpass Rwanda's trajectory.

## Technology: The Fourth Industrial Revolution Imperative

Ghana's ICT sector, valued at approximately 1.5 billion cedis annually ($95 million), contributes 18% to total employment and is forecast to drive 40% of future economic growth according to UN estimates. Yet the sector faces critical challenges: Ghana ranks just 15th among 47 African countries in the 2024 ICT Development Index. Information and communication technologies contribute 13.7% to GDP, but the sector remains heavily dependent on imported solutions.

In 2024, Ghana's tech ecosystem raised approximately $66 million, led by Fido's $30 million Series B funding. Fintech dominates, employing a third of tech workers, but hardware manufacturing and enterprise software development remain minimal. Mobile penetration reaches 134% (multiple subscriptions per person), yet 5G launched only in November 2024, years behind Nigeria and South Africa.

**Short-term strategies (1-3 years):** Fast-track the pending Startup Bill (proposed since 2020) offering tax incentives: 5-year corporate tax holidays for registered tech startups, zero import duties on technology equipment, and simplified incorporation processes. Establish the "Ghana Digital Solutions Fund" with $100 million capitalisation to provide seed funding (maximum $500,000) for locally-developed solutions addressing Ghanaian problems—agricultural tech, health tech, education tech, and government service digitisation. Create "Gov-Tech Procurement Preference" requiring government agencies to first consider Ghanaian solutions before importing foreign software, with 20% price advantage for local providers.

**Medium-term strategies (3-7 years):** Partner with India's IT training institutes to establish "Ghana Coding Academies" in all regional capitals, training 10,000 software developers annually. India's NIIT model transformed millions into skilled developers; Ghana should replicate this targeting youth unemployment. Establish an "African Silicon Valley" Special Economic Zone in Accra offering world-class infrastructure, tax incentives, and streamlined business processes. Rwanda's Kigali Innovation City and Kenya's Konza Technology City demonstrate African tech hubs' viability. Mandate 30% local technology content in all government digitisation projects, creating guaranteed markets for Ghanaian developers.

**Long-term strategies (7-15 years):** Develop indigenous technology giants competing regionally and globally. Starlink's September 2024 entry demonstrates Ghana's market attractiveness; Ghana should nurture companies competing with foreign tech giants. Establish smartphone and computer assembly plants, following Rwanda's Mara Phones model—Africa's first smartphone manufacturing plant (October 2019). With China's rising labour costs, Ghana can attract electronics assembly through competitive electricity tariffs and educated workforce. Position Ghana as West Africa's technology services hub, exporting software solutions and digital services across the region.

## The Political Economy of Transformation: Learning from Success

South Korea, Singapore, Rwanda, and Vietnam provide instructive models. South Korea's Heavy and Chemical Industry Drive (1970s-1980s) used temporary subsidies showing statistically significant effects on firm sales 30 years later. Singapore's Economic Development Board aggressively courted foreign investment whilst mandating technology transfer and local skills development. Rwanda, emerging from genocide in 1994, achieved 10% GDP growth in 2021 through government-led investment in infrastructure, education, and strategic sectors, ranking 29th globally in Ease of Doing Business—ahead of Japan and Switzerland. Vietnam joined electronics value chains without developing full component manufacturing, leveraging abundant labour for assembly whilst progressively moving up the value chain.

**Ghana's advantages:** Democratic stability, English language proficiency, relatively strong educational foundation, abundant natural resources, and strategic West African location. These exceed what Singapore, South Korea, or Rwanda possessed at their transformation commencement.

**Critical success factors from successful industrialisers:**

1. **Policy consistency across political administrations:** South Korea and Singapore maintained industrial policy direction despite political changes. Ghana's four-year election cycles create policy discontinuity—this must be overcome through cross-party industrial policy consensus.

2. **Aggressive technology transfer requirements:** All successful countries mandated that foreign investment include genuine skills transfer. Ghana's current foreign investment approach is too permissive.

3. **Strategic government participation:** Rwanda's government holds strategic stakes ensuring national interest alignment. Ghana must similarly participate across strategic sectors.

4. **Investment in technical education:** South Korea massively expanded technical universities; Ghana must double engineering and technical graduate output within five years.

5. **Export orientation from inception:** Small domestic markets cannot support economies of scale. Ghana must design industries for regional and global markets.

6. **Long-term patient capital:** These transformations required 15-30 years of sustained investment. Ghana must establish sovereign wealth funds channelling resource revenues into industrial development rather than current consumption.

## Financing the Transformation

Ghana already spends these resources—they simply flow outward. The $60-100 million on medical tourism, premiums paid for foreign contractors, billions in foregone cocoa processing revenues, and mining profits repatriated abroad collectively exceed $10 billion annually. Redirecting even 30% would provide $3 billion annually for capacity building.

**Additional financing mechanisms:** Improved tax administration (Ghana's tax-to-GDP ratio of 13% should reach 20%); leverage natural resources through strategic partnerships requiring genuine value addition; access African Development Bank's industrialisation financing; establish sovereign wealth fund ensuring resource revenues finance development.

## Conclusion: Transformation or Continued Dependency

Ghana's choice is stark: continue exporting raw materials and importing expertise, remaining perpetually dependent, or make the difficult investments necessary to build domestic capacity. The resources exist. The human capital exists. What remains uncertain is whether the political will exists to transform Ghana from a supplier of raw materials into a nation that adds value, creates wealth, and keeps that wealth within its borders.

The next decade will determine whether Ghana finally steps up—or continues watching its wealth flow abroad whilst its citizens search for opportunities beyond its borders. The time for half-measures has passed; Ghana must industrialise deliberately or perish economically. The examples of Rwanda, South Korea, Singapore, and Vietnam prove transformation is possible; Ghana possesses superior advantages to each at their starting points. All that remains is the courage to act.

By: Dominic Senayah

The author is an International Relations Specialist.