Ghana could lose up to $21.3 billion in economic value and as many as 435,000 jobs over the next five years if urgent policy measures are not taken to counter intensifying competition from neighbouring countries, the Chamber of Agribusiness Ghana (CAG) has warned.
In a media statement dated February 9, 2026, the Chamber said Benin’s newly announced aggressive investor-attraction strategy is accelerating the relocation of manufacturing and agro-processing firms from Ghana to competing regional economies.
According to the Chamber’s technical analysis, Ghana faces the potential relocation or closure of between 395 and 535 factories from 2026 to 2030, with agro-processing accounting for about 40 percent of the affected facilities. The projected losses also include $4.0 billion to $6.6 billion in diverted foreign direct investment, alongside declining tax revenues and rising unemployment.
The Chamber noted that Ghana’s cost of doing business is increasingly uncompetitive when compared with Benin, Côte d’Ivoire, and Nigeria, particularly in areas such as corporate taxation, electricity tariffs, port dwell time, and import duties on machinery.
Ghana’s manufacturing sector is projected to shrink from 11.3 percent of GDP to 7.8 percent, while unemployment could rise by 1.8 to 3.2 percentage points if current trends persist.
In the statement, the Chamber warned that the threat is no longer hypothetical. “We are not talking about future risks; we are experiencing factory closures and skills migration right now,” the document stated.
Despite the risks, the Chamber maintained that Ghana still possesses strong fundamentals. “The good news is that Ghana retains significant competitive advantages: democratic stability, rule of law, English language, strategic location, and AfCFTA headquarters,” the statement said.
The Chamber called on government to respond decisively, stressing that delays would worsen the country’s industrial decline. “Every week of delay means more factories lost, more jobs eliminated, and more skilled professionals leaving our shores. The time for action is now,” the statement concluded.
DISCLAIMER: The Views, Comments, Opinions, Contributions and Statements made by Readers and Contributors on this platform do not necessarily represent the views or policy of Multimedia Group Limited.
DISCLAIMER: The Views, Comments, Opinions, Contributions and Statements made by Readers and Contributors on this platform do not necessarily represent the views or policy of Multimedia Group Limited.
Source: www.myjoyonline.com