Key Partnership for Ghana's 24H+ Programme
A significant development has taken place in the ongoing efforts to advance Ghana’s 24-Hour Economy Plus (24H+) Programme. This initiative, designed to drive economic transformation, has gained renewed momentum through a financing agreement between the programme’s Secretariat and the Arab Bank for Economic Development in Africa (BADEA). The signing of this Memorandum of Understanding (MoU) occurred at the Bank of Ghana (BoG) headquarters in Accra, marking a pivotal moment for the country’s economic strategy.
The MoU outlines a potential $500 million in financing, with the first tranche of $60 million being channeled through the Development Bank Ghana (DBG). This institution will act as an anchor for on-lending to small- and medium-sized enterprises (SMEs). Other domestic banks and non-bank financial institutions are anticipated to join in future phases, further expanding the programme’s reach.
This collaboration is a crucial step in the government’s broader objective to mobilize over $4 billion within five years to support the 24H+ Programme. This flagship initiative aims to enhance the domestic productive base, strengthen value chains, and accelerate export-led growth.
Strategic Alignment with Economic Goals
Speaking on behalf of Governor Dr. Johnson Asiama, who was presiding over the central bank’s 126th Monetary Policy Committee meeting, Second Deputy Governor Matilda Asante-Asiedu emphasized the importance of the partnership. She described it as a critical milestone in aligning long-term finance with Ghana’s structural transformation agenda.
“Unlocking affordable, patient capital for SMEs and cooperatives is essential if we are to sustain the momentum of economic diversification,” she remarked. “The Bank of Ghana welcomes BADEA’s commitment and we stand ready to provide the regulatory oversight necessary to ensure these resources are channelled effectively into productive sectors of the economy.”
BADEA's Long-Term Commitment
The agreement was signed in the presence of a high-level BADEA delegation led by President Abdullah KH Almusaibeeh, accompanied by Dr. Fatima Farouk Elsheikh El Toun, Secretary General of the Boards of Governors and Directors, and other senior officials. Mr. Almusaibeeh highlighted that BADEA, which has a history of interactions with Ghana, is expanding its engagements beyond traditional commodity finance into infrastructure, SME, and value-chain financing.
“BADEA has historically stood with Ghana, whether during cocoa syndications or in the difficult period of the COVID-19 pandemic. This partnership marks a new phase, one in which BADEA commits not only funding but also long-term support for Ghana’s ambition to build a more diversified, inclusive, and export-ready economy,” he stated.
Program Structure and Financial Instruments
Under the facility, concessional loans will be provided at interest rates below 12 percent, with repayment periods ranging from five to seven years. The products available will include working capital, asset finance, warehouse receipt loans, input financing, invoice discounting, and climate-aligned finance. An accompanying equity fund is also planned to support growth-stage enterprises, particularly those led by youth and women.
To mitigate risk, the facility will be backed by credit guarantees and insurance schemes developed in collaboration with the Ghana Incentive-Based Risk Sharing System for Agricultural Lending (GIRSAL) and other partners. Additionally, a digital loan application portal will be deployed to improve transparency, speed up credit scoring, and broaden financial inclusion.
Fund24 and Broader Financing Strategy
The MoU forms part of Fund24, the financing pillar of the 24H+ Programme. According to Presidential Advisor on the 24-Hour Economy Goosie Tanoh, the partnership with BADEA complements an earlier MoU with the African Development Bank (AfDB), with further discussions ongoing with other development finance institutions.
“The ambition is to source funding across multiple windows; infrastructure, SME finance, agricultural value chains and human capital development,” Mr. Tanoh said. He highlighted the Volta Economic Corridor as a priority for infrastructure and value-chain development, alongside projects in Kumasi, Central Region, and Western North.
Expected Impact and Governance Measures
By 2030, the facility is projected to mobilize more than $18 billion in SME financing, strengthen agro-processing and logistics value chains, and build a pipeline of investment-ready enterprises. The programme is also designed to foster a transition toward inclusive, patient capital that can sustain the economic transformation.
Addressing concerns about governance, Mr. Tanoh stressed that the funds would not flow directly to the Secretariat or government accounts but rather through the private sector. “This is a private sector-driven programme. The idea is to create a de-risked lending and equity investment environment that assures investors – whether through debt or equity – that their capital will be prudently managed, secured by credit backstops and deployed to generate returns,” he explained.
Next Steps and Implementation
Following the MoU, the Secretariat and BADEA will move to sign agreements with participating financial institutions (PFIs), establish a joint steering committee to oversee implementation, and operationalize a $120 million trade finance facility alongside the on-lending programme. Further steps include providing technical assistance and capacity building to partner institutions and SMEs, including export-readiness and business development services.
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