General News of Thursday, 17 April 2025
Source: www.ghanawebbers.com
Ghana's Strategic Choices in a Changing Global Economy
Ghana faces important decisions about its international priorities. The global economic landscape is evolving rapidly. Historically, the United States has had strong ties with Africa. However, under the Trump administration, the focus shifted away from development. Instead, it emphasized strategic containment of China.
Ghana needs to look beyond rhetoric and seek real partnerships. China stands out as a potential partner for measurable growth. Over the years, donor dependency has hindered Ghana’s development efforts. This reliance limits long-term self-sufficiency.
In contrast, China offers consistent infrastructure and industrial partnerships. These partnerships are often less bureaucratic and politically conditioned.
China's Global Industrial Edge
China is now the world's largest manufacturer. It contributes over 28% of global industrial output. In 2023, it produced 60% of global electric vehicles (EVs). Additionally, China controls over 70% of the solar panel supply chain.
Huawei had contracts to build 5G networks in over 60 countries by 2022. The Belt and Road Initiative (BRI) has agreements with 149 countries, including nearly all African nations. Between 2000 and 2020, China committed $155 billion in loans to Africa. In comparison, the U.S. provided less than $60 billion during that time.
China quickly engages in development partnerships without heavy conditions or delays.
Ten Reasons Ghana Should Take China More Seriously
1. Infrastructure Execution: Chinese funding can fast-track roads and energy projects.
Sinohydro has already helped construct major roads in Ghana.
A recent project was commissioned in Cape Coast on September 26, 2022.
This road project is part of a larger agreement with Sinohydro Corporation Limited.
More such partnerships could help close Ghana’s infrastructure gap.
2. Technology Access: Chinese innovations can modernize Ghana’s economy.
Huawei provides critical telecommunications infrastructure in Ghana.
They also invest in ICT training programs for local students.
3. Healthcare Support: China's pharmaceutical industry offers affordable solutions for health challenges.
Ghana can learn from Nigeria's healthcare collaboration with Chinese suppliers.
4. Skills Development: Education partnerships can address STEM gaps in Ghana.
Many students benefit from Chinese government scholarships already.
Expanding vocational training centers could equip thousands with technical skills.
5. Manufacturing Potential: With Chinese support, Ghana can shift to value-added processing.
Key sectors include cocoa processing and automotive assembly.
6. Agricultural Innovation: Mechanized farming from China can improve food systems.
Innovations like drone-assisted farming could boost productivity significantly.
7. Renewable Energy Growth: Joint projects could stabilize power supply while promoting clean energy.
The Bui Dam exemplifies successful collaboration between Ghana and China.
8. Attracting FDI: Ghana can become a hub for Chinese investors in West Africa.
Companies like Sunda Group contribute significantly to job creation here.
9. Cultural and Tourism Exchange: There’s potential to attract more Chinese tourists to Ghana.
The “Year of Return” campaign showcased this opportunity well.
10. Strategic Diplomacy: A solid policy towards China enhances Ghana's geopolitical leverage.
Balancing relationships with both China and Western allies benefits negotiations on various issues.
The Trump Doctrine: America First, Africa Later
Under President Trump, U.S.-Africa relations changed significantly. Funding cuts affected agencies supporting Africa's development agenda like WHO and UN programs. Although Prosper Africa aimed to increase trade, its implementation was slow and limited.
USAID reduced operations across several African nations during this period too. While DFC pledged investments, actual disbursements were much lower than China's financing efforts.
The U.S.'s inward turn left a gap that China quickly filled.
A Call to Action
To realize this vision, the Government of Ghana should:
- Establish a Strategic Development Council for bilateral projects with China.
- Prioritize new agreements in technology, health, and education sectors.
- Develop Special Economic Zones supported by Chinese capital expertise.
- Launch joint training centers tailored for industrial sectors like ICT.
- Promote exports to China through targeted diplomatic missions.
Conclusion: Choosing Partnerships That Deliver
Ghana must base its development on pragmatism rather than sentimentality or historical ties.
China shows readiness to invest across various sectors—from roads to clean energy—offering significant opportunities for collaboration.
Our country cannot afford to wait for benevolence; we must act decisively now! As global alliances shift, adopting a development-first diplomacy is crucial for progress with partners like China who provide tangible support.
It is time for bold action; our future depends on it!