Companies and investors who set up factories outside Ghana’s capital, Accra, will benefit from tax incentives under a new government strategy to decentralize industrial development and ease pressure on the overcrowded city.

The Deputy Minister of Finance, Mr. Thomas Ampem Nyarko, disclosed the policy when the Ministry of Finance appeared before Parliament’s Economic and Development Committee on Tuesday, June 9, 2026.

He explained that the initiative forms part of a broader plan to ensure a fairer distribution of economic opportunities across the country.

Mr. Nyarko noted that the heavy concentration of industries in Accra had fueled rural-urban migration, congestion, and uneven development. He said the government was determined to reverse the trend by encouraging investors to move beyond the capital.

“We want to spread industrial activity to help improve living standards and reduce inequality,” he told the committee.

Data-Driven Incentives

The Deputy Minister added that the incentives would be guided by data to ensure they were well-targeted and effective in stimulating growth in underserved areas. According to him, the tax relief would be structured to attract serious investors prepared to commit to sustainable operations.

He further stated that the government would closely monitor compliance to ensure beneficiaries contribute meaningfully to local economies.

The policy is expected to ease pressure on infrastructure in Accra, which has long been the primary destination for both domestic migrants and foreign investment. Accra’s rapid expansion has strained housing, transport, water, and sanitation systems, while other regions have lagged behind in development.

Beyond Tax Breaks

Mr. Nyarko emphasized that the initiative went beyond tax incentives alone. He noted that it would be supported by improvements in infrastructure, access to credit, and skills training – three areas that investors have consistently cited as barriers to operating outside major urban centers.

The Deputy Minister assured the committee that the government remained committed to building a resilient economy anchored on data-driven policies and inclusive growth. He urged stakeholders to support the long-term plan, describing it as key to Ghana’s sustainable development.

Long-Term Vision

For his part, the Chairperson of the National Development Planning Commission (NDPC), Dr Nii Moi Thompson, outlined a broader long-term development vision for the country. He said the plan sought to promote balanced growth across all regions, with industrial hubs to be established at strategic locations to harness local resources and create jobs.

Dr Thompson added that the Commission was working closely with ministries and agencies to align policies with the national development agenda.

The NDPC’s vision includes identifying specific locations outside Accra where infrastructure, land, and access to raw materials make them suitable for industrial development. These hubs are intended to attract manufacturing, agro-processing, and other industries that can generate employment and stimulate local economies.

Context and Challenges

Ghana’s economy has long been characterized by sharp regional disparities. The Greater Accra Region, despite being the smallest in land area, contributes the largest share of the country’s gross domestic product. Meanwhile, regions such as the Northern, Savannah, and North East regions have significantly lower levels of industrial activity and higher rates of poverty.

Previous efforts to decentralize industry have faced challenges, including inadequate road and rail networks, unreliable electricity supply in some areas, and difficulties in accessing financing for businesses operating outside Accra and Kumasi, the second-largest city.

The government’s commitment to improving infrastructure, credit access, and skills training alongside tax incentives suggests a recognition that tax breaks alone may not be sufficient to shift investment patterns.

Next Steps

The Ministry of Finance has not yet released detailed guidelines on the tax incentives, including the specific types of taxes to be reduced or waived, the duration of the relief, or the criteria for qualifying businesses. Mr. Nyarko indicated that these details would be developed in consultation with the Ghana Revenue Authority and other stakeholders.

The policy is expected to be implemented in phases, with pilot industrial hubs to be announced in the coming months.

Ghana has placed an order for 1,840 pieces of agricultural equipment from Belarusian state-owned enterprise Gomselmash, marking the first major tangible outcome of decades of diplomatic relations between the two nations, President John Dramani Mahama announced on Monday.

Speaking at the Ghana-Belarus Business Forum in Minsk, Mahama described the procurement deal as the initial fruit of a renewed push to convert longstanding political ties into measurable economic results. The equipment will be deployed to farming service centres being established across Ghana to provide machinery, technical support, and modern farming services to the country’s predominantly smallholder agricultural sector.

“As I speak today, Ghana has placed an order of 1,840 pieces of agricultural equipment in Belarus. But this is only the beginning,” Mahama told the forum.

The deal represents a significant step in Ghana’s efforts to mechanize agriculture, a sector that accounts for roughly 20 percent of the country’s gross domestic product and employs nearly a third of its labour force. Despite its economic importance, Ghanaian agriculture remains largely rain-fed and labour-intensive, with low adoption of mechanized equipment contributing to persistent post-harvest losses and below-potential yields.

Gomselmash’s Track Record

The equipment will be supplied by Gomselmash, a Belarusian enterprise with an international reputation for producing combine harvesters, forage harvesters, and other heavy agricultural machinery. The company, based in the city of Gomel, has been a cornerstone of Belarus’s agricultural export strategy, supplying equipment to markets across Europe, Asia, and Africa.

Belarus itself is a global leader in agricultural machinery production, with a Soviet-era industrial base that has been modernized for export markets. The country’s tractor manufacturer Minsk Tractor Works (MTZ) and Gomselmash have long sought to expand their footprint in Africa, where growing populations and a push for food self-sufficiency are driving demand for farm mechanization.

Beyond the Current Order

Mahama extended an open invitation to Belarusian investors to participate in a wider range of agricultural ventures in Ghana, including commercial farming, irrigation development, greenhouse production, fertilizer manufacturing, aquaculture, food processing, and agricultural logistics.

“We are not only buying machines,” the President said. “We are inviting partnership.”

The move aligns with Ghana’s broader economic strategy under Mahama’s administration, which has prioritized agricultural modernization as a pillar of its 24-hour economy and accelerated export development program. That program aims to expand industrial output and position Ghana as a leading production and export hub within Africa, leveraging the African Continental Free Trade Area (AfCFTA), for which Accra hosts the secretariat.

MOUs Formalize Cooperation

On the sidelines of the forum, Ghana and Belarus signed two memoranda of understanding. The first establishes a joint commission for economic cooperation, creating a formal bilateral mechanism to oversee trade and investment. The second covers agricultural production cooperation between the chambers of commerce of the two countries, facilitating business-to-business linkages.

The agreements lay the foundation for a relationship that Mahama said would move beyond diplomatic exchanges into measurable investment, job creation, and technology transfer. Diplomatic ties between Ghana and Belarus date back to the Soviet era, but trade volumes have remained negligible compared to Ghana’s relationships with traditional partners such as China, the European Union, and the United States.

Market Context

Ghana’s agricultural machinery market has historically been dominated by second-hand equipment from Europe and Asia, with limited access to financing for new machinery. The government’s establishment of farming service centres – public or public-private facilities where smallholders can rent equipment – is designed to bypass the affordability barrier that prevents individual farmers from purchasing tractors and combines outright.

Analysts will be watching whether the Belarusian equipment proves durable and maintainable under West African conditions, where spare parts supply chains and technical expertise have often been weak points for non-traditional machinery imports.

Neither the total value of the order nor the financing terms were disclosed. The government has not yet announced a timeline for delivery or the rollout of the service centres.

For Belarus, the deal offers a foothold in a growing West African market at a time when the country, under Western sanctions over its support for Russia’s war in Ukraine, has been aggressively seeking new trade partners in Africa, Asia, and the Middle East.

BREST, Belarus – President John Dramani Mahama has turned to Belarusian agro-processing technology to tackle one of Ghana’s most persistent agricultural woes: post-harvest losses, which continue to bleed the nation’s food supply and farmer incomes.

On the second day of his state visit to Belarus, President Mahama toured the industrial city of Brest, home to one of the country’s largest agro-processing facilities.

The visit, according to a presidency statement, focused on advanced dairy production technologies, including the processing of baby food, milk, cheese, and milk powder for domestic and global markets.

But beyond dairy, the President’s mission carried a sharper edge for Ghana’s broader agricultural transformation.

“We are here to tap into Belarus’ vast experience as we work to make Ghana self-dependent in food production,” President Mahama said after touring the high-tech plant.

He added that one of the primary objectives of the visit was to identify technical solutions to reduce post-harvest losses, describing the issue as “a major challenge confronting Ghanaian farmers.”

Post-harvest losses in Ghana’s agricultural sector, particularly for perishable crops such as vegetables, fruits, and dairy, have long undermined food security efforts. The lack of modern cold-chain infrastructure, processing facilities, and storage technologies means that significant portions of the country’s harvest spoil before reaching markets.

Ghana loses approximately $1.9 billion to $2 billion of its agricultural produce annually, with post-harvest losses reaching between 20% and 50% for various crops.

Belarus, by contrast, is a global leader in dairy product exports, including milk powder, butter, and cheese, with advanced processing systems that minimize waste and maximize shelf life.

Accompanied by his Advisor and Special Aide, Joyce Bawah Mogtari, and Ghana’s Ambassador to Moscow, Dr. Koma Steem Jehu-Appiah, President Mahama observed the plant’s automated production lines and packaging systems.

The facility’s Managing Director, Aleksandr Savchits, disclosed that the company recorded more than $1.4 billion in profit last year, a figure that underscored the commercial viability of the model Ghana is now studying.

Savchits also revealed that the company had recently begun exporting dairy products to Ghana and was looking forward to increasing export volumes as bilateral trade relations continue to strengthen.

President Mahama extended an invitation to Belarusian investors to partner with Ghanaian businesses and industry associations, emphasizing mutual benefits. The statement reaffirmed Ghana’s commitment to adopting modern processing techniques to facilitate the transition from smallholder farming to large-scale commercial agriculture.

For Ghanaian farmers who currently watch a fraction of their yield rot before it can be sold, the Belarus visit offers a potential lifeline, if the technology and partnerships can be successfully adapted to West African conditions.