China has once again emerged as Ghana’s largest source of foreign direct investment (FDI) for 2025, reaffirming its position as a dominant economic partner in West Africa’s industrial growth. Data from the Ghana Investment Promotion Centre (GIPC) show that Chinese investors accounted for the highest number of registered projects and total capital commitments in the first half of the year.
According to the GIPC’s Half-Year Investment Report (2025), China contributed nearly 35 percent of all new FDI projects approved between January and June 2025, spanning key sectors such as manufacturing, construction, energy, and agribusiness.
The total value of Chinese-led projects is estimated at US$480 million, reflecting a renewed push by Chinese firms into Ghana’s real economy following the post-COVID investment slowdown.
The report identifies the United Kingdom, India, and South Africa as other leading investment sources, but none matched the scale and spread of Chinese capital inflows.
Speaking at a recent press briefing in Accra, Simon Madjie, the Chief Executive Officer of the GIPC, said the continued confidence of Chinese investors underscores Ghana’s attractiveness as a business destination in Africa.
“China’s strong presence in Ghana’s investment landscape reflects our deepening economic ties and the growing trust in Ghana’s policy stability. Our focus is to ensure that these investments translate into jobs, technology transfer, and sustainable industrial growth,” he said.
China’s engagement in Ghana’s economy has evolved beyond traditional infrastructure financing. In 2025, new investments have increasingly targeted manufacturing, agro-processing, and renewable energy, signaling a gradual shift from state-led mega projects to private-sector-driven ventures.
A notable example is the establishment of a ceramic tile production plant in the Western Region and an agro-processing facility in the Eastern Region, both fully funded by Chinese enterprises. These projects are expected to create over 2,000 direct and indirect jobs and enhance local value addition.
Trade and economic analysts say this diversification is a positive step toward balancing Ghana’s trade deficit with China, which stood at nearly US$3.2 billion in 2024, largely due to imports of machinery, electronics, and consumer goods.
However, concerns persist about the long-term sustainability of Chinese-led investments, particularly in relation to technology transfer, local ownership, and environmental impact.
In an interview with the Business and Financial Times, economist Dr. Patrick Asuming from the University of Ghana emphasized that while Chinese capital is vital, Ghana must strengthen its capacity to negotiate better terms.
“China’s investment footprint in Ghana is undeniable, but we must ensure that every dollar of FDI aligns with our national development strategy and promotes skills transfer. That’s the only way to make the partnership mutually beneficial,” he said.
To address these concerns, the GIPC has begun working with the Ministry of Trade and Industry and the Ghana Standards Authority to establish new frameworks for local participation and technology collaboration within foreign projects.
The growing Chinese presence also reflects Beijing’s continued interest in Africa’s emerging markets. Analysts note that Ghana’s stable democracy, improving infrastructure, and expanding consumer base make it an attractive entry point for Asian investors targeting the ECOWAS subregion.
With FDI inflows into Ghana up 382 percent in the first half of 2025, much of the momentum has been driven by Asian capital, led by China. As the global economy stabilizes, Ghana’s ability to maintain this investment flow while safeguarding local industries will be key to its long-term economic resilience.
