Japan has reaffirmed its growing confidence in Ghana’s economy, citing political stability, a skilled workforce and improving infrastructure as key factors driving Japanese investment into the country.
As the world’s fifth-largest economy and a global manufacturing leader, Japan is directing investments into Ghana’s electronics, automobile and logistics sectors, with prospects for future collaboration in artificial intelligence and robotics.
Data from the United Nations Commodity Trade Statistics Database (UN Comtrade) show that Japanese companies invested more than US$152 million in Ghana between 2000 and 2024. Bilateral trade between the two countries also grew by 24 per cent from 2020 to 2024.
Mr Yoshimoto Hiroshi, Japan’s Ambassador to Ghana, and Mr Niloy Banerjee, Resident Representative of the United Nations Development Programme (UNDP) in Ghana, highlighted these developments at a capacity-building workshop held in Accra.
The three-day workshop, themed “Unlocking Trade and Investment Opportunities in the Context of the AfCFTA,” aimed to equip Ghanaian Small and Medium-sized Enterprises (SMEs) with the knowledge and tools to navigate intra-African trade under the African Continental Free Trade Area (AfCFTA).
Ambassador Hiroshi noted that Japan sees significant opportunities for partnership in agro-processing, light manufacturing, digital innovation, green technologies and SME upgrading to integrate into regional and global value chains.
He observed that Ghana’s investment climate was becoming increasingly attractive and called for stronger mechanisms to fully unlock the benefits of the AfCFTA framework.
The Ambassador added that Ghana’s leadership in financial services and regulatory reforms within the region positions it as a strong destination for long-term Japanese investment.
Highlighting Japan’s development philosophy of “Kaizen” – continuous improvement in productivity, quality and skills – he urged both government and private sector actors to pursue deliberate action and institutional coordination to make the vision of a single African market a reality.
“Capacity building is not an accessory to economic transformation; it is one of its foundations,” he said, advocating sustained engagement between regulatory bodies and the business community.
He further called for enhanced trade facilitation measures, streamlined port clearance processes and improved dispute resolution systems. He also stressed the importance of targeted support for women- and youth-led enterprises to improve access to markets, finance and technology.
Mr Banerjee, speaking to the Ghana News Agency, said Ghana’s political stability, educated workforce and expanding infrastructure were positioning the country as a preferred investment hub for Japanese firms in West Africa.
He disclosed that Japan was working with Ghanaian authorities to reduce value-added tax (VAT) burdens for Japanese companies, a move aimed at lowering business costs and strengthening bilateral trade ties.
“Japan is a manufacturing and trading superpower. The fact that it is investing in Ghana signals strong investor confidence, driven by political stability, skilled labour and improved infrastructure,” he said.
He pointed to ongoing improvements in ports, road networks and electricity supply as factors enhancing Ghana’s attractiveness as a regional base for Japanese operations.
However, Mr Banerjee cautioned that Ghana and other African countries were yet to fully leverage the AfCFTA’s potential. He encouraged deeper partnerships and continuous SME support, particularly in understanding trade protocols and compliance requirements.
He noted that SMEs account for about 70 per cent of private sector employment in Ghana and stand to benefit significantly from reduced trade barriers under AfCFTA implementation.
Mr Benjamin Kwaku Asiam, Acting Coordinator of Ghana’s AfCFTA National Coordination Office, said about 25 African countries had fully domesticated and gazetted the agreement into national law.
“Agreements are agreements – if we don’t empower SMEs to act, they will remain on the shelves,” he said, stressing the importance of capacity building and institutional strengthening to enhance the competitiveness of Ghanaian and African businesses.
Participants agreed that sustained reforms, infrastructure development and SME empowerment would be critical to consolidating Japanese investment confidence and maximising Ghana’s gains under the AfCFTA framework.
