Ghana’s cocoa output is set to be of around 900,000 tonnes in the 2020/2021 season, which is up 5.8 per cent from the forecast for 2019/2020, according the Cocoa Board (COCOBOD) parliamentary report
As cited in Reuters, the COCOBOD aims to raise US$1.3bn in syndicated loans to fund the purchase of cocoa during the 2020/21 season from a consortium of banks and financial institutions, the government being the guarantor.
According to the source, the loan is expected to carry a yearly interest of one-month Libor plus 1.75 per cent, an annual commitment fee of 0.62 per cent and an upfront flat fee of 1.25 per cent.
Cocoa plays an important role in the economy of Ghana. The cocoa industry employs around 800,000 farm families spread over six of the ten regions of Ghana. The crop generates about US$2bn in foreign exchange annually and is a major contributor to government revenue and GDP.