Finance Minister Dr. Cassiel Ato Forson has announced the creation of a US$500 million Oil Palm Development Finance Window aimed at transforming Ghana’s oil palm industry and positioning the country as a regional leader by 2032.
Presenting the 2026 Budget Statement to Parliament on Thursday, November 13, Dr. Forson said the new financing scheme is designed to fix the long-standing challenge of inadequate long-term capital for the sector.
Dr. Forson noted, “Oil palm plantation development requires patience and long-term capital and not short-term loans.”
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He explained that government is partnering with the World Bank, development finance institutions (DFIs), and the Development Bank Ghana to establish the US$500 million fund.
According to Dr. Forson, it “will offer long-term, low-interest financing, [a] five-year grace period, and cover up to 70% of project costs, targeting only sustainable, job-creating ventures.”
The Finance Minister emphasized that smallholder farmers will be central to the policy. “Through an Out-grower Partnership Scheme, they will access improved seedlings, mechanization, credit, and guaranteed offtake at fair prices,” he said.
Institutions such as the Tree Crops Development Authority (TCDA), the Oil Palm Research Institute (OPRI), and the Ghana EXIM Bank will drive research, regulation, financing, and technical support. A Smallholder Support Fund will prioritize women and youth.
To further protect local producers, Dr. Forson announced the introduction of a tax stamp system for edible oils, saying it will “curb smuggling and protect local producers.”
He added that the wider set of reforms will make Ghana “self-sufficient, export-ready, and a regional leader in sustainable palm oil by 2032.”
Describing the initiative as more than a farming intervention, he stated, “This policy is more than agriculture, it’s a blueprint for industrialisation, rural transformation, and shared prosperity. Ghana has the land and the people; this adds the vision to turn every palm planted into a lasting prosperity.”
Source: Starrfm.com.gh

