The Republic of Ghana is situated in western
Africa, and it is one of the most prosperous nations on the
continent. Since independence from the UK in 1957, Ghana has
become a member of the African Union, the Commonwealth of
Nations and the Economic Community of Western African States.
Ghana'a exports have grown slowly over the last fifty years;
however, the country is succeeding in its attempts to quicken
the growth of international trade.
The Republic of Ghana has an enormously rich and diverse
selection of natural resources; many of which have yet to be
exploited. As a result, Ghana is currently one of the fastest
growing nations in the world. The country is still struggling to
realise its full potential, however, as international investment
into Ghana has been historically slow. Fortunately, recent
investment from China and several other developed nations has
helped to speed the country's progress during recent years.
Cocoa beans, diamond and manganese are found in abundance
throughout the country; however, it is the country's massive
reserves of oil which may finally finance Ghana's social and
economic development.
The country is home to one of the largest discoveries of oil in
recent times. One oilfield is thought to contain at least three
billion barrels of oil, and several foreign oil companies are
developing the area for long-term extraction projects. It is
widely believed that Ghana's long-term primary export will be
oil, and that the western African nation may become one of the
world's leading producers. Current oil production accounts for
around ten percent of the country's total exports; however, this
is a figure that will undoubtedly continue to rise over the next
decade. Further exploration and development is expected to
reveal national oil reserves of over five billion barrels.
Ghana's single largest export sector is that of mineral
deposits. The mining industry in the country accounts for around
five percent of the nation's total wealth. However, it accounts
for around forty percent of the country's total international
exports. Ghana is always one of the world's top five producers
of gold, making the mining of gold crucial to Ghana's current
economic health. The country also has significant deposits of
diamonds and bauxite; there are over twenty large mining
corporations currently employing hundreds of thousands of
Ghanaians. The country is also home to over three hundred
small-scale mining organisations and countless speculators.
Despite Ghana's huge oil reserves and large gold deposits, it is
the country's cocoa industry that has been the principle export
for over a century. The commodity was first grown by British
landowners in the mid-nineteenth century, and Ghana was the
world's largest supplier of the cocoa bean for the majority of
the twentieth century. The production and processing of cocoa
currently employs and incredible 1.5 million people in Ghana,
and many more companies and jobs rely on cocoa exports. The real
significance of the cocoa bean to the country's economy was
recognised during the 1930s when the colonial government took
full control of the industry. In order to protect the incomes of
local farmers, research and quality control was governed by
state legislation.
Ghana's complete reliance on cocoa made the country extremely
vulnerable to market volatility. The price of cocoa fell by two
thirds in the 1970s, and many local producers stopped farming it
altogether. A number of droughts and continued pressure on the
market price spread well into the 1980s. Ghana received
emergency assistance from the International Monetary Fund in
order to save the country's economy from complete collapse. The
country's governments have attempted to balance its export
portfolio ever since. Hopefully, Ghana's growing services sector
and burgeoning oil industry will make that possible.