Finance Minister Dr Cassiel Ato Forson has announced that the Ghana Cocoa Board plans to issue commercial papers to raise about US$1 billion to finance cocoa bean purchases for the 2026/2027 crop season.

Speaking at the Ghana-UK Investment Summit 2026 in London, Dr Forson said the move is part of a new financing strategy aimed at reducing COCOBOD’s reliance on offshore syndicated loans, which have become increasingly difficult to secure.

He disclosed that the transaction advisor has completed its work and submitted a report, with the commercial paper issuance expected to take place soon in three tranches.

According to the fiinance minister, the programme will attract funding from Ghanaian banks, pension funds and non-resident investors. However, the issuance remains subject to the passage of the new Cocoa Bill by Parliament and presidential assent.

The planned fundraising is expected to provide liquidity for cocoa purchases during the next crop season, enabling COCOBOD to pay farmers and support operations across the cocoa value chain.

The initiative represents a shift from the traditional syndicated loan model used by COCOBOD to finance annual cocoa purchases.

Under the new arrangement, the board intends to issue domestic cocoa-linked debt instruments to create a revolving fund that would be repaid from cocoa sales proceeds within the same crop year.

Industry observers say the strategy could help deepen Ghana’s capital market by attracting pension funds, local institutional investors and foreign investors. It is also expected to improve access to financing for indigenous Licensed Buying Companies and support increased cocoa sales to local processing firms.

COCOBOD’s financing model has come under scrutiny in recent years due to its debt burden, which was estimated at about GH¢32 billion earlier this year.

Analysts believe the commercial paper programme could diversify funding sources and improve the sustainability of financing within the cocoa sector, which remains a major contributor to Ghana’s export earnings, foreign exchange inflows and rural livelihoods.