Accra - The Ghana Cocoa Board (COCOBOD) has announced its ongoing efforts to secure a syndicated loan for the 2023/24 Cocoa Crop Season. This development comes with firm assurances from bankers, as the organization moves to diversify its funding sources for the annual cocoa purchases.
According to Ghana News Agency, the original plan for the 2023/2024 Crop Season included a two-prong financing strategy. The first part of this strategy involved a pre-financing arrangement with international buyers, aiming to raise an amount of US$400 million for purchases at the start of the season in September 2023. This initial sum was expected to be supplemented by an additional US$800 million loan from a syndicate of lenders by the end of November 2023.
However, after several weeks of engagement with buyers, COCOBOD decided to discontinue this arrangement. Since the beginning of the season, cocoa purchases have instead been financed using non-collateralized cocoa sales proceeds.
The statement further revealed that COCOBOD has received a firm response from its bankers regarding the syndicated loan. The loan proposal has been presented to the Parliament of Ghana for consideration and approval.
COCOBOD used the statement to reassure stakeholders that it has made the necessary arrangements to secure sufficient funding for cocoa purchases for the current crop year. This announcement indicates COCOBOD’s commitment to ensuring the smooth operation and financial stability of Ghana's cocoa sector.