THE Ghana Cocoa Board (COCOBOD) requires more than GH¢30 billion in working capital to remain operational, the Majority Caucus in Parliament has disclosed.
Speaking at a press conference on Thursday, the Member of Parliament for Bolgatanga Central and Chairman of the Finance Committee, Isaac Adongo, clarified that the funds are not meant to settle the GH¢60 billion debt allegedly left by the previous New Patriotic Party (NPP) administration.
“COCOBOD requires not less than GH¢3 million to finance its ongoing operations. But, to survive, it needs over GH¢30 billion in working capital, and that money is not to pay the GH¢60 billion debt left behind by the previous administration,” Mr Adongo said.
He added that the cocoa sector had faced significant challenges under the NPP government, which contributed to delays in payments to farmers under the current National Democratic Congress (NDC) administration.
“Meanwhile, if you examine COCOBOD’s accounts, there is a big hole that needs addressing. The net equity of COCOBOD stands at over GH¢20 billion,” he noted.
Mr Adongo said ongoing government reforms, including the adjustment of the producer price of cocoa, would help revitalise the sector while tackling its financial and operational challenges.
He emphasised that the NDC government does not intend to borrow to finance the cocoa sector, pointing out that debt-driven interventions could threaten the sector’s long-term sustainability.
“Loans alone stood at GH¢71.8 billion at the beginning of 2025. Add other obligations, and you realise COCOBOD was bleeding with an exposure of over GH¢60 billion. That vehicle was unsustainable and needed urgent reform,” Mr Adongo explained.
The Finance Committee Chairman stressed the importance of systemic reforms to strengthen COCOBOD’s finances while protecting the livelihoods of cocoa farmers.
BY BENJAMIN ARCTON-TETTEY
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