At the sidelines of COP29, Jospong Group of Companies (JGC) revealed plans to secure $400 million in funding from the African Export-Import Bank (Afrexim Bank) for comprehensive waste management and rice projects in Lagos State, Nigeria, and Ghana.
The waste management project involves building nine plants to turn waste into recyclable materials, fertilizers, and valuable products. Additionally, Jospong Group is investing in transfer stations and augmenting waste collection services in Lagos.
Jospong Group’s Chief Investment Officer, Noah Gyimah, emphasised the need for broader discussions with Afrexim Bank to support the Group’s investment efforts across Africa.
“The interesting part of that conversation was the various options they offer, including research and development funding for feasibility studies at accommodating rates,” Gyimah noted.
Jospong Group is expanding across Africa, with advanced discussions underway in Nigeria, Uganda, and Kenya, aiming to replicate its successful waste management model.
As part of the financing arrangement, JGC plans to source an additional $50 million for its rice project in Ghana.
“They expressed great interest in food security and funding options for our rice production business,” Gyimah stated.
Mr. Gyimah stressed the need for further conversations with Afrexim Bank’s leadership to prioritize key projects, outlining project stages and exploring opportunities for collaboration.
Jospong Group’s subsidiary, Asian African Consortium, is scaling up Ghana’s rice industry by investing in high-quality seeds, modern production technologies, and training for smallholder farmers.
The goal is to replace imported rice, addressing Ghana’s urgent need for local production. Rice consumption has nearly tripled in the past decade, with individuals consuming approximately 45 kilograms per year.
In 2023, Asian African Consortium partnered with major rice industry players in Thailand and Ghana to develop an integrated rice farming project, aligning with the government’s import substitution objectives.
Ghana spent over ¢6.8 billion (equivalent to $560 million) on rice imports in 2023, despite local production potential. The partnership between Jospong Group and IRRI aims to address this issue and foster self-sufficiency in rice production.
Partnership with Afrexim Bank
The partnership offers Jospong Group access to advisory services and funding at competitive rates. Afrexim Bank’s expertise will fast-track the lending process and support Jospong Group’s growth plans.
This strategic partnership will enable Jospong Group to drive sustainable development and economic growth across Africa.