COCOBOD clarifies: No syndicated loan for 2025/2026 cocoa season

The Ghana Cocoa Board (COCOBOD) has clarified that it will not seek syndicated loans to finance cocoa purchases for the 2025/2026 crop season, citing ongoing global cocoa shortages.

In an interview on Eyewitness News on Monday, August 4, the Head of Public Affairs at COCOBOD, Jerome Kwaku Sam, stated categorically that the Board did not secure a syndicated loan for the 2024/2025 season and has no plans to do so this year either.

We’re not doing syndication. To be very honest, last year [2024], we didn’t do syndication, and this year [2025], we’re not doing syndication. What has necessitated us not to do syndication is that we’re experiencing a global shortage of the cocoa bean,” he explained.

He added that avoiding syndicated loans is also a cost-saving measure in light of current market dynamics.

We’re not doing syndication, whereby we’re going to incur additional expenses and what have you. That is out of the system or table for now,” he stressed.

His comments come on the heels of an announcement by Finance Minister Dr. Cassiel Ato Forson regarding the new producer price for cocoa. At a press briefing on August 4, the Minister acknowledged concerns about the sustainability of Ghana’s long-standing syndicated loan model but noted that the current financing structure would be retained for now.

For decades, Ghana has relied on syndicated loans from international financial institutions to pre-finance cocoa purchases at the start of each season — a practice that has helped ensure timely payments to cocoa farmers and supported production levels.

However, the current shift signals a possible rethinking of that approach amid tightening global supply conditions.

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