AFRIKA BERLIN TECH NETWORK - OPPORTUNITIES AND CHALLENGES FOCUS ON GHANA
Abstract
This paper examines the burgeoning tech industry in Ghana, highlighting the opportunities and challenges within the market. It also explores the involvement of the European Union and German companies and offers strategic recommendations for new entrants aiming to establish a presence in these markets. This report will evolve as we progress with the work of Africa Berlin Tech Network. The current findings are based on the work and visits we conducted in Ghana in 2024. We have also added findings from other reliable sources on each topic and country.
1. Introduction
Africa's tech industry has witnessed significant growth over the past decade, positioning the continent as a hub for innovation and digital transformation. Among the leading nations, Ghana, Nigeria, and South Africa stand out due to their dynamic tech ecosystems. This paper delves into the opportunities and challenges in Ghana, emphasizing the tech sector's potential and the role of German enterprise
2. Opportunities in the Tech Industry
2.1 Ghana
Ghana's tech ecosystem is rapidly evolving, with Accra emerging as a pivotal player in West Africa's tech landscape. The government's commitment to ICT development, through initiatives like the National Entrepreneurship and Innovation Programme (NEIP), has fostered a supportive environment for tech startups (neip.gov.gh). We spent one week in Accra exploring business opportunities and market potential, and it was a great revelation about what is being done already to welcome investors and entrepreneurs in Ghana. Unlike Nigeria, which thrives on Fintech and E-Commerce, Ghana, on the other hand, thrives on AgriTech, which plays a role in the country’s path towards building a sustainable future. In this report, we focus specifically on Agritech potential and IT Talent Acquisition in Ghana.
Agritech in Ghana
Ghana's agricultural sector is a cornerstone of its economy, employing a significant portion of the population and contributing substantially to GDP. The integration of technology into agriculture, known as agritech, presents a transformative opportunity to enhance productivity, ensure food security, and promote sustainable development.
Investor Opportunities:
The agritech sector in Ghana attracted $1.3 billion in FDI between 2008–2016 and $17.42 million in 2021 alone Startups like Wami Agro and Oyster Agribusiness are scaling rapidly. Wami Agro received $2 million from Acumen Fund in 2025; Oyster secured $2 million from Pangea Africa Limited and other investors in 2024. Yield improvement: Wami Agro has helped farmers increase yields by 44% and incomes by 25-30% per planting season.
Farmerline: Empowering Smallholder Farmers in Africa
Founded in 2013 and headquartered in Accra, Ghana, Farmerline is a pioneering agritech company dedicated to transforming the livelihoods of smallholder farmers across Africa. By integrating digital tools, logistics, field agents, and agribusiness partnerships, Farmerline provides farmers with access to high-quality inputs such as fertilizers and seeds, climate-smart education, and connections to global markets.
Innovative Solutions and Impact
Central to Farmerline's offerings is its proprietary platform, Mergdata, an AI-powered farm management system that delivers real-time insights, predictive analytics, and financial support to farmers. Mergdata has been instrumental in supporting over 1.7 million farmers through partnerships with more than 3,000 organizations across 48 countries.
Farmerline's impact includes:
● Income Growth: Access to quality inputs and markets has enabled farmers to achieve higher incomes.
● Yield Increases: Farmers utilizing Farmerline's services have experienced significant improvements in crop yields
Funding and Expansion
Farmerline has attracted substantial investment to fuel its growth and expansion:
● Pre-Series A Funding: In 2022, Farmerline secured $1.5 million from Oikocredit as part of a $14.4 million pre-Series A funding round.
● Series A Funding: In early 2025, the company raised an additional $12.9 million to further develop its Mergdata platform and expand services.
These investments have supported Farmerline's expansion into new markets, including the Ivory Coast, and the enhancement of its technological infrastructure.
Recognition and Future Outlook
Farmerline's innovative approach has garnered international recognition, with its AI tool, Darli AI, being featured on TIME's list of Best Inventions of 2024. citeturn0search14 The company's commitment to sustainable agriculture and farmer empowerment positions it as a leader in the agritech sector, with ongoing plans to scale its impact across the continent.
Through its comprehensive support system, Farmerline continues to play a crucial role in enhancing food security and promoting economic growth among smallholder farmers in Africa.
German investors can partner with local startups, provide technology, and establish aritech incubators to support innvovation and scalable farming models.
European Investment Landscape in Ghana
The European Union (EU) stands as a major trade and investment partner for Ghana. A survey of EU companies operating in Ghana revealed that they generate approximately €1.5 billion in annual economic activity and have invested over €650 million in the Ghanaian economy in recent years. These companies employ tens of thousands of Ghanaians, underscoring their substantial role in the local economy. A notable organization supporting European businesses to access the Ghanaian market is the European Business Organisation Network Ghana.
Key European Investors and Initiatives
1. European Investment Bank (EIB):
○ The EIB has been instrumental in supporting Ghana's development initiatives. Notably, it provided a €170 million facility for the establishment of the Development Bank Ghana (DBG) in 2021. This initiative aims to bolster Ghana's economic transformation by providing long-term capital to support private sector growth.
2. AgriFI Ghana Country Window:
○ Launched in collaboration with the European Union and the EDFI Management Company, this €10 million financing mechanism supports sustainable and inclusive agricultural value chains. It focuses on improving the livelihoods of smallholder farmers in sectors such as cashew, mango, and rice across Ghana's northern regions. EDFI MC
3. Danone's Acquisition of Fan Milk:
○ In the private sector, French multinational Danone acquired full ownership of Fan Milk, a leading Ghanaian dairy company, by increasing its stake to 100% in 2019. This move highlights the confidence European companies have in Ghana's consumer market.
Opportunities for European Investors
Ghana's stable political climate, growing economy, and strategic location make it an attractive destination for European investors.
The country's participation in agreements like the Economic Partnership Agreement (EPA) with the EU facilitates trade by lowering tariffs and promoting investment-friendly policies.
Sectors such as renewable energy, agribusiness, manufacturing, and financial services present ample opportunities for European businesses seeking to expand their footprint in West Africa.
German Presence in Ghana
German companies have established a notable presence in Ghana, engaging across various sectors and contributing significantly to the country's economic development. As of 2018, nearly 80 German companies were active in Ghana, reflecting the country's importance as a trading partner in West Africa.
Key German Institutions and Associations in Ghana:
● Delegation of German Industry and Commerce in Ghana (AHK Ghana): Established to enhance economic activities between Germany and Ghana, AHK Ghana assists and supports companies from both countries with market entry and expansion plans.
● Ghanaian-German Economic Association (GGEA): An alliance of Ghanaian and German companies, entrepreneurs, and institutions, GGEA fosters bilateral trade and investment.
Notable German Companies Operating in Ghana
● INZAG Germany GmbH: A construction company headquartered in Wiesbaden, Germany, INZAG focuses on projects in logistics, water infrastructure, energy, mining, and industrial plants. The company established its Ghana branch in 2018.
● CodeRaccoon: An IT outsourcing company offering remote work opportunities to Ghanaian IT professionals, reflecting the growing collaboration in the tech sector.
● AmaliTech Ghana : Also an IT outsourcing company offering remote work opportunities to Ghanaian professionals whilst serving big Tech giants in Germany, such as Deutsche Telekom, AWS, and other rising startups in Germany
Trade Relations:
In 2023, Germany's imports from Ghana amounted to €241.3 million, while exports to Ghana were €251.6 million. German exports primarily include machinery and chemical products, whereas imports from Ghana consist mainly of foodstuffs and raw materials.
Investment and Development Cooperation:
Germany has committed significant funds to enhance foreign direct investment in key sectors such as renewable energy, energy efficiency, finance, and governance through initiatives like the Compact with Africa. citeturn0search7 Additionally, the German Development Bank (KfW) has provided loans for projects like the Kaleo Solar Power Station, contributing to Ghana's renewable energy infrastructure.
These engagements underscore the robust economic ties and collaborative efforts between German companies and Ghana, fostering mutual growth and development.
German Companies Leveraging Ghana's IT Outsourcing Potential
Ghana is emerging as a strategic hub for IT outsourcing, attracting attention from German companies seeking to address the growing demand for skilled IT professionals. This collaboration is driven by Ghana's youthful, English-speaking workforce, stable infrastructure, and supportive business environment.
Addressing the IT Skills Gap
Germany faces a significant shortage of IT professionals, with approximately 137,000 vacant ICT positions as of recent reports. This shortfall, coupled with an aging population and geopolitical challenges in traditional outsourcing destinations, has prompted German companies to explore partnerships in countries like Ghana, which offers a burgeoning pool of tech talent.
Notable German and local Initiatives in Ghana
1. Codetrain: Codetrain is a leading coding bootcamp in Ghana that offers comprehensive training in full-stack web and mobile app development. Their programs are designed to equip students with practical, job-ready skills through project-based learning, mentorship from industry professionals, and career services, including interview preparation and internship.
2. RAIL LAB Ghana: the Responsible Artificial Intelligence Lab (RAIL) has been established to advance the ethical and inclusive use of AI technologies. RAIL focuses on applying AI to address challenges in sectors like health, agriculture, and energy, aiming to bridge the digital skills gap and promote sustainable development in Ghana and the broader sub-region. The lab engages in cutting-edge research, capacity building, and policy advocacy to ensure the responsible deployment of AI innovations.
3. AmaliTech: This German company provides IT services to clients, including Deutsche Telekom, by harnessing talent from Ghana. AmaliTech's operations exemplify the capacity of young Ghanaian professionals to deliver high-quality digital services to international clients.
4. CodeRaccoon: An IT outsourcing firm offering remote work opportunities to Ghanaian IT professionals. As of early 2025, CodeRaccoon had recruited eleven software developers in Ghana, with plans to expand further, demonstrating confidence in the local talent pool.
Strategic Partnerships and Sector Development
The collaboration between Ghana and Germany extends beyond individual company initiatives. In November 2024, the Ghana Investment Promotion Centre (GIPC) and German Cooperation launched the Business Outsourcing Services Association of Ghana (BOSAG). This association aims to position Ghana as a premier destination for Business Process Outsourcing (BPO) and IT outsourcing services, tapping into the global market valued at approximately $1.01 trillion annually.
Advantages of Ghana as an IT Outsourcing Destination
● Skilled Workforce: Ghana boasts an addressable talent pool of over 420,000 English-speaking professionals, making it an attractive destination for IT and BPO services
● Infrastructure: The country offers stable internet connectivity, reliable power supply, and developing real estate infrastructure conducive to IT operations
● Government Support: Initiatives like the Ghana Digital Agenda (2020-2025) and partnerships with international organizations underscore the government's commitment to fostering a conducive environment for digital services.
Challenges and Mitigation Strategies
Despite the opportunities, challenges such as infrastructure deficits, unreliable power supply, and the need for continuous talent development persist. Addressing these issues requires collaborative efforts between the Ghanaian government, educational institutions, and private sector stakeholders to invest in infrastructure improvements and skills training programs.
Conclusion
The partnership between German companies and Ghana's IT sector illustrates a mutually beneficial relationship, addressing Germany's IT skills gap while providing Ghanaian professionals with opportunities in the global digital economy. With continued investment and strategic initiatives, Ghana is well-positioned to become a leading destination for IT outsourcing services.
Why Investing in Ghana is a Strategic Move
Investing in Ghana presents a compelling opportunity for forward-thinking investors seeking high-growth, impact-driven markets. With its stable democracy, youthful and tech-savvy population, and expanding digital infrastructure, Ghana is positioning itself as a West African leader in sectors such as agritech, renewable energy, and IT outsourcing. While challenges like infrastructure gaps and regulatory hurdles remain, the government's pro-business stance, increasing global partnerships, and the rise of skilled local talent mitigate many of these risks. The country's thriving startup ecosystem—powered by innovators like Farmerline, Codetrain, and AI labs at KNUST—demonstrates both resilience and scalability. For European and particularly German investors, the time is ripe to explore partnerships in digital services, green technologies, and education-to-employment pipelines. Ghana is not just an emerging market—it’s a launchpad for innovation and sustainable impact across the continent. The risk is real, but so is the reward—and Ghana is proving it’s worth the bet
