Assessing foreign direct investment (FDI) in agriculture and employment in rural Ghana

  • Austin Dziwornu Ablo University of Ghana
  • Russhielder Boadu University of Ghana
Keywords: Foreign direct investment, Agriculture, employment, decent work, Ghana


Unemployment remains a major development challenge
in sub-Saharan Africa, and government efforts to address
it have yielded limited successes, especially in rural
communities. The liberalisation policies constitute
a significant instrument for African governments to
catalyse development through foreign direct investment
and private sector led job creation. This paper examines
foreign direct investment in the agricultural sector in the
Lower Volta Basin of Ghana. Data was collected through
interviews, participant observation and survey to analyse
both positive and negative effects of FDI in agriculture.
On the one hand, FDI in agriculture injects capital into
the national economy and produces positive spillovers,
including youth employment, technology, and skills
transfer. On the other hand, poor wages, precarious
working conditions, perceived exploitation, leakages,
and dislocation of smallholder farmers are evident.
Investments in the agriculture sector must suit local sociocultural conditions to minimise micro adverse outcomes