Chief Executive Officer of the Ghana Association of Banks and Chairman of Cocoa Capital PLC, John Awuah, has explained how the company will use proceeds from cocoa sales to repay investors who provide funding for the 2026/27 cocoa season.

Awuah made the disclosure in an interview on Channel One TV on Monday, September 28, 2026, noting that the financial structure has been designed as a closed-ended and self-liquidating transaction.

“Cocoa Capital PLC is a wholly owned subsidiary of the Ghana Cocoa Board (COCOBOD). It was set up as a special purpose vehicle (SPV) to arrange domestic financing for cocoa purchases,” he said.

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Under the arrangement, COCOBOD has assigned cocoa contracts with its buyers, known as off-takers, to Cocoa Capital. The SPV then uses these contracts to raise funds through bonds and commercial paper.

“COCOBOD will assign the full contracts with the off-takers to the SPV. The SPV will hold the contracts. On the back of those contracts, these bonds and commercial papers have been issued, and as contracts get settled through the receivable, the investors are paid,” he explained.

Awuah said the money received when the cocoa contracts are settled will be used to repay investors. This means repayment is directly linked to proceeds from cocoa sales.

The arrangement forms part of the GH¢16.3 billion Domestic Cocoa Notes Programme being used to finance cocoa purchases and address some of COCOBOD’s existing obligations.

Under the programme, GH¢14 billion will be raised through commercial paper to support short-term cocoa purchasing needs for the 2026/27 crop season.

Another GH¢2.3 billion will be raised through bonds to refinance legacy debt owed by COCOBOD.

The repayment of the notes is backed by receivables from selected cocoa forward-sale contracts that have been assigned to Cocoa Capital.

Proceeds from these contracts will be paid into designated ring-fenced accounts to ensure that the funds are used specifically to meet obligations under the financing programme.

The structure allows COCOBOD to raise funds domestically for cocoa purchases while linking repayment to proceeds expected from the sale of cocoa on the international market.

ANAS/MA

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