Ghana in Talks With Volkswagen Over Plans to Assemble Vehicles

(Bloomberg) -- Ghana President Nana Akufo-Addo said the country is in talks with Volkswagen AG over plans to assemble vehicles as part of Germany’s foreign policy agenda to strengthen development in Africa and contain illegal migration.

Akufo-Addo is hosting Chancellor Angela Merkel on the second leg of a three-day Africa trip to encourage private investment linked to the Group of 20’s “Compact with Africa” initiative.

“We’re particularly happy to hear about the possibility of an agreement being signed today involving Volkswagen,” Akufo-Addo said as he and Merkel briefed reporters in the capital, Accra. “Hopefully, ultimately, one day the production of vehicles will be here in Ghana.”

European Union leaders have pledged to increase investments in Africa to assist development and help stem the arrival of thousands of migrants who are desperate to flee poverty. Anxiety over the issue is stoking populism and is driving electoral gains by far-right parties.

Ghana, whose economy expanded by 8.5 percent in 2017, will welcome investment in agriculture, finance and factories, said Akufo-Addo. Merkel, who held talks with Senegal’s President Macky Sall on Wednesday, will end her visit with a trip to Nigeria tomorrow.

©2018 Bloomberg L.P.