Table of Contents 1. Introduction 6 1.1. What is this Report About? 6 1.2. Definitions 6 1.3. Summary Methodology 8 1.4. About Strategic Defence Intelligence 10 2. Executive Summary 11 3. Market Attractiveness and Emerging Opportunities 13 3.1. Current Market Scenario 14 3.1.1. Military Fleet Size 14 3.1.2. Procurement Programs 17 3.1.3. Key Drivers and Challenges 18 3.2. Defense Market Size Historical and Forecast 20 3.2.1. Ghanaian defense expenditure is projected to grow at a CAGR of 12.12% over the forecast period 20 3.2.2. Insurgency, piracy, oil smuggling, and peacekeeping operations are expected to drive defense expenditure 23 3.2.3. Defense budget as a percentage of GDP expected to average 0.52% over the forecast period 24 3.3. Analysis of Defense Budget Allocation 26 3.3.1. Allocation for capital expenditure expected to average at 14.5% over the forecast period 26 3.3.2. Capital expenditure budget expected to increase over the forecast period 28 3.3.3. Per-capita defense expenditure expected to increase over the forecast period 30 3.4. Homeland Security Market Size and Forecast 31 3.4.1. Homeland security budget projected to increase over the forecast period 31 3.4.2. The threat from Boko Haram, drug trafficking, cybercrime, and money laundering to drive spending in the homeland security market 34 3.4.3. Ghana falls under the ‘some risk category’ by terrorist attack 35 3.4.4. Ghana has a rank of 110 in the terrorism index 36 3.4.5. Ghana has a terrorism index score of 0.3 38 3.5. Benchmarking with Key Global Markets 39 3.5.1. The country’s defense budget is expected to increase during the forecast period 39 3.5.2. Ghanaian military expenditure is limited compared to the countries with the largest defense expenditure 41 3.5.3. The country allocates a lower percentage of GDP to defense 42 3.6. Market Opportunities: Key Trends 43 3.6.1. Top 10 Defense market sectors by value (US$ Million) - Projections over period 2018-2023 43 4. Defense Procurement Market Dynamics 44 4.1. Import Market Dynamics 45 4.1.1. Limited capability of the domestic defense market drives imports 45 4.1.2. China, Russia, Spain and Canada accounts for most of the country’s defense imports 46 4.1.3. Aircraft, Armored vehicles and Engines are the largest imported military hardware 47 4.2. Export Market Dynamics 48 4.2.1. Ghana does not export arms due to its underdeveloped domestic arms industry 48 5. Industry Dynamics 49 5.1. Market Regulation 49 5.1.1. Budgeting Process 49 5.1.2. Procurement Policy and Process 49 5.1.3. Ghana does not disclose any offset obligations imposed by the country 49 5.1.4. FDI in the defense sector prohibited by the Ghanaian government 49 5.2. Market Entry Route 50 5.2.1. Direct selling is the preferred market entry route for foreign OEMs 50 6. Competitive Landscape and Strategic Insights 51 6.1. Competitive Landscape Overview 51 7. Business Environment and Country Risk 52 7.1. Economic Performance 52 7.1.1. Gross Domestic Product Per Capita (US$) 52 7.1.2. Gross Domestic Product, current US$ 53 7.1.8. Government cash surplus/deficit as % GDP (LCU) 59 7.1.9. Goods Exports as a % of GDP 60 7.1.10. Goods Imports as a % of GDP 61 7.1.11. Services Imports as a % of GDP 62 7.1.12. Net Foreign Direct Investment 63 7.1.13. Services Exports as a % of GDP 64 7.1.14. Net FDI as a percentage of GDP 65 7.1.15. Mining, Manufacturing, Utilities Output (LCU Billion) 66 8. Appendix 67 8.1. About SDI 67 8.2. Disclaimer 67

List of Tables Table 1: Ghana Army Strength 14 Table 2: Ghana Air Force Strength 15 Table 3: Ghana Navy Strength 16 Table 4: Ghana - Ongoing Development and Procurement Programs 17 Table 5: Ghana - Future Procurement Programs 17 Table 6: Ghanaian Defense Expenditure (GHS Million & US$ Million), 2014-2023 21 Table 7: Ghanaian GDP Growth vs. Defense Expenditure as Percentage of GDP Growth, 2014-2023 24 Table 8: Ghanaian Defense Budget Split between Capital and Revenue Expenditure (%), 2014-2023 26 Table 9: Ghanaian Defense Capital Expenditure (GHS Million & US$ Million), 2014-2023 28 Table 10: Ghanaian Per-Capita Defense Expenditure (US$), 2014-2023 30 Table 11: Ghanaian Homeland Security Expenditure (GHS Billion & US$ Million), 2014-2023 32 Table 12: Terrorism Index, 2018 36 Table 13: Benchmarking with Key Markets - 2014-2018 vs. 2019-2023 39 Table 14: Top 10 Ghanaian Defense Market Sectors by Value (US$ Million) - 2018-2023 43 Table 15: Ghana Budgeting Process 49 Table 16: Competitive Landscape of the Ghanaian Defense Industry 51 List of Figures Figure 1: Ghanaian Defense Expenditure (in GHS Million), 2014-2023 21 Figure 2: Ghanaian Defense Expenditure (in US$ Million), 2014-2023 22 Figure 3: Ghanaian GDP Growth vs. Defense Expenditure as Percentage of GDP Growth, 2014-2023 25 Figure 4: Ghanaian Defense Budget Split Between Capital and Revenue Expenditure (%), 2014-2023 27 Figure 5: Ghanaian Capital Budget Allocation (GHS Million), 2014-2023 29 Figure 6: Ghanaian Capital Budget Allocation (US$ Million), 2014-2023 29 Figure 7:Ghanaian Per-Capita Defense Expenditure (US$), 2014-2023 30 Figure 8: Ghanaian Homeland Security Budget (GHS Billion), 2014-2023 32 Figure 9: Ghanaian Homeland Security Budget (US$ Million), 2014-2023 33 Figure 10: Terrorism Heat Map, 2018 35 Figure 11: Terrorism Index, 2018 38 Figure 12: Benchmarking with Key Markets - 2014-2018 vs. 2019-2023 40 Figure 13: Defense Expenditure of the World’s Largest Military Spenders (US$ Billion), 2018 and 2023 41 Figure 14: Defense Expenditure as a Percentage of GDP of Largest Military Spenders (%), 2018 42 Figure 15: Ghanaian Defense Import Trend, 2013-2017 (TIV values) 45 Figure 16: Ghanaian Defense Imports by Country (US$ Million), 2013-2017 46 Figure 17: Ghanaian Defense Imports by Weapon Category (%), 2013-2017 47 Figure 18: Ghana’s GDP per capita (US$), 2015-2025 52 Figure 19: Ghana’s Gross Domestic Product (current US$ Billion), 2015-2025 53 Figure 20: Ghana’s Exports of goods and services (LCU Billion), 2005-2014 54 Figure 21: Ghana’s Imports of goods and services (LCU Billion), 2005-2014 55 Figure 22: Ghana’s LCU per US$, 2015-2024 56 Figure 23: Ghana’s Market capitalization of listed companies (US$ Billion), 2005-2012 57 Figure 24: Ghana’s Market capitalization of listed companies (% GDP), 2005-2012 58 Figure 25: Ghanaian Government cash surplus/deficit as a % of GDP (LCU), 2005-2011 59 Figure 26: Ghana’s Goods Exports as a % of GDP, 2005-2013 60 Figure 27: Ghana’s Goods Imports as a % of GDP, 2005-2013 61 Figure 28: Ghana’s Services Imports as a % of GDP, 2005-2013 62 Figure 29: Ghana’s Net Foreign Direct Investment (BoP, current US$ Billion), 2005-2013 63 Figure 30: Ghana’s Services Exports as a % of GDP, 2005-2013 64 Figure 31: Ghana’s Net FDI as a percentage of GDP, 2005-2013 65 Figure 32: Ghana’s Mining, Manufacturing, Utilities Output (LCU Billion) 2005-2014 66

Pratt & Whitney Embraer S.A. Harbin Aircraft Industry (Group) Co., Ltd. (HAIG) Defence Industrial Holding Company Limited (DIHOC)