Ghana’s Mohinani secures US$37M loan from IFC to boost PET recycling in West Africa

GHANA – Ghana-based manufacturer Mohinani Group Limited has partnered with the International Finance Corporation (IFC) to enhance PET plastic waste recycling in Ghana and Nigeria.

This initiative aims to create thousands of jobs while promoting environmental sustainability in the region.

Under the agreement, IFC will provide a US$37 million loan to Mohinani subsidiaries Polytank Ghana Limited and Sonnex Packaging Nigeria Limited.

The funding will support the establishment of PET recycling plants in both countries, each with an annual capacity to produce 15,000 tons of recycled PET (rPET) resins.

These resins will replace virgin PET resins used in food-grade and beverage packaging containers.

Approximately 90% of the raw materials will be sourced from local small businesses engaged in plastic collection.

“The rPET project was conceived to close the bottle-to-bottle recycling loop in Africa, reflecting our commitment to environmental sustainability,” said Roshan Mohinani, Strategy and Transformation Manager at Mohinani Group.

“It also aligns with our mission to improve lives in Africa by creating over 4,000 jobs along the value chain in Nigeria and Ghana, providing economic empowerment, especially for young people and women.”

Collectively, the plants are expected to generate more than 4,000 direct and indirect jobs and save approximately US$21 million annually on plastic resin imports for each country.

PET, a widely used polymer resin in the polyester family, is commonly found in food and beverage containers.

Recycling plastic waste helps prevent environmental pollution, reduces reliance on virgin plastics, and lowers greenhouse gas emissions due to its smaller energy footprint.

As part of the initiative, IFC — a member of the World Bank Group — will provide advisory services to enhance Mohinani’s environmental and social practices, ensuring efficient and sustainable PET recycling operations.

The project aligns with IFC’s strategic priorities in Ghana and Nigeria, which focus on climate change mitigation, job creation, and economic transformation.

It also supports the World Bank Group’s Climate Change Action Plan 2021-2025, which seeks to reduce reliance on virgin plastic resins and cut greenhouse gas emissions in the packaging sector.

“IFC’s partnership with Mohinani underscores our commitment to promoting environmental sustainability and economic growth in Ghana and Nigeria,” said Dahlia Khalifa, IFC Regional Director for Central Africa and Anglophone West Africa.

“By recycling up to 30,000 tons of PET waste annually, these new plants will protect the environment and replace imports with locally recycled materials.”

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