China and Ghana established diplomatic relations on July 5 1960. The founding fathers of the two new-born republics laid a solid cornerstone for the development of the bilateral ties. Zhou Enlai, Premier of the Chinese State Council, visited Ghana in 1964. President Dr. Kwame Nkrumah paid 2 visits to China in 1961 and 1966 and struck a deep personal friendship with former Chinese leaders Chairman Mao Zedong and Premier Zhou Enlai.

President John Agyekum Kufuor is also a long-time friend of China. In 1971, he cast a historic vote for the resumption of China's legitimate seat in the United Nations when he was Deputy Foreign Minister of Ghana. In 2002, President Kufuor paid a successful state visit to China, which elevated the bilateral relations to a new level. This visit resulted in an agreement on the interest free loan of RMB 230 million Yuan (US$30 million) by the Chinese government for the construction of the 17.4-km Ofankor-Nsawam section of the Accra-Kumasi Road, and an exchange of notes on the construction of the Kumasi Youth Centre and the rehabilitation of the National Theatre.

China takes the unity and cooperation with developing countries as the basis of its foreign policy and attaches great importance to all-round friendly and cooperative relations with them. China actively seeks mutually complementary economic, trade, and sci-tech cooperation channels, enhances consultation and cooperation with them on international issues, and jointly defends the rights and interests of developing countries. In this spirit, China has provided economic assistance to Ghana within its capacity and made vigorous efforts to promote the development of cooperation between the two countries.

For instance, the Chinese Government assisted Ghanaians in the construction of the National Theater, the Afefi Irrigation Project, the Dangme East District Hospital, the Police and Military Barracks and the Ofankor- Nsawam stretch of the Accra-Kumasi Road. The rehabilitation of the National Theatre and the construction of The Kumasi Youth Centre are to start soon. China also provided Ghana with some complete sets of equipment such as textile machineries, methane-gas equipment, etc. To help Ghana reduce its debt burden, the Chinese government has written off most of Ghana's debt to China to the tune of over 100 million yuan (US$83million).

Chinese investments to Ghana have increased and so have our trade relations. The ALCATEL Shanghai of China's US$150 million investment to expand Ghana Telecom system signifies Chinese enterprises' confidence in Ghana which is growing stronger with the encouragement of the Chinese government and a better business environment in Ghana. In 2004, the value of the bilateral trade reached US$ 500 million, up 70% over 2003.

The armed forces of the two countries have done a lot to cement their bonds during recent years. In 2003, a Ghanaian military delegation headed by Defense Minister Addo Kufuor, paid a visit to China and reached an agreement with China's commitment to provide a grant of 8 million Yuan (US$963,000) to the Ghanaian military. This year, when a Chinese military delegation led by Maj. General Zhang Bangdong visited Ghana, another agreement was finalized with China providing a grant of RMB 10 million (US$1.25 million) to help Ghanaian military build up capability. In 2004, 18 military officers were offered opportunities to study in China.

Cultural and people-to-people exchanges have been frequent. In August 2004, the Chinese Cultural Festival was successfully held in Accra. The gala marked a highlight of the cultural exchanges in recent years between the two countries. Delegations of the Ethnic Affairs Commission of National People's Congress of China and the Chinese People's Association for Friendship with Foreign Countries visited Ghana in the same year and their ties with their counterparts in Ghana were strengthened.

The Chinese Government grants more scholarships, training courses and seminars of diverse forms for Ghanaians, which tells a higher premium China places on the cooperation in human resources development with Ghana.