Government has selected Small and Medium Enterprises (SMEs) as a core pillar, to be supported under the Industrial Transformation programme. This will ultimately transform our economy from its agrarian state to an export-led one of value-added products; create mass jobs for the bulk of the country’s workforce especially the youth, and speed up the pathway to industrialization.
This was disclosed by a Deputy Minister of Trade and Industry, Hon Nana Ama Dokuaa Asiamah-Adjei at the Chamber of SMEs forum held at the Labadi Beach Hotel on Wednesday, August 25, 2021. According to the Deputy Minister, the focus is very important because of the key roles SMEs play in the country’s economic growth and development, something that cannot be underestimated. Besides constituting over 90% of all registered businesses in Ghana, SMEs create about 80% manufacturing jobs and contributes about 70% to GDP.
She highlighted the under listed as some of the important initiatives of the Government that are targeted at Micro, Small and Medium enterprises (MSME) development:
The first MSME and Entrepreneurship Policy, ever developed in the history of Ghana, which was recently launched by H.E. Nana Addo Dankwa Akufo-Addo. It provides clear policy direction and opportunities for all actors within the MSME space that will enable them contribute meaningfully to Ghana’s economic development.
The Government through the Ministry of Trade and Industry has recently restructured and resourced the Ghana Enterprises Agency (GEA), formerly NBSSI, as the apex body mandated to coordinate and promote the development of MSMEs in Ghana. Thus, the GEA will lead in the implementation of the MSME and Entrepreneurship Policy and also help with the formalization of businesses as well as anchor a new age of entrepreneurship within the MSME sector. This will help MSMEs to have access to Government key interventions such as the COVID-19 Response Grant for SMEs.
The Government is also establishing 67 Business Resource Centres (BRCs) to provide a broad range of enhanced Business Development Services (BDS) for MSMEs across the country. Thirty-seven (37) commenced operations in August last year (2020) whilst additional 30 are expected to be completed this year. Every busines operator particularly, the 1D1F companies will have access to the services of the BRCs because the country has been zoned per the number of the BRCs.
Hon Dokuaa noted that the African Continental Free Trade Area (AfCFTA) provides a lot of opportunities particularly to MSMEs as they have access to the entire African market. She pledged the continuous support of the Ministry of Trade and Industry to ensure that business operators are able to take advantage of the numerous opportunities under the AfCFTA. She noted that a comprehensive National Action Plan for harnessing the benefits of AfCFTA has been developed under which an Enterprise Support Programme has also been initiated. As part of the implementation of the programme, one hundred companies (100) are being supported with various forms of assistance to export under the AfCFTA to the rest of Africa. The implementation of the programme is being coordinated by the newly established National AfCFTA Coordination Office. The deputy minister indicated that variety of products can be exported under the AfCFTA, including, but not limited to: shea and shea products, processed vegetables, fruits and nuts, sauces and preparations, pharmaceutical products, alternate health care medicaments, beverages and spirits, dairy produce, cocoa and cocoa products, products of iron or steel, processed fish or meat, synthetic fibers, fertilizers, aluminium products, and essential oils.
Concluding, Hon Asiamah-Adjei was hopeful that the removal of tariffs on goods from African countries through the AfCFTA will allow Ghanaian businesses to source cheaper inputs for production in Ghana, and make locally produced goods more competitive and support the development of regional and continental value chains.
Source: Ministry of Trade & Industry
