Local businesses to be given unique legal global identity

Vice President, Dr. Mahamudu Bawumia

Vice President, Dr. Mahamudu Bawumia, has announced that the participation of local businesses in global transactions will be boosted by the impending introduction of a global legal entity identifier.

The legal entity identifier is a unique reference code used across markets and jurisdictions to uniquely identify a legally distinct entity that engages in financial transactions, an initiative driven by the G20 and the Financial Stability Board.

It is expected that the provision of legal identity to businesses, especially small and medium-scale enterprises (SMEs), will enable them to participate fully in global financial transactions, by helping to improve risk management for financial services companies as well as enhance marketplace integrity between counterparties.

To this end, Dr. Bawumia who was speaking at the opening session of the 53rd General Assembly meeting of the World Trade Centers Association (WTCA) in Accra, said the government has started discussions with the Global Legal Entity Identity Foundation (GLEIF).

When this is done, Ghana will become the first country in sub-Saharan Africa with this initiative. This will be in addition to the Ghana Card novelty, among others.

These initiatives, according to the Vice President, underscore the government’s commitment to building a strong foundation for accelerated growth.

“A fundamental tenet of our development programme has been our digitalisation agenda which has seen the deployment of high levels of digital technology and innovation to streamline essential public processes and services and remove bottlenecks that have suppressed progress across almost all sectors of our economy,” he said.

Among others, he said Ghana is open to partnerships that promote sustainable development. “We recognize the importance of promoting environmentally-friendly practices in our industries”.

He acknowledged that several programmes have been initiated to reduce carbon emissions, promote renewable energy and protect natural resources.

The 53rd General Assembly meeting of WTCA, which was the organization’s first-ever meeting in Africa, was held under the theme “Towards African economic integration and enhanced global presence.”

Dr. Bawumia acknowledged that the initiative launched by the WTCA, themed “Pivot to Africa,” demonstrates the organization’s commitment to enhancing investment and trade on the continent.

It comes at a time when the continent is experiencing significant economic growth and transformation, presenting immense opportunities for investment and trade.

He said Ghana recognizes the importance of trade and investment in promoting economic growth and development and is committed to working with African partners to create a vibrant and integrated continent.

However, he said Africa can only achieve its full potential with the support and cooperation of the international community.

Meanwhile, he added that enhancing Africa’s global presence requires a concerted effort by all stakeholders, including governments, businesses and civil society. “We must work together to promote Africa’s unique potential, attract foreign investment and create sustainable partnerships that benefit Africa and our international partners.”

Also speaking at the ceremony, the Executive Chairman of World Trade Centre – Accra, Togbe Afede XIV, reckoned that stability and good governance are key cornerstones for economic transformation.

Similarly, the Secretary-General of the African Continental Free Trade Area (AfCFTA), Wamkele Mene, enumerated the countless opportunities for investments in Africa while noting the significance of economic integration of the continent.

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