… Prez Akufo-Addo, other top leaders kick off SME Summit focused on breaking barriers
Government is today, Tuesday July 16, 2024, launching the SME Growth and Opportunity Programme, a move expedited to significantly bolster the SME sector.
Spearheaded by the Ministries of Finance and Trade and Industry, this initiative aims to provide coordinated financial and technical support to high-growth potential SMEs, driving economic growth and development.
The launch will take place at a summit themed ‘Breaking Barriers to SME Growth’, bringing together around 150 participants from various sectors, including private enterprises, academia, business regulatory and compliance institutions, media, industry, multilateral and bilateral partners, and financial service providers.
In their addresses, President Nana Addo Dankwa Akufo-Addo, Dr. Ernest Addison, Governor of the Bank of Ghana; Dr. Akinwumi Adesina, President of the African Development Bank Group and K.T Hammond, Minister for Trade and Industry are expected to underscore the importance of SMEs in Ghana’s economic landscape.
Dr. Mohammed Amin Adam, Minister for Finance, ahead of the launch emphasized the programme’s importance, stating, “The summit aims to enhance partnerships, mobilize diverse financial resources for SMEs’ growth and expansion, and provide a platform for public and private sector actors to advocate for inclusive policies and strategies required to foster SME growth in Ghana.”
This comes as the SME sector remains the cornerstone of the economy, representing approximately 90 percent of businesses in the country.
With approximately 850,000 SMEs, the sector represents about 90 percent of all businesses in the country. SMEs in Ghana contribute significantly to the economy, constituting around 70 percent of the country’s GDP and providing 80 percent of private sector employment. Notably, women-led SMEs account for an estimated 43 percent of all SMEs in Ghana, highlighting the crucial role of women in the business landscape.
Global context
This compares favorably with global figures, where SMEs represent 50 percent of the global GDP and provide employment for 60 percent of the private sector workforce. The impact of SMEs extends to all corners of the globe, fueling economic growth and fostering resilience. Women-led SMEs, comprising an estimated 37 percent of all SMEs worldwide, play a crucial role in this dynamic.
In Africa, the entrepreneurial spirit is vibrant, with SMEs accounting for approximately 37.7 million enterprises. These SMEs contribute to 34 percent of the continent’s GDP and provide employment for 63 percent of the workforce. The significance of SMEs in Africa cannot be overstated, as they form the backbone of many national economies.
Programme objectives, support
The SME Growth and Opportunity Programme will prioritise coordination among partnering agencies, ensuring the targeted delivery of financial and technical assistance to SMEs. The programme’s goals include enhancing partnerships, mobilizing diverse financial resources for SME growth and expansion, and advocating for inclusive policies and strategies to foster SME development.
Additionally, the event will include an exhibition of SME products, providing a platform for SMEs to showcase their innovations and connect with potential investors, partners, and customers.
The programme involves several key partnering agencies committed to supporting SME growth in Ghana, including the Ghana Enterprises Agency (GEA), Ghana EXIM Bank, Development Bank Ghana (DBG), and the International Finance Corporation (IFC).
These agencies will play a crucial role in providing the necessary resources and support to SMEs, ensuring a collaborative and comprehensive approach to fostering SME development in Ghana.
