…as GEXIM positions to support local industries
Deputy Minister of Trade and Industry, Herbert Krapa, has called for more energy to be channeled into increasing the country’s exports – as that is the best way of addressing most of the fundamental issues facing the economy such as unemployment, currency instability, among others.
His comments come on the back of challenges the global pandemic has brought on the country which have stagnated economic activities and disrupted supply chains across the world, thereby taking a toll on the local economy.
Speaking at a stakeholder consultative forum on export trade themed ‘Facilitating International Trade, the Role of Ghana EXIM Bank’, Mr. Krapa called on local manufacturers to step up their game to take advantage of the various market access made possible by trade treaties which Ghana is party to.
“We are in the mode of recovery; we are trying to bounce back from ravages of the pandemic. This is the time to build exports. We know the impact that it has on the economic outlook of a nation. What’s important is to take advantage of the various opportunities that we have.
“The AfCFTA provides a duty-free quota-free market; the Economic Partnership Agreement; the [African Growth and Opportunities Act] AGOA; and the trade partnership agreement with the UK, etc. What we need to do is to enhance the productive capacity of our exporters to be able to expand and do more, and be able to have a certain financial insurance guarantee and space to expand their operations, be able to be standards compliant, be able to have access to market and increase their exports tremendously.
“EXIM is also proposing certain interventions by way of diversification. We have focused so much on cocoa. Now they are talking about cashew, soy, ceramics, etc. They fit directly into what government calls the Strategic Anchor Industries to create alternative growth poles for economic transformation and diversification of our exports,” he said in an interview with the B&FT.
CEO of Ghana EXIM Bank, Lawrence Agyinsam, said his outfit is ever-ready to offer support for local manufacturers to boost capacity and export their products, as that is a core reason why it was established.
So far, he said, the Bank has financed individual companies in the manufacturing and agro-processing sectors to the tune of GH¢1.1billion. Out of this, more than GH¢221million has gone into the pharmaceutical industry.
Again, he added, the Ghana EXIM Bank has supported 35 non-traditional exports exporters with GH¢307million. Then, also, the Guarantee Department has supported exporters with guarantees to the tune of GH¢46million.
“In addition to offering concessionary financing to our strategic interest areas, we have also created a unique bouquet of products suited for the businesses engaged in export trade…It is our fervent desire for our exporters and SMEs to achieve dominance in strategically important sectors of Ghanaian private industry.
“We will be in partnership with key and relevant stakeholders, create greater awareness for made in Ghana products, and strongly support efforts aimed at endearing these products to Ghanaians and strategic markets around the world,” Mr. Agyinsam said.
