SPEECH DELIVERED BY HON. PAPA OWUSU-ANKOMAH (MP), MINISTER FOR TRADE. INDUSTRY, PRIVATE SECTOR DEVELOPMENT AND PRESIDENT'S SPECIAL INITIATIVES ON THE OCCASION OF THE SIGNING OF THE ITALIAN FACILITY FOR SMALL AND MEDIUM ENTERPRISES ON 6TH AUGUST, 2008
His Excellency, Colleague Minister, Members of the Press, Ladies and Gentlemen,
I am pleased to join my Colleague Minister in thanking the Italian Government for providing this facility which will support the much needed long term funding for Small and Medium Enterprises (SMEs) in the country.
This credit which specifically targets the private sector operators and
entrepreneurs has been contracted to take care of the gap in the long term financing needs of the Small and Medium Enterprise (SME) sector. As we all know, SME sector is the bedrock of the economy. The sector, among others:-
Constitutes an estimated 70% of all industrial establishments in the country;
Generates about 85% of manufacturing employment;
Contributes significantly to total export earnings from the Non-Traditional Exports sector.
Therefore all efforts to assist the sector's growth and expansion in order to make it more vibrant and competitive are steps taken in the right direction.
The first phase of this Facility which consisted of €1 0 million and a grant of €1 million has been successfully completed. It supported 29 enterprises in the Agri-business, Construction, and Hospitality industries among others. This second facility which has been increased to €20 million will also target the same sectors. It goes further, through the Grant portion of €2 million, to finance the Facility Management Unit (FMU)'s staff and sector operations covering cluster development in let at the ICT park in Tema, metal works development through the Magazine in Kumasi, capacity building of staff of the Ministry, as well as the development of local entrepreneurship at the District level through links with Districts in Italy. The development of the local entrepreneurs will target the SMEs in Brong Ahafo and the three Northern Regions.
Many SMEs have submitted applications to the Project Management Unit (PMU) in anticipation of today's signature. However, there will be further publicity given to the Facility to ensure that many more SMEs become aware of the Facility and take steps to access it.
Once again, our thanks go to the Government of Italy for this partnership in support of our private sector.
I thank you for your attention.
