Ghanaian Micro, Small, and Medium Enterprises’ (MSMEs) participation in the African Continental Free Trade Area (AfCFTA) gets major boosts with a $70, 000 grant.
The United Nations Development Programme (UNDP)/ Absa Bank Ghana partnership is part of a series of business development activities, which has already supported about 3,000 enterprises over the past four years.
Under the current programme, some 18 MSMEs that qualified from an innovation pitching competition would be supported to scale and firm up their operations and leverage opportunities presented by the continental free trade.
Beneficiaries of the integrated MSMEs support programme were drawn from six Metropolitan, Municipal, and District Assemblies (MMDAs) – Sagnerigu, Jomoro, Ketu South, Sefwi Wiawso, Kumasi, and Kassena-Nankana West.
Dr Angela Lusiga, UNDP Resident Representative to Ghana, expressed confidence in the programme helping address the financing gap for MSMEs, and for them to be fully prepared to participate in AfCFTA.
“At UNDP, we believe that providing integrated support to small businesses particularly those owned by women and youth is key to transforming the economy and unlocking the productivity of the informal sector. This will create decent jobs and break the cycle of poverty and inequality,” she said.
She said UNDP through a study observed the lack of knowledge by many Ghanaian MSMEs about the free trade agreement, leading to the provision of the US$70,000 grant.
“We started with a survey where we asked MSMEs what they knew about AfCFTA. We found out that there were many enterprises that didn’t even know about AfCFTA. Most of them didn’t know much about the opportunities and products that are allowed under the AfCFTA,” she said.
Dr Lusiga said UNDP had effectively addressed the awareness deficit about the AfCFTA with the beneficiary MSMEs through working with the National Coordination Office of AfCFTA to spread awareness of the agreement in different districts.
Madam Audrey Abakah, Head of SME Agency at ABSA Bank, encouraged MSMEs to have proper accounts, as it remained a major access to finance constraint in the country.
She urged the MSMEs to fully apply the concepts taught under the programme to enhance their enterprises.
Kofi Ansong Denkyi, the Chief Operating Officer of Empretec Ghana, said the expansion of an enterprise transcended access to grants, noting that the mindset of the entrepreneurs was key to the success of the enterprises.
“Money alone doesn’t make entrepreneurs successful. What makes entrepreneurs successful is their mindset and behavior. So, I urge the awardees to continue to cultivate the right mindset and behaviour to become growth-oriented businesses,” he said.
He also encouraged them to prepare for risks, saying some businesses could derail the growth of their enterprises if they did not have the mental fortitude to overcome them.
GNA