HFC Bank opens new branch at Agona Swedru

Agona Swedru, June 5, GNA - The General Manager of the HFC Bank Ghana Limited, Mr Charles Ofori-Acquah, has reiterated the call on banks to expand more credit facilities to productive private sector to support domestic and international trade.

He said the Small and Medium-Scale (SMS) enterprises still have difficulties in accessing adequate credit to promote their businesses. Mr Ofori-Acquah said this at the opening of a new branch of the bank at Agona Swedru, which is also the second in the Central Region. The General Manager said available data at the Registrar's General Department indicated that 90 percent of companies registered are small and medium enterprises, identified as a catalyst for economic growth, and a major source of income and employment.

"The SMEs have not realized their full potential because there is still a de-linkage from the banking community," he said. He said the major barrier to rapid development of the SMEs sector was not a shortage of bank support, but rather a limitation on the part of enterprises to fully embrace modern banking practices and business culture. The General Manager noted that HFC Bank's stated capital and revenue reserves currently stand at 32 million Ghana Cedis, saying that 7 million Ghana Cedis above the Bank of Ghana's minimum of 25 million Ghana Cedis. He said the bank selected Swedru as the second point of call in the Central Region after Kasoa due to its vibrant commercial nature. Dr Joseph Adjei, Managing Director of HFC "Boafo" Micro Finance Services, said the service has unveiled five products to assist the growth of small and medium-scale enterprises to expand their businesses. He said the service has entered a tripartite agreement with the Social Security and National Trust (SSNIT) informal Sector Fund to help self-employed contributors to the SNNIT to expand their businesses. He noted that a pilot scheme under the agreement has already commenced in Accra and Koforidua, and would be rolled out in all braches soon.