Cabinet approves $100m to revive industries

Cabinet has approved a proposal for the sourcing of a $100 million loan from multi-national organisations to revive all industries operating under capacity in the country.

The loan will be used to equip such industries with capital and modern equipment to generate more wealth and employment.

The Minister of Trade and Industry, Dr Kofi Konadu Apraku, made this known at the first breakfast meeting of the Ghana-Britain Chamber of Commerce in Accra yesterday.

The meeting brought together British business executives operating in the country and their Ghanaian counterparts to brainstorm about mutual business opportunities and the intended visit of Ghanaian entrepreneurs to the UK next month.

He said the “loan will also be extended to entrepreneurs who want to set up new industries in the area of agro-food and fish processing in the country".

Dr Apraku said his ministry is also considering a comprehensive review of the trade policy of the country to enhance the government's policy of promoting a private sector led-growth.

He said a review of the trade policy will address the problems hindering investments in the country.

He said the government has converted ?3 billion from the Business Assistance Funds (BAF) into long-term capital to assist industries in the country.

Dr Apraku stated that the loan will be available to industries that meet the standards of the government in the area of Information Technology (IT), agro-processing and industries producing at a higher comparative advantage.

He identified the main problem impeding the growth of industries as the high cost of long-term capital.

He assured investors that the government will provide the right incentives to industries to help them grow.

“ The stabilisation of the cedi and downward trend in inflation rate are clear indications of government's commitment to reduce domestic borrowing to enhance long-term capital allocation to the private sector,” he added.

The Chief of Staff and Minister for Presidential Affairs, Mr Jake Obetsebi-Lamptey, urged investors to take advantage of the conducive atmosphere prevailing in the country to invest.

He said the government’s pledge to uphold ‘zero tolerance’ for corruption is not a mere rhetoric but rather an affirmation of the New Patriotic Party’s manifesto.

The minister said the government will continue to support the judiciary and other state apparatus to strengthen democracy and to deepen the rule of law in order to build investor confidence in the country.