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Business News of Thursday, 23 July 2020

Source: GNA

GIPC boss calls for financial investment in railway sector

Yofi Grant, CEO of GIPC Yofi Grant, CEO of GIPC

Mr Yofi Grant, Chief Executive Officer of the Ghana Investment Promotion Centre (GIPC), on Wednesday called for financial investments in Ghana's railway sector to boost its development for enhanced transportation.

Mr Grant, in a statement copied to the Ghana News Agency, said a robust railway system would facilitate smooth and easy transportation of goods and persons not only within the country but through the sub-region towards the creation of jobs and economic vibrancy.

"Urban rail on the Continent is vital in providing a very efficient alternative to transporting large volumes of passengers and freight at high frequencies and reasonable cost,” he said.

“Rallying with this notion, Ghana has embarked on intense rehabilitation and development of its national rail network."

He said although the rail system was admittedly the future of Ghana’s transportation, financing remains a daunting task, adding: “In many countries rail has proved extremely difficult to crack in terms of financing."

Mr Grant explained that the implementation of the African Continental Free Trade Area had the potential to more than double intra Africa trade, which would generate exponential wealth for the Continent and justify investments into the sector.

“I think we have a greater opportunity to do this now, and with the signing of the AFCFTA, it means there is going to be more dynamism in facilitating intra Africa trade.”

He said it was, therefore, an important element in the scheme of things as rail transport would be key to supporting this agenda.

“I believe that intra Africa trade has the potential of enabling wealth creation on the Continent.”

“We are already seeing investors show keen interest and seek information on what they can do in Ghana. If we don’t offer them the logistics value chain to support their investment, it will all fall flat,” he said.