18 Enterprises receive support from UNDP

Eighteen micro, small and medium enterprises (MSMEs) in six districts in the country have received a $70,000 grant from the UNDP to scale up their businesses.

The initiative, which is in partnership with the Absa Bank and coordinated by EMPRETEC Ghana, aims at improving the sustainability of MSMEs in the country to advance economic growth and job creation.

The beneficiaries were genelected after a three-day training of 300 MSMEs to build their capacity in business management across the six metropolitan, municipal and district assemblies - Kumasi, Sagnarigu, Ketu South, Jomoro, Sefwi-Wiawso and Kassena-Nankana West.

Relevance

The Resident Representative of UNDP Ghana, Angela Lusigi, said the initiative was to identify high-growth female and youth-led businesses in designated districts for catalytic investment, business development, mentorship and coaching.

She said although the MSME drive innovation, created jobs and constituted 90 per cent of businesses registered in the country, they were still faced with significant challenges.

Mrs Lusigi said providing integrated support to small businesses, particularly those owned by women and youth, was key to transforming the economy and unlocking productivity in the informal sector to create decent jobs and break the cycle of poverty and inequality.

“Supporting inclusive businesses will create opportunities for women and youth enterprises to thrive and also take advantage of new opportunities to trade across borders through AfCFTA,” she said.

Mrs Lusigi said they were currently working with Societe General and Mastercard Foundation to scale up to a diverse group of young innovators across the country.

“Over the next few years, we aim to invest over $12 million dollars in typical young African innovators to overcome the barriers of education, language and people with disabilities,” she added. 

Collaboration 

The Director for SME, Agency Banking and Partnership at Absa Bank Ghana, Audrey Abakah, said the bank appreciated the potential of MSMEs, hence their collaboration with UNDP to invest and provide them with financial support at reduced interest rates.

She said that Absa had also developed an SME loans initiative which accrued an interest of 10 per cent per annum, in collaboration with the Mastercard Foundation.

Mrs Abakah said the partnership had enabled them to lend businesses up to GH¢500,000 without collateral and audited financials.

The director urged business owners to understand the finances of their businesses and form partnerships to ensure progress of their entities.

The Chief Operating Officer of EMPRETEC Ghana, Kofi Ansong, also advised entrepreneurs to “have a growth-oriented mindset, be persistent, take calculated risks, while women must be independent and have self-confidence”.

“We know that money alone does not ensure entrepreneurial success.

 We have scientifically proven this.

“We know that what makes one entrepreneur succeed and another one to fail is their behaviour and mindset,” he added.

Appreciation

A beneficiary, Leutrice Naa Kwarley Richardson, of Rami’s Foods, a limited food processing and dietary consult, expressed appreciation to their benefactors for the support.

 She said the grant would help them grow their businesses successfully.