Chief Executive of Association of Ghana Industries, Seth Twum Akwaboah has called for the perusal of Ghana’s policy regarding manufacturing in the country.

According to him, “factors critical for effective manufacturing such electricity and capital have not been in our favour” thereby making those in the manufactory sector experience challenges.

He added that although there have been some improvements in the sector with policy rate declining, "we’re still borrowing at 20 per cent.”

“I remember today we had a programme and there was somebody from EU who said my country if a bank charges 20 per cent, you will be arrested because it is suicidal but we are doing that in Ghana,” he said.

“So if you look at it, if you want to go into manufacturing, bear in mind that for manufacturing finance, you will need a medium to long term. If you will need a medium to long term and it’s at this high cost of interest, you can imagine that within 5 years, how much interest you would have paid. Therefore if you want to the entire chain of things here then you will struggle,” he added.

Speaking on the Business Edition of PM Express on Thursday, Mr Twum Akwaboah said to become a manufacturing hub as a whole in West Africa, the policy should be looked at and fixed right.

He commended government's 1 District 1 Factory (1D1F) initiative saying “it’s a brilliant idea of spreading manufacturing around” the country.

But he indicated that if the manufacturing policy is not fixed right, the new factories being set up by the government will struggle.