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The Local Enterprises and Skills Development Programme hopes to recover all money invested in businesses of its beneficiaries.
LESDEP was introduced by President Mills’ government as part of initiatives to reduce unemployment.
Seven thousand people in seven regions of the country have so far received training in various trades and given tools to set up their businesses.
National Coordinator, Adem Gariba says LESDEP is determined to change the culture of low loan recovery associated with government social intervention programmes.
Beneficiaries have at least two years to repay the cost of equipments supplied under LESDEP.
About 10 thousand skilled Ghanaians who are unable to afford the cost of start-up tools are expected to benefit from 25 modules of LESDEP.
Beneficiaries have a minimum of two years to pay for the equipment such as trucks, beauty care sets, sewing machines and ovens.
Sekyere East and Kumawu Afram Plains Districts are the first in the Ashanti Region to benefit, with 94 trainees with 200 more expected to graduate in June.
There are concerns about government agencies unable to retrieve public funds advanced to promote micro businesses.
The Micro and Small Loans Centre currently has 81 million Ghana cedis to collect from its beneficiaries.
Speaking at a graduation ceremony at Kumawu, Mr. Gariba touted LESDEP’s success and said its regime is different from the others.
“We will provide business management and entrepreneurialship skills for beneficiaries so that once you go out; you are going to run it along the line and principles of purely business”, he explained.
According to Mr. Gariba, more emphasis is being placed on monitoring to ensure money invested do not go waste.
“To be able to reduce the rate at which people will default, we want to support them so that they succeed.
“We are targeting 100 per cent but at worse, not less than 90 minutes,” he emphasized.
Finance Minister, Dr. Kwabena Duffuor, says government has allocated 84 million Ghana cedis for LESDEP’s activities.
He says this is in fulfillment of President Mills’ dream of creating employment for all Ghanaians.
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