Deputy Trade and Industry Minister, Carlos Ahinkorah has urged banks in the country to drop lending rates to enable Medium Small and Micro Enterprises (MSME’s) gain access to affordable credit.
This comes on the back of concerns by MSME’s on the persistent challenge of lack of adequate financing despite efforts by government support the sector.
Speaking to JoyBusiness at the Growing Economic Opportunities for Sustainable Development Project Business Forum, Mr Ahenkorah also urged banks and development agencies to make funding accessible to SME’s.
He said “we think that it is now time that the banks consider how they can lower their rates. If the banks want to assist this economy, if they want to support Ghana to develop then they ought to think through and come down on their rates for the SME’s to be able to access credit”.
Mr Ahenkorah also stressed the need for MSME’s to move into the formal sector in order to contribute to the nation’s revenue.
The Growing Economic Opportunities for Sustainable Development Project Business Forum, by Christian Aid Ghana and The National Board for Small Scale Industries, is geared at promoting local job creation and supporting small businesses expand their activities.
The acting Executive Director of the National Board for Small Scale Industries, Kosi Antwiwaa Yankey also backed the deputy minister’s call for banks to cut down their lending rates to small scale businesses.
She said, “it is important for banks to drive down their interest rates, by so doing, businesses can access funding at favourable rates and move their businesses to the next level”.