The Government has urged Small and Medium-sized Enterprises (SMEs) to adopt digital technologies and innovation to improve productivity, reduce operational waste and create more employment opportunities.  

Noah Tumfo, the Chief Director of the Ministry of Trade, Agribusiness and Industry, said SMEs remained critical to Ghana’s economic development, particularly as unemployment put pressure on the formal sector.  

He said the government was focused on creating the right policy and regulatory environment to enable entrepreneurs to innovate, expand their businesses and create sustainable jobs.  

“SMEs are the backbone of our development. If SMEs grow, the country benefits,” Mr Tumfo said.  

He was speaking at an SME awards programme aimed at recognising entrepreneurs and motivating them to expand their businesses and contribute to economic productivity.  

Mr Tumfo said digitalisation was becoming an important tool for helping SMEs identify operational challenges and improve efficiency.  

He cited a recently completed project implemented by the Ministry in collaboration with the United Nations Industrial Development Organisation (UNIDO) and the Government of Japan, which helped SMEs use technology to identify challenges on their shop floors and develop targeted solutions.  

He said such interventions could help businesses reduce waste and focus more resources on increasing their productive capacity.  

“We are looking to have more of such situations where digitalisation becomes a norm because it helps SMEs to cut down their waste and focus more on expanding their productivity base for the benefit of the country,” he said.  

The Chief Director said the Ghana Enterprises Agency (GEA) was the main government institution responsible for providing direct support to SMEs through training, grants, funding opportunities and soft loans.  

He explained that while the Ministry provided the policy and regulatory framework, its agencies supported businesses with the practical interventions needed to overcome operational challenges.  

Mr Tumfo said the ultimate objective was to help Ghanaian SMEs grow beyond the domestic market and compete internationally.  

He said expanding into international markets would enable businesses to generate foreign exchange and contribute more significantly to the national economy.  

Mr Tumfo therefore urged entrepreneurs to see recognition through SME awards as a motivation to improve their businesses, create more jobs and increase productivity.  

Mr Kwesi Ofori Jnr, the Executive Director and Co-founder of SME Grow Africa (SMEGA), said SMEs also needed to strengthen their business structures and capacity to attract investment and access international markets.  

He said SMEGA had, since 2013, worked with SMEs to identify suitable partners, improve their business positioning, access training and connect with investors and new markets.  

He stated that the organisation had facilitated market and investment opportunities for businesses across Africa, Europe and Asia.  

Mr Ofori Jnr. said beneficiaries of the initiative would have access to masterclasses, capacity-building programmes and opportunities to engage international investors.  

He said the ability of SMEs to attract investment depended largely on how well they were structured and positioned to demonstrate their potential to prospective partners.  

“Beyond recognition, it is important that we set them on the right path,” he said, and encouraged SMEs to consider business insurance, environmental sustainability and good corporate practices as they expanded.  

He said businesses needed to adopt environmental, social and governance (ESG) principles and ensure that their operations were sustainable.  

He further urged business owners to develop proper succession plans to ensure that their companies survived beyond their founders.  

He said SMEs that invested in capacity building, sound business structures, partnerships, and sustainable practices would be better positioned to expand and contribute to Ghana’s economic development.