The Association of Ghana Industries has expressed confidence in some of the economic policies the incoming John Mahama administration intends to roll out to revamp the economy.
It particularly singles out the $10 billion dollar Big Push initiative, which aims at unlocking Ghana’s economic potential through massive infrastructure development and incentives to boost industrial growth and development.
According to the captains of industry, John Mahama has shown he has what it takes to turn the fortunes of the country around citing the energy crisis during his first term as President.
Their trust also hinges on manifesto promises, which equally target heavy investment in agriculture and value addition to crops, technology-driven solutions, renewable energy and women empowerment, if effectively implemented.
Speaking during a courtesy call on the President-Elect, by members of the business community, the President of the Association of Ghana Industries (AGI) Dr Humphrey Ayin Darke, emphasized.
”I carefully recall tax reforms as one of our proposals, exchange rate initiatives and interventions, Agriculture intervention with your big push agenda, and we believe commercial agriculture will be one of the beneficiaries and the value chain within the agricultural industry”
In response, Mr Mahama reiterated his pledge to implement key economic outlines to ease the burden on businesses.
“Anybody that wants to set up a business with goes to Benin or Cote D’Ivoire than come to Ghana today and its a call for us to act and bring our nation back as the favourite destination for investments,” he said.
According to John Mahama, the recent decline in Foreign Direct Investment (FDIs) in the country underscores the urgent need to revitalize the economy and attract more investments.
Data from the Ghana Investment Promotion Center (GIPC) Ghana experienced a 16% decline in FDI in the first quarter of 2023 alone.
In a report for the first half of the year, the GIPC registered 72 FDI projects compared to 86 projects in the same period last year.
These figures Mr. Mahama believes do not speak well of the country’s once buoyant prowess in securing FDIs.
“You can tell from our FDI figures dropped sharply to a little above $1billion when we used to get $3billion -$5billion easy FDI into the country” he bemoaned
Mr Mahama also indicated that not only FDIs are feeling the heat but indigenous Ghanaian companies as well.
” It’s not only FDIs that’s suffering, Indigenous Ghanaian businesses are also suffering” he intimated
HIGHLIGHTS OF NDC’S POLICY PROPOSAL FOR BUSINESS DEVELOPMENT INCLUDE:
- Ease the tax burden on businesses by scrapping the COVID levy, E-levy, and the emissions levy among others.
- Rationalise import duties, fees and charges to reduce the cost of doing business.
- Provide tax incentives, financing support, security services, and cheaper and reliable power for businesses under the 24-hour economy.
- Provide tax breaks and low-cost financing for strategic start-ups and Micro Small Medium Enterprises (MSMES).
- Provide Agro-production support services for MSMEs by linking them to our Agro-Industrial Zones, and
- Enhance the role of EXIM Bank in financing non-traditional exports and international trade generally.
- To promote the production and consumption of made-in-Ghana goods, fellow citizens, we will implement a “MADE-IN-GHANA AGENDA”.
- Launch an “EXPORT GHANA POLICY” to expand access to markets for made-in-Ghana goods under the African Continental Free Trade Area Agreement (AfCFTA)
- Establish a WOMEN’S DEVELOPMENT BANK to support women-led and women-owned businesses with low-interest loans and other tailored financial services on very flexible terms.
- Review the Customs (Amendment) Act, 2020 (Act 1014) to scrap the law banning the importation of salvaged vehicles to save the local automotive industries at Suame Magazine, Kokompe, Abossey Okai, among others, from collapse.
- Leverage green technologies for entrepreneurship by promoting the assembly and use.
- Revitalize Business Development Centres in all districts in Ghana to support local business development and growth.
