Accra, March 1, GNA – Development Bank Ghana (DBG) in partnership with universal banks playing a countercyclical role to support local businesses when they need it the most to spur a quicker economic recovery.
In partnership with our universal banks, DBG is tirelessly working to bring support to our private sector to spur a quicker recovery leading to growth and sustainable prosperity for our local businesses.
In this direction, Chief Executive Officers (CEOs) and Senior Executives of CalBank, Absa Bank, Consolidated Bank Ghana (CBG), GCB Bank, Fidelity Bank and Access Bank met at DBG’s office to
strategise on how the partnership with DBG could be strengthened and improved to benefit the country.
The meeting was hosted by DBG’s Chief Executive Officer, K Duker.
This initiative dubbed the “DBG Economic Recovery Initiative” has been fashioned out by the Bank in line with its mandate to transform and develop the country’s economy by empowering the private sector.
The discussions centered on how DBG would work with the commercial banks, GIRSAL and other partners to support the private sector with long-term capital in an efficient and effective manner.
Areas of focus for the commercial banks include technology to build scale and efficiency and advocacy to secure policy change in support of local industries and their related value-chain.
It also includes building and increasing lending and developing prudential guidelines with associated safe guards to better realise DBGs mandate.
DBG’s agenda for 2023 focuses on food security and seeks to offer long-term funding of GHS500 million to the agriculture sector, specifically for products like maize, soya, poultry and rice.
There will be an additional GHS500 million in funding for sectors like tourism and manufacturing.
As has been the approach employed by DBG in empowering local businesses, The Bank through its business partners, the Association of Ghana Industries (AGI), Ghana National Chamber of Commerce and Industry (GNCCI) and Ghana Chamber of Young Entrepreneurs (GCYE) will provide technical assistance to 15,000 local businesses to build their capacity.
As part of DBG’s plans to deliver its mandate, the Bank will this year introduce tailored solutions and further products for the benefit of local businesses.
These would include Equity Funding and Partial Credit Guarantee.
Commenting on the Bank’s economic recovery initiative, K. Duker, DBG’s Chief Executive, said, “DBG remains focused on its agenda to empower local businesses in order to achieve a transformation of Ghana’s economy. Our Economic Recovery Initiative is primarily aimed at improving the already great partnerships that DBG has forged in its first year in order to achieve a higher level of success which should see stronger local businesses who will form the backbone of our recovery and progress economically.”
On his part, Daniel Wilson Addo, CEO of CBG, said, “there is no gainsaying the conspicuous fact that this initiative is very timely and should help all commercial banks to find ways of dealing with the challenges banks face currently to enable us to support the private sector better.
Mr Kofi Adomakoh, CEO of GCB, “We had a very fruitful discussion, and we are already tackling
some of the bottlenecks. The Bank of Ghana and other institutions would be engaged in specific issues. In addition, we intend to carry out advocacy in the area of government policy relating to some of the industries we intend to support.”
Philip Owiredu, CEO, CalBank, said, It is now even more critical that DBG delivers on this mandate considering the economic challenges Ghana is facing currently. At the end of the day, the good thing is that we have taken the initiative to tackle head-on the responsibility of leading the recovery of the economy and that is a great step.”
In 2022, DBG provided funding of GHS300 million to local businesses in the agriculture, manufacturing and tourism sectors.
Within the same period, the Bank with the support of its partners provided capacity building to over 1000 local businesses nationwide including youth and women-owned entities.
DBG’s partners in this endeavour have been GIRSAL, Ghana Chamber for Youth Entrepreneurs (GCYE), Ghana National Chamber for Commerce and Industry (GNCCI), Ghana Enterprises Agency (GEA), Ghana Stock Exchange (GSE), Association of Ghana Industries (AGI) and Price Waterhouse Coopers (PwC). The Bank’s partners also include universal banks like CBG, CalBank, Access Bank and Fidelity Bank.
GNA