Executive Director of the National Board for Small Scale Industries, Mrs. Kosi Yankey-Ayeh has been explaining the criteria for disbursing the government’s GHS600 million stimulus package meant to sustain Micro, Small and Medium Enterprises (MSMEs) in the country.
Speaking on Peace FM’s Kokrokoo Morning Show and later on Oman FM’s National Agenda, Mrs. Yankey-Ayeh said the package is open to any micro, small or medium business owner who can prove that the COVID-19 pandemic has adversely affected his or her business.
She also said MSMEs in growth sectors who require additional capital to expand their business to meet the growing demand for COVID 19 pandemic-related goods and services can also apply.
The Coronavirus Alleviation Programme (CAP) Business Support Scheme is a Government of Ghana initiative to support MSMEs in Ghana currently being implemented by the National Board for Small Scale Industries (NBSSI).
NBSSI is a governmental agency under the Ministry of Trade and Industry with the institutional mandate to promote and develop Micro Small and Medium Enterprises (MSMEs) in Ghana. It has a strong presence in 178 districts in Ghana and offices in all regional capitals.
Background
The Government of Ghana established the Coronavirus Alleviation Programme (CAP), as part of measures to effectively manage social and economic recovery in Ghana. An amount of GH¢1.2 Billion was allocated towards the implementation of the Programme.
In a nationwide address on Sunday, 5th April 2020, the President, His Excellency Nana Addo Dankwa Akufo-Addo announced, “Government, in collaboration with the National Board for Small Scale Industries (NBSSI), Business & Trade Associations and selected Commercial and Rural Banks, will roll out a soft loan scheme up to a total of Six Hundred Million Cedis (GH¢600 million), which will have a one-year moratorium and two-year repayment period for micro, small and medium scale businesses.”
Impact
Many MSMEs in Ghana have been adversely impacted by the Pandemic. These businesses are believed to contribute about 70% to Ghana’s Gross Domestic Product (GDP) and account for about 92% of businesses in Ghana (ISSER – University of Ghana, 2015).