Dr. Humphrey Ayim-Darke, President of the Association of Ghana Industries (AGI), has commended local businesses for their steadfast commitment to productivity despite numerous challenges. He acknowledged the difficulties faced by businesses, including global and local supply chain disruptions, foreign exchange fluctuations, and rising energy costs.
“Businesses across Ghana have had to rethink their strategies, adapt processes, and reinvent their ways of working. These uncertainties have truly tested our resilience and determination,” Dr. Ayim-Darke said during the AGI Awards in Accra.
He further highlighted that AGI was working with key stakeholders to promote policies that favor local production and procurement.
In his address, Minister of Finance Dr. Mohammed Amin Adams expressed optimism about the country’s economic performance in the first half of 2024, particularly the contributions of the industrial and manufacturing sectors. However, he stressed that more work is needed to maintain the recent recovery momentum.
Ghana’s economy grew by 5.8% in the first half of 2024, signaling a stronger-than-expected recovery. The industrial sector, in particular, showed impressive growth, with a 6.8% increase in the first quarter and 9.3% in the second quarter of 2024. The manufacturing sector, which had contracted in 2023, also bounced back with a 2% growth in Q1 and 2.8% in Q2.
“This consistent growth marks a return to job creation and wealth generation,” said Dr. Amin Adam.
He acknowledged that sustained efforts are necessary for long-term growth, noting that the government’s reforms in tax collection and enhanced support for small and medium enterprises (SMEs) are producing positive results.
Addressing concerns from the Association of Ghana Industries (AGI) and the Ghana National Chamber of Commerce and Industry, the finance minister assured that the government had responded promptly to complaints of harassment by tax collectors by withdrawing all frontline staff and adopting a more human-centric approach to tax collection. Despite these changes, Ghana has consistently surpassed its monthly tax revenue targets.
Recognizing the critical role of SMEs in driving real growth, Dr. Amin Adam emphasized the government’s launch of the SME Growth and Opportunity (SME-GO) program, designed to improve access to capital and capacity-building for small businesses.
For instance, he said, SMEs contributed 70% to GDP and 85% of jobs in the country.
“No country has achieved growth without the contributions of SMEs”.
Dr. Amin Adam, therefore, stressed a need for empowering SMEs to generate internal economic growth rather than relying on external factors.
While the economy has bounced back significantly, the minister admitted there is still more work to be done in sustaining growth and delivering development.
Dr. Amin Adam called on the private sector to continue playing a crucial role in accelerating economic progress.
The Director-General of the Ghana Standards Authority, Prof. Alex Dodoo, on his part called for improved collaboration between the private sector and state agencies to create a conducive business environment.
He urged the private sector not to view state agencies as ‘bosses’ but as partners in economic development.
“You pay taxes to the state, but we are not working together enough. Without the private sector, there is no economy,” he stated.
The 13th AGI Ghana Industry and Quality Awards was themed: “Navigating the uncertainties of our business landscape to sustain productivity”.
