Prez Akufo-Addo Launches GHc1 bn Coronavirus Alleviation Programme

President of Ghana, Nana Akufo-Addo on Tuesday launched the ¢1 billion Coronavirus Alleviation Programme Business Support Scheme aimed at shouldering small and medium-scale (SMEs) business  affected by the covid-19 pandemic.

The launch took place at the Jubilee House the seat of the nation’s presidency.

 Akufo-Addo bemoaned the impact of the pandemic, citing the reduced productivity, job losses, and a steep decline in revenues for government, businesses, households and individuals in Ghana.

He said there has been amongst the hardest hit in the country, according to the President, are micro, small and medium-scale enterprises (MSMEs), which account for 70% of the country’s gross domestic product, and represent some 92% of businesses.

“This amply highlights the important role MSMEs play in the growth and development of our economy, necessitating the special attention of Government,” he said.

This, President Akufo-Addo said, “provides the basis for my direction to the Minister for Finance to send to Parliament the Coronavirus Alleviation Programme (CAP), whose objective is to protect households and livelihoods, support micro, small, and medium-scale businesses, minimise job losses, and source additional funding for promotion of industries to shore up and expand industrial output for domestic consumption and exports.”

Out of the ¢1.2 billion earmarked for this Programme, ¢600 million will be disbursed as soft loans to MSMEs, with up to a one-year moratorium and a two-year repayment period. The rate of interest on government’s ¢600 million facility is three per cent.

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Additionally, selected participating banks will provide negotiated counterpart funding to the tune of ¢400 million, making, in all, ¢1 billion for disbursement under this Business Support Scheme, with the entire scheme set to attract some 180,000 beneficiaries across the country.

President Akufo-Addo indicated that the Scheme is targeted at MSMEs in the formal and informal sectors, which have been affected by the economic downturn caused by the pandemic, with MSMEs in growth sectors that require additional capital to expand their business to meet growing demand for COVID-19 related goods and services, also eligible to apply.

The beneficiary sectors include agri and agro-businesses; manufacturing; water and sanitation; tourism and hospitality; education; food and beverages; technology; transportation; commerce and trade; healthcare and pharmaceuticals; and textiles and garments.

In order to ensure a smooth application process for all eligible candidates, application forms have been made available online on the website of NBSSI, which is  www.nbssi.gov.gh. It is also available via USSD code across all mobile networks, and applicants can also call the CAP Business Call Centre on 0302 477 777, or visit the nearest NBSSI Business Advisory Centre for assistance with their applications.

The President added that beneficiaries must be either self-employed, sole proprietors, or engaged in a limited liability, partnership, or joint venture arrangement.

SOURCE: Joyonline