Small and Medium Enterprises (MSMEs) in Ghana”.

The move according to the Central Bank is crucial as credit is vital for every economy, particularly developing economies such as Ghana.

Speaking at a signing of an MOU for the MSME Innovative Financing Project by the Bank of Ghana, the Development Bank Ghana and the University of Ghana Business School, Dr. Maxwell Opoku – Afari, First Deputy Governor of the Bank of Ghana noted that, “As a central bank, though price stability remains our primary mandate under the inflation targeting framework, economic growth through credit expansion is also of key concern to us, and that is why a major consideration is given to the impact of our policies on the real sector. For instance, much of the reforms that have been initiated within the banking sector in particular, have been geared towards creating sound, stable, well-capitalised and profitable institutions capable of supporting the real sector and economic growth through increased lending.”

He pointed out that the Central Bank is excited to be part of the landmark event, “which is yet another bold initiative between the Bank of Ghana and two critical institutions in our country, the Development Bank Ghana (DBG) and the University of Ghana Business School (UGBS) to formally commission this study on “Innovative Financing for MSMEs in Ghana”.

He further noted that the the expectation of the study will promote understanding of and also provide anecdotal evidence on the financing challenges that MSMEs face in Ghana, the funding gap that currently exists, and also recommend new and innovative ways of closing this funding gap.

Dr. Opoku-Afari assured of his outfit’s commitment to this collaboration with DBG to ensure the success at addressing the challenges that face the financial sector.

“The Bank of Ghana also commits to observing the MoU in utmost good faith to ensure the study is successful. The Bank stands ready to support in any other way to ensure the project’s objectives are attained at the end of the day”, he concluded.

Coordinator and Principal Investigator of the MSME Innovative Financing Project, Prof. Eric Osei-Assibey also reiterated calls for financial institutions to explore innovative schemes to help Micro, Small and Medium sized enterprises easily access finance.