£40 Million Boost Promised for Ghana’s Small Businesses
Monday, July 31 – Today, the UK Foreign Secretary, James Cleverly, sets off on a momentous four-day journey through Africa, commencing his tour in Ghana, one of the UK’s significant export markets in sub-Saharan Africa.
The focus of his visit is to announce a substantial investment for small businesses in Ghana, highlighting the UK’s commitment to fostering economic growth and cooperation in the region.
UK Pledges £40 Million Funding through Growth Investment Partners for Ghanaian SMEs
Up to 150 Businesses to Benefit within the Next 15 Years
Growth Investment Partners (GIP) Ghana, a company established by British International Investment (BII), will deliver the £40 million package of funding for Ghana’s small and medium-sized enterprises (SMEs).
This initiative is projected to support up to 150 Ghanaian SMEs over the next 15 years, providing long-term flexible capital and essential business support services to nurture growth.
UK-African Investment Summit Set to Strengthen Partnerships
Ghana Among the Countries Represented, Aiming to Boost Trade and Investment
This support for Ghana comes ahead of the 2024 UK-African Investment Summit, which the Prime Minister will host in London next April.
The Summit will bring together Heads of State and Government from African countries, including Ghana, along with British and African business leaders. Its aim is to strengthen UK-African partnerships, fostering job creation, economic growth, and increased trade and investment in the region.
In 2022, Ghana exported goods worth $17.3 billion, with $1.7 billion going to the UK. The nation’s export portfolio is diversified, comprising 80% of oil, cocoa, and gold.
Additionally, the UK plays a crucial role as a trading partner for the remaining 20% of non-traditional goods, including bananas, tuna, and fresh-cut fruit.
British International Investment’s Long-standing Commitment to Ghana
Over Six Decades of Investment Across Key Sectors
British International Investment (BII) has actively invested in Ghana’s private sector since 1959, strengthening economic ties between the two nations.
In 2022, BII’s investment portfolio in Ghana surpassed $129 million, covering critical sectors such as energy, agriculture, infrastructure, manufacturing, forestry, and financial services.
Through these investments, BII supported over 15,800 direct jobs and paid $3.3 million in taxes, contributing to Ghana’s economic development.
A Continuation of Foreign Secretary’s African Engagements
Previous Visits to Kenya, Ethiopia, and Sierra Leone
This marks the Foreign Secretary’s third visit to Africa since his appointment. In 2022, he visited Kenya and Ethiopia, announcing new trade and investment funding while witnessing the impacts of climate change and conflict.
In March 2023, he launched the Women and Girls Strategy in Sierra Leone, showcasing the UK’s commitment to promoting gender equality and empowerment in the region.
As the Foreign Secretary continues his journey, the FCDO will release further updates throughout the week, covering the later legs of his trip.
This signifies the UK’s ongoing dedication to fostering strong relationships with African nations, building transformative partnerships, and driving economic growth and development across the continent.
The investment in Ghana’s small businesses not only signals a promising start to this tour but also lays the groundwork for a prosperous future for both Ghana and the UK.
Sources: THX News, Foreign Commonwealth and Development Office & The Rt Hon James Cleverly MP.
