Govt committed to using Private Sector to move economy

Accra, March 9, GNA - The Ministry of Private Sector Development and President's Special Initiatives (PSI) is to establish special desks for Small-Scale and Medium-Scale Enterprises (SMEs) to identify sources of funding for them and build their technical capacity.

Speaking at a seminar organised by the Legon Economics Students Society (LESS) at the University of Ghana, Legon, near Accra, the Sector Minister, Mr Kwamena Bartels said the Government remained committed to its vision of empowering the Private Sector to be the engine of growth of the economy.

He noted that SMEs formed the backbone of the Private Sector and explained that they made up more than 90 per cent of enterprises in the world and employed between 50 per cent and 60 per cent of the labour force.

Mr Bartels said, however, that the growing recognition of the Private Sector as the prime mover of economic development did not imply that the Pubic Sector no longer had a role to play, adding that it would continue to play its crucial role as a facilitator and regulator of the development process.

The theme of the function was: "Private Sector - An Engine of Growth for Economic Development."

The Minister said until the 1970s, the economic development process was strongly oriented towards governmental control but the changing role of the State and globalisation had placed the Private Sector in the forefront.

He said developing countries that chose to make the Private Sector the prime mover of their development had derived immense benefits because of the efficient way it delivered products and services to bring about sustainable growth.

On the National Medium-Term Private Sector Development (PSD) Strategy, Mr Bartels stated that the motive for its establishment was to articulate how the Government intended to strengthen its efforts to successfully usher in President John Agyekum Kufuor's vision of "The Golden Age of Business" and also to attain a per capita income of 1,000 dollars by 2012.

He said the effective implementation of the strategy would enhance Ghana's position in global and regional markets and would also eliminate key barriers to business and improve the competence and capacity of firms.

Also Government's own capacity for formulating and implementing Private Sector development policy would be made more robust.