The Business Development Services (BDS) Fund has within the last five months supported 52 Micro Small and Medium Scale Enterprises (MSMEs) with funds totalling 650,000 dollars to enhance their operations.

The fund, which began operations in May this year, was set up as part of the MSMEs project, to assist with matching funds to improve on the ability of the small scale business to get expert advice from consultants to improve their operations.

Currently, the value of the fund stands at 6.5 million dollars. Out of this, 4.5 million is earmarked for MSMEs and the remaining two million dollars for banks.

BDS Fund intends supporting up to 400 companies and associations with grants to enable them to become more competitive in the local and international market place and enhance their access to loans.

The Ghana Micro, Small and Medium Enterprise Project aims to enhance the competitive and employment levels of Ghanaian MSMEs through supporting entrepreneurship development and developing and strengthening the capacity of local intermediaries to deliver financial and non-financial services to MSMEs as well as building the capacity of MSMEs to make productive use of these services.

MSMEs account for 90% of registered businesses in the country and account for the bulk of private sector employment.

Speaking at a seminar for consultants, who offered services to SMEs, Mr Francis Kusi, Coordinator of the Micro Small Medium Enterprises (MSMEs) project, said the rate of collapse of SMEs in Ghana was so high because of inadequate funding to enable them to get expert advice in the running of their businesses.

He said in most cases MSMEs were unable to outsource expertise or get those that they did not have because they lacked the resources to do so.

Mr Kusi, therefore, appealed to service providers to lend their support to the sector to speed up the rate of economic development.

He appealed to consultants to assist their clients (SMEs) to write good proposals in order to win contracts or projects for their clients to achieve the aim of accelerating the development and growth of the sector.

Mr Alexis Fritz Kwabena Aning, Fund Manger of BDS, said the Fund sought to support MSMEs in businesses such as agric, textiles, furniture, horticulture all in either the public or private sector as well as NGOs through a matching grant scheme.

He added that the BDS Fund would assist eligible financial institutions and intermediaries to develop and make available additional financial instruments to MSMEs.

Mr Ato Simpson, a specialist at BDS, briefed the participants on the mode, stages and procedures in applying for the funds.

He added that grant applications will be accepted from training institutions, business membership, organisations, consultants, NGOs and private Ghanaian and foreign-owned firms after being registered with the BDS Fund.

BDS are providers of business support and advisory services to businesses in terms of technical and professional services.


Source: GNA