Entrepreneurs’ role in development immensurable

Entrepreneurs cannot remain unsung heroes, because their work and contributions are vital to the economy and the value chain development of societies as a whole, Founder of Financial Innovation and Enterprise (FIE) Prof. Javed Hussain has said.

According to the Professor of Entrepreneurial Finance, Faculty of Business, Law and Social Sciences, Birmingham City University, UK, just like the case anywhere else in developing countries across the world, Ghana’s entrepreneurial community has long been recogniSed as a driving force for economic growth and development; yet these unsung heroes often go unnoticed and underappreciated.

He stressed that given the significant impact that entrepreneurs have on the economy – including job creation, driving innovation, and community development – it is crucial to acknowledge and deliberately support their efforts through capacity building and creating a favourable ecosystem to thrive.

“What I think we need in Ghana to develop economically is entrepreneurs. Entrepreneurs who uphold best practices can take risks, and they need a government that can provide a cushion for them to move forward and take more risks.

“The world is moving into very unchartered territory – artificial intelligence (AI) which is bringing in a lot of challenges. AI is very risky, connecting all lives and having a lot of potential to impact everybody. Financial institutions have realised they can make good use of it, and so we need to promote policies which will enable banks and financial institutions to collect information efficiently in a manner that will benefit entrepreneurs,” he said.

According to the World Bank reports, small and medium-scale enterprises (SMEs) represent more than 95 percent of registered firms worldwide and account for more than 50 percent of jobs; contributing over 35 percent of the Gross Domestic Product (GDP) in emerging economies. All these are a testament to the significant contribution of enterprises and the need to celebrate their achievements.

Recognising entrepreneurs can inspire the youth, foster entrepreneurship and highlight the importance of innovation in contributing to society, he emphasised.

Deputy Minister of Finance, Abena Osei-Asare, taking her turn as special speaker reiterated that, indeed, small businesses generate most new jobs in Ghana’s economy and promote innovation, helping delivery of goods and services; and are a powerful force for integrating women and youth into the economic mainstream, hence the need to explore interconnections to open the gateway for their transformation.

“Sustainable economic development is not self-fulfilling. It requires intentional diversification, which is precisely what entrepreneurship and innovation contribute to economic prosperity and social cohesion. Building an entrepreneurial economy is not just important, it is indispensable to delivering increased welfare in emerging economies,” she said.

These remarks were made at the fourth Financial Innovation and Enterprise (FIE2023) Conference, held at the Kofi Ohene Konadu Auditorium, University of Professional Studies Accra (UPSA). Ghana happens to be the first destination to host this event outside the United Kingdom since its inception.

The FIE2023 is a landmark event that is a collaboration between prestigious institutions such as Birmingham City University, University of Sunderland and Institute for Small Business and Entrepreneurship (ISBE).

Professor John Kwaku Mensah Mawutor, Pro-Vice Chancellor-University of Professional Studies-Accra, mentioned that the UPSA is proud to host this event under the theme ‘Promoting Sustainable Enterprises in Developing and Emerging Economies’, because it brings together global experts, policymakers, entrepreneurs and academics to discuss latest trends and innovations in the financial sector.

Second Deputy Governor, Bank of Ghana (BoG), Elsie Addo Awadzi, in a speech read on her behalf commented that from small-scale traders and artisans to innovative tech start-ups and large-scale exporters, Ghanaian entrepreneurs are making significant contributions to the economy and society.

Despite their contributions, however, entrepreneurs often face numerous challenges – including limited access to financing, inadequate infrastructure and a challenging regulatory environment. Many start-ups struggle to survive in the early stages of business, while others face intense competition from established players in their respective industries.

To address these challenges and support Ghanaian entrepreneurs, government and the private sector have launched various initiatives and programmes such as the Ghana Enterprise Agency (GEA) and National Entrepreneurship and Innovation Plan (NEIP). These initiatives provide training, mentoring and financing support to help entrepreneurs start and grow their businesses.

“It is important to recognise and celebrate the achievements of Ghana’s entrepreneurs, and to provide them with the support they need to thrive. With continued investment and support, entrepreneurs can continue playing a key role in driving economic growth and creating opportunities for all Ghanaians,” she stated.

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