Report shows high-interest rates in most regions
The government has been advised to deal with each region individually
The Eastern region has proven to be a conducive environment for entrepreneurship in Ghana. This is according to the regional entrepreneurship freedom index report. The Eastern region which was ranked first in the report scored very high points in five of the indicators of the survey– labour, property right, trade, investment and access to money.
This indicates a platform that entrepreneurs in this region could leverage for business growth The rankings were done based on 10 indicators for entrepreneurship freedom as follows; trade freedom, fiscal freedom, monetary freedom, investment freedom, freedom from government, freedom from corruption, labour freedom, property rights, regulation and financial freedom.
According to the survey, there is substantive entrepreneurship freedom in the Eastern region even though trade freedom, freedom from corruption and fiscal freedom need improvement The survey also showed that the region had moderate freedom from government, regulation and financial freedom.
The region also proved to be barely free from corruption and fiscal policies. Ashanti region came 2nd, whilst North East region placed 3rd as conducive environments for entrepreneurs to flourish. Oti region was ranked last (16th).
The survey put together by the Africa Centre for Entrepreneurship and Youth Empowerment in collaboration with Atlas Network research revealed that generally, the ecosystem is not friendly for the survival of entrepreneurs in the country.
Speaking at the launch of the report, Vice President of IMANI Africa, Selorm Branttie, called on the government to allow entrepreneurs to unleash their full potential and decide on ways to fully actualize their goals and aspirations. “There’s a very erroneous perception that once you are an entrepreneur, you have money to waste. No one asks entrepreneurs what their core mandates are or what they seek to achieve. That focus is not there because we have unconsciously created an economy that is run by the people in government.
But the point is entrepreneurs have not been asked what they really want.” According to him, government interventions have been spelt out to help sustain micro, small and medium scale enterprises but proof that these interventions have yielded results are yet to materialize.
According to him, the required skills and resources when put together will help create a strong entrepreneurial ecosystem. “I believe when the right ingredients are put together, the public and the private sector can be motivated to create a thriving ecosystem. So, it’s not just about the money, but the necessary factors that can create strong, resilient companies,” he said.
Chief Executive of Africa Centre for Entrepreneurship and Youth Empowerment, Emmanuel Acquah said the report shows that every region has its own peculiarities, therefore, there is the need to handle each region with a specific approach in order to achieve set targets.
“Looking at the indexes of 10 regions out of the 16, every region has its dynamics. There are some regions we think the government should limit its interference in the activities of entrepreneurs. For instance, looking at the Ashanti region, we found out from a focused group discussion that these businesses do not receive funds directly from the government.
However, they admitted that they hear of support schemes targeted at them which they do not benefit from.” Key among recommendations made is the need for the government to standardize the licensing and regulatory requirements and constantly educate entrepreneurs on them. Judicial services must be independent and proactive in handling business cases whiles piracy and black markets must be eliminated
The survey sampled 3,200 respondents across the regions. Read Full Story
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