Ghana’s 2019 budget to drive industry

Ghana President Nana Akufo-Addo has announced its 2019 budget, highlighting a 10-point plan to drive the industrial sub-sector. The Finance Minister of Ghana, Mr. Ken Ofori-Atta, presented the 2019 budget which will drive automotive and vehicle assembly, pharmaceuticals and garments and textiles. It will also give priority to vegetable oils and fats; industrial starch; industrial chemicals including fertiliser; iron and steel. In the automotive and vehicle assembly sub sector, the Finance Minister touched on the growth of Ghana’s appeal as the preferred investment destination which has attracted global industry giants such as Volkswagen, Nissan, Exxon Mobil and Siemens to establish local assembly plants.

According to him, the Government has already signed Memoranda of Understanding (MOUs) with three automobile companies; Volkswagen, Nissan, and Sinotruk, towards the establishment of auto assembly plants, to produce vehicles in Ghana. To support the Government’s Industrial Transformation Agenda, particularly in respect of rural industrialisation, “…the Ministry of Trade and Industry in collaboration with the Government of Poland under the African-Polish Cooperation Framework will benefit from a US$100 million concessionary credit facility to establish an assembly and manufacturing plant for tractors, and modern agricultural equipment and machinery, for both the Ghanaian and ECOWAS markets.”

Additionally, under the Agenda 2030 for Sustainable Development, the Finance Minister said the country must be bold in developing policies that embrace technological shifts. “As Co-Chair of the UN Eminent Group of SDG Advocates, His Excellency the President is keen to ensure that Ghana leads the way in achieving Agenda 2030 through developing policies that promote sustainability.” 

“Among other green initiatives, we will, in 2019, work with the Ministry of Energy, to introduce tax free solutions for Full Electrical Vehicles in order to promote a technology shift from fossil fuel based vehicles, which is a major global source of climate change gasses, and from diesel vehicles which is a significant source for local air pollution and poses significant health challenges to our people. A successful transition will require a Public-Private partnership in installing necessary infrastructure for electrical charging. “Ghana cannot be left behind to become the dumping site for environmentally harmful products,” he added.

Tech Voice Africa