The DBG has an initial $600 million to loan to commercial banks in Ghana – including these 4 banks that have already signed up as partners:
Consolidated Bank of Ghana (CBG)
The above banks will make 3-15 year loans of between $25,000 – $3 million to small and medium enterprises(SMEs) in Ghana.
Companies with 100 workers or less struggle to get loans in Ghana, with a World Bank report estimating the gap between supply and demand equivalent to 13% of GDP in 2017.
DBG has been designed to help relieve critical bottlenecks that have hindered the availability of long-term, competitively-priced loans to small and medium-sized enterprises in industry sectors that have the potential to transform the economy, namely, agribusiness, manufacturing, ICT, and high-value services.
In an interview with Reuters, Kwamina Duker , CEO, DBG:
“DBG recognises the crucial role of SMEs in our country’s economy and has made it its mission to catalyse their growth. We cannot do this without operating as a united front alongside our partners.
There is very little long-term financing available, at rates that will allow our SMEs (small and medium enterprises) to grow. DBG’s aim is to raise the proportion of loans given to small businesses in Ghana from around 9% to 15% in two years.”
– CEO, Development Bank of Ghana (DBG)
DBG is owned by the Government of Ghana. The $600 million contribution breakdown stands as follows: