A seasoned entrepreneur and politician, Dr. Papa Kwesi Nduom, has outrightly rejected the government’s approach of condemning and shutting down private businesses found to be struggling or may have engaged in wrongdoing.
The founder and global chairman of Groupe Nduom believes the survival of private enterprises is crucial for a thriving economy. He insists that rather than condemning or shutting down struggling businesses, the government should focus on helping them resolve their issues.
This view comes from a man who has severely suffered the brunt of the financial sector cleanup in 2017. Two of his financial institutions; GN Bank and Gold Coast Coast Fund Management which later became Blackshield Capital became casualties of the exercise and the ripple effect led to the collapse of his other businesses in the conglomerate.
In a broadcast to reflect on the aftermath of the financial sector cleanup, Dr. Nduom emphasized that “permanent jobs, jobs that last, only come from the private sector.” In his view, the government cannot sustain itself without a thriving private sector to generate the taxes needed for infrastructure development and essential public services.
“Government cannot pay tax to itself. It is the private sector that has to work and pay the tax needed to run government and invest in infrastructure,” he indicated.
Dr. Nduom therefore condemned the government’s tendency to act hastily when companies encounter difficulties.
He lamented the fact that, instead of providing support to resolve challenges, authorities often move swiftly to revoke licenses or shut down businesses, decisions he believes are made in haste.
“Before we decide to take somebody’s license before we decide to remove a company, dissolve it, we must think carefully and not act in haste,” he cautioned. For him, every business shuttered represents not just lost revenue, but a loss of jobs, livelihoods, and the tax contributions that sustain the country.
The founder of the Progressive Peoples’ Party (PPP) contends that it is crucial for government administrations to foster an environment that nurtures businesses, rather than treating them like adversaries.
He urged policymakers to adopt a “we help businesses grow” attitude.
He acknowledged the difficulty of starting and sustaining businesses, especially under tough economic conditions. “For decades I have made the point continuously that it is tough, it is tough to start and run a successful business in a developing country such as Ghana,” Dr. Nduom stated.
However, the veteran entrepreneur remains hopeful that change is possible. He believes the government and its agencies must develop a culture of compassion, focusing on identifying problems within businesses and helping to resolve them rather than being quick to condemn or, worse, destroy them.
“The entire public sector must adopt the attitude of we help businesses grow and develop and, when problems are found, to develop the culture of helping to resolve them, solve them,” he emphasized.
