Small and Medium Enterprises (SMEs) have been urged to be proactive in stakeholder involvement, and understand policies and ongoing innovation to enable them to prosper in the changing post-election economy.
Ghana’s post-election periods are frequently distinguished by economic adjustments motivated by new or renewed government goals.
These shifts may result in changes in taxation, trade policy, government contracts, and fiscal spending, producing both obstacles and possibilities for SMEs. Following the December 7, 2024 elections, Ghanaian SMEs must implement effective ways to handle the changing business landscape.
Dr. Daniel Amateye Anim, Chief Economist at PIED Africa, in an interview with The High Street Journal, said post-elections are the right period for SMEs to partake in decision-making to harness the full potential of policies to be effective for business growth.
Also, it is the right time for SMEs to channel their grievances to the incoming government to enable the allocation of funds in the country’s budget.
This, he said can be done by attending programmes and workshops of government agencies and institutions such as the Ghana Enterprises Agency (GEA) to propel their agenda towards sustainable growth and the development of the economy.
He said over the past few years, the SME sector has been faced with a lot of challenges including increasing taxes, high capital costs, high loan rates and emerging trends, hence it is prudent for SMEs to petition government for improved investments.
Calling for an action plan, he said the government must establish and implement deliberate policies and measures that prioritize the entrepreneurial sector for economic growth. This includes reducing taxes on capital, raw materials, and services, reducing tax incentives, lowering loan rates, and also rendering services on credit bases.
With the incoming administration anticipated to introduce initiatives that would improve SME financing, such as affordable loan schemes, tax relief and incentives, lower operational costs, Value Added Tax (VAT) reliefs, among others, he urged SMEs to rapidly leverage the opportunity.
The Economist said hopefully next year, Mali, Burkina Faso, and Niger are likely to exit ECOWAS, therefore Ghanaian SMEs must capitalize and take advantage of this to export more products.
He entreated the businesses to capitalize on the incoming government’s vision for SMEs to lobby for initiatives to elevate the sector. This, he said, will help to create job opportunities and the attainment of macroeconomic stability.
Additionally, he entreated businesses to develop risk management plans. This, he observed, will better them against unexpected events such as supply chain disruptions, price volatility, and currency fluctuations.
Moreover, he said SMEs must up-skill employees to increase workforce and productivity. ‘SMEs should provide employee training in technology, sales, customer service, and operations management, and invest in leadership development.’
The Economist asserted that SMEs must embrace sustainability strategies to save money while attracting environmentally aware customers. “To thrive in Ghana’s post-election economy, SMEs must adapt to economic realities, align with government policies, and strengthen their resilience through strategic planning.”
