ABSA Bank commits GH¢1.1 Billion to support Young Entrepreneurs

In collaboration with the Mastercard Foundation, ABSA Bank has invested over GH¢1.1 billion in 5,900 small businesses across Ghana. This investment is part of the Absa Young Africa Works (AYAW) project, a five-year initiative that began in 2020 and aims to create over 50,000 decent jobs by the end of next year.

During a visit to some of the beneficiary businesses in the Eastern and Greater Accra Regions, ABSA Bank highlighted the impact of its funding. The companies visited included G Billy Farms in Nsawam, Praise Export Services Limited in Pokuase, and Eden Tree, a fruit and vegetable processing company on the Spintex Road.

As part of the AYAW project, Praise Export received over GH¢22 million, G Billy Farms received GH¢3.3 million, and Eden Tree was funded with GH¢1 million. These funds are aimed at empowering young entrepreneurs in micro, small, and medium-sized enterprises (SMEs) by providing entrepreneurial skills training and collateral-free business loans at a 10 percent interest rate.

The beneficiaries shared the positive impact of the funding on their businesses. Godwin Edem Adordie, CEO of Praise Export Services Limited, reported that the funding had enabled the company to increase production and expand its export operations to Europe. “Before the funding, we exported 180-200 metric tonnes per quarter; now, we export 250-300 metric tonnes. It has modernized our facilities, improved product quality, and increased our staff from just over 100 to 165 employees,” he said. He also called on regulatory bodies to speed up approvals for exports to European markets.

Eric Danquah, General Manager of G Billy Farms, noted that the investment had expanded their pineapple farm to nearly 100 acres and increased employment from 35 to over 100 workers. He urged the government to subsidize farm inputs like fertilizers to create a more favorable environment for farming.

Catherine Krobo Adusei, Managing Director of Eden Tree, explained that the funding had helped stabilize operations, increasing employment from 30 to 60 workers and addressing financial challenges in paying staff and suppliers. She urged the government to provide solar panels to farmers, as rising fuel costs are deterring young people from pursuing agriculture.

Audrey Abakah, Lead of the Absa-Mastercard Foundation Programme and Director of SMEs, Agency Banking, and Partnerships at ABSA Bank, expressed satisfaction with the transformation seen at the supported businesses. “It’s heartwarming to see that the businesses have used the funding effectively, delivering real results,” she said. She added that the project prioritizes agriculture due to its potential to ensure food security, create sustainable jobs, and contribute to Ghana’s GDP.