Ministry of Finance signs two compact agreements for post Covid-19 transformation with Ministry of Tourism and Ministry of Trade & Industry under the Ghana CARES Obaatanpa programme.
On Tuesday, 11th May 2021, the Ministry of Finance, as part of modalities to kick-start the implementation of the Ghana Covid-19 Alleviation and Revitalisation of Enterprises Support (GhanaCARES) Obaatanpa programme signed the first two out of 8 compact agreements with the Ministry of Tourism, Arts and Culture for an amount of One Hundred million Ghana cedis (Ghs100,000,000.00) and the Ministry of Trade & Industry for an amount of Two Hundred and Eighty Two million Ghana cedis (Ghs282,000,000).
These is extra allocations fall outside of the two Ministries annual budgetary allocation to ensure strategic and catalytic interventions that will foster a quicker recovery and boost our post COVID-19 economic transformation.
The Compact is a partnership agreement between the Ministry of Finance, as the Coordinating authority, and sector Ministries, under the supervision of the Inter-Ministerial Coordinating Committee (IMCC) to ensure effective and timely delivery of the targets set for the various Ministries under the CARES programme for the 2021 fiscal year.
About Ghana Government COVID Support
Two key initiatives that government has put in place to provide relief to local businesses are the CAP-Buss and the Ghana CARES Obaatan Pa Programme.
The government established the GHS100billion Covid-19 Alleviation and Revitalization of Enterprises Support (CARES) programme to mitigate the impact of the pandemic on the lives and livelihoods of Ghanaians, and to ensure that Ghanaians quickly emerge from the pandemic with a stronger and more resilient economy.
The Corona Virus Alleviation Programme – Business Support Scheme (CAP-BuSS) of GH¢600.0 million is to specifically support micro, small and medium-sized enterprises (MSMEs) and was launched by H. E. President Nana Addo Dankwa Akufo-Addo on 19th May, 2020. The Scheme is part of the GH¢1.2 billion CAP approved by Parliament to address the disruption to economic activities due to the pandemic. Under the Scheme, Government, through the National Board for Small Scale Industries (NBSSI), and in collaboration with the business and trade associations and selected commercial and rural banks, rolled out a soft loan scheme with a one-year moratorium and two-year repayment period for MSMEs. The objectives of the Scheme are to provide emergency relief fund for MSMEs and entrepreneurs in Ghana, establish a comprehensive and financially sustainable emergency relief fund package for MSMEs, and provide them with technical assistance to ameliorate the impact of COVID-19.and provide them with technical assistance to ameliorate the impact of COVID-19.
FUNDING FOR COVID19 RELIEF EFFORTS
Before the first case of COVID-19 in Ghana was confirmed on 12th March, 2020, Government had proactively put together the GH¢560 million National Emergency Preparedness and Response Plan (EPRP) for COVID-19 to manage and contain the spread of the virus and strengthen the national capacity for surveillance, diagnosis, and case management.