$100 million allocated to support SMEs through the Ghana Integrated Financial Ecosystem

The Bank of Ghana (BoG), Development Bank Ghana (DBG), working with its digital partner Proxtera and supported by the Monetary Authority of Singapore (MAS), is pleased to announce the target of $100 million to be disbursed to Ghana’s small and medium enterprises (SME) ecosystem through the Ghana Integrated Financial Eco-system (GIFE).

During the 3i event, an announcement was made at a signing ceremony between DBG and Proxtera to accelerate the disbursement of up to 1.83 billion Ghanaian cedis through the fully digital infrastructure established by the GIFE program.

This follows the first signs of success shown by GIFE following its launch at the 2022 edition of the Singapore Fintech Festival and its operationalization in the first half of 2023 with its financial institution pilot partner: Consolidated Bank of Ghana.

GIFE is currently a digital journey for SMEs, starting with financial literacy/creating trusted credentials using the global Universal Trusted Credentials framework, access to working capital and cross-border trade with Asia and the ASEAN region. An innovative regulatory sandbox continues to support GIFE in its fight against traditional payout frameworks to accelerate the growth and development of local businesses. This upcoming phase of GIFE will see broader participation from more financial institutions, with an emphasis on scale and digital access to global trading markets with local financial and educational support.

Saurav Bhattacharyya, Chief Executive Officer of Proxtera, said: “We proudly continue to support GIFE as a founding partner. As the exclusive operating partner of the SME Financial Empowerment (SFE) programme, and the operational, technological and digital infrastructure provider for the implementation of GIE Proxtera continues to work with local ecosystem partners to increase the use of trusted credentials. We strongly believe that our partners’ ambitious goal will propel Ghanaian MSMEs onto the global digital cross-border trade and financial highways.”

K Duker, Chief Executive Officer of DBG, said: “We believe that this partnership with the Monetary Authority of Singapore and the GIFE program marks a pivotal moment in DBG’s mission to provide sustainable financial solutions to Ghanaian businesses and sustainable facilitate multi-generational economic growth. grow. DBG recognizes the critical role of SMEs in our country’s economy and the GIFE program will further strengthen DBG’s ability to catalyze SME growth by ensuring they receive the financial solutions they need to meet their realize its full potential. SMEs are a key pillar of Ghana’s economic resilience, prosperity and international competitiveness, so I am optimistic that our journey to unlock their potential will yield excellent results for our people and our country.”

Dr. Ernest KY Addison, Governor of the Bank of Ghana, said: “This memorandum further demonstrates BoG’s commitment as a central bank to work with key stakeholders to explore innovative financing models. It also further demonstrates our commitment to the Business Sans Borders initiative, which we have partnered with the Monetary Authority of Singapore, to increase the contribution of MSMEs to economic growth and align with the government’s broader economic transformation objectives .

Adding to the comments, Mr. Sopnendu Mohanty, Chief FinTech Officer of MAS, said: “MAS has worked closely with the Bank of Ghana since the announcement of the Financial Trust Corridor in 2020. The GIFE is an important step towards closer collaboration between the two central banks and major emerging markets. The GIFE is a rethink to potentially leapfrog the traditional approach to financial inclusion, with combined support mechanisms powered by smarter data that SMEs and financial institutions can rely on based on their needs.”

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