Address by His Excellency President John Agyekum Kufuor at the Official Launch of BSIC Ghana Limited On 25th March, 2008

Keynote Address By His Excellency Mr. John Agyekum Kufuor, President Of The Republic Of Ghana At The Official Launch Of Bsic Ghana Limited On Tuesday, 25th March, 2008 At 10.00 a.m.

The General Secretary of SEN-SAD, Dr El-Medani El-Azhari,
Hon Ministers,
Hon Members of Parliament,
Your Excellencies, Members of the Diplomatic Corps,
The Governor of the Bank of Ghana,
The Board Members, Management and staff of BSIC Ghana Limited,
Our Esteemed Traditional Rulers,
Religious Leaders,
Distinguished ladies and gentlemen,

It is my pleasure to join you to welcome yet another bank into Ghana’s steadily growing economy. I am happy to receive Dr El-Medani El-Azhari, General Secretary of the Community of Sahelo-Saharienne countries (SEN-SAD) and Mr Al-Hadi Alwafalli, General Manager and group Chairman of BSIC, who have both come from Libya. I recognise also Mr Mohammed Ahmed Bushra, Chairman of BSIC Ghana Limited, who has traveled from Sudan, for this function. Similarly, I welcome members of their delegation to Ghana and wish the entire team a very productive and happy stay.

Mr Chairman, the desire to accelerate Africa’s development and improve the quality of life of the people remains a major challenge to respective governments on the continent. This challenge has become even more daunting in the face of globalisation. Now, more than ever before, there is the need for closer co-operation among African nations to survive in the competitive global economy. Much has already been achieved, but there is still more to do to change the circumstances of the people for the better. Clearly, this cannot be done by the governments alone. This is why the African Union, through the NEPAD, is focusing on Private Sector Development to partner the Public Sector for accelerated development. The BSIC bank which we are here to formally open is a good example of co-operation between nations, as well as the fruitful partnership between the public and private sector.

Mr Chairman, at the 8th session of the Ghana – Libya Joint Commission held here in Accra in October 2004, a memorandum of understanding was signed towards the establishment of SEN-SAD) Bank in Ghana. As part of this process, Ghana acceded to the membership of the Sahelo-Saharienne Community. Membership is open to all African countries including the Red Sea and Indian Ocean African States. Today’s function is therefore, the culmination of a long process which started over three years ago.

Mr Chairman, we expect the BSIC Bank to promote regional trade between Ghana and the rest of Africa and to become a major instrument in African Integration. It should blend the work culture of the Francophone, Anglophone and Arab speaking Africans.

Government is particularly pleased by the Bank’s decision to assist Ghana to develop major agro-processing companies through medium and long term funding. This will further the nation’s export diversification programme.

Mr Chairman, over the last couple of years the Banking System has seen new entrants but the degree of competition in their pricing still remains weak. Lending rates are still high. I hope the presence of BSIC Ghana will generate such competitions as will lead to lower rates.

Mr Chairman, Ladies and gentlemen, an important area that demands urgent attention is funding for micro, small and medium enterprises. More than 90 per cent of the country’s private sector is made up of such enterprises. Capturing the sector is therefore capturing the larger share of the market.

Government appreciates why hitherto the sector has been perceived as a high risk area by banks. It is hoped that the passage of the credit Reporting Act will help develop appropriate Credit Infrastructure with the requisite security and thereby enhance financing to this critical area. The impact from this on the overall growth of the economy will be phenomenal.

Ladies and gentlemen, I wish to congratulate all the people who have worked to make BSIC Bank a reality. I wish the entire Group as well as the Board, Management and Staff of BSIC Ghana very well. This address will not be complete without acknowledging the pivotal role played by Brother President Muamar al Gaddafi, the Great Leader of the Al Fatah Revolution of the Libyan Arab Jamarriyah.

I believe that BSIC Ghana will assist in deepening the relationship between Ghana and Libya further.

Distinguished ladies and gentlemen, it is now my pleasure to declare BSIC Ghana Limited duly open.

Thank you and may God bless us all.