Alan John Kwadwo Kyerematen, former Minister for Trade and Industry, has urged the Ghana Union of Traders Association (GUTA) to consider establishing a privately owned “Traders Bank” to improve access to finance for its members.
Speaking at the inauguration of new GUTA national executives and an awards night held at Alisa Hotel in Accra on April 10, he said access to cash remains “the lifeblood of any trading or commercial enterprise,” and called on the association to leverage its numbers to set up the financial institution.
“GUTA must therefore take advantage of its numbers, and establish a privately-owned and privately-managed ‘Traders Bank’,” he said, adding that the bank could later be listed on the Ghana Stock Exchange.
Mr Kyerematen, who has longstanding ties with the association dating back to his days with Empretec in the 1990s, said GUTA has not fully tapped into its influence despite representing a large portion of Ghana’s business community.
“As one of the largest Business Associations in Ghana, I believe GUTA has over the years, not been able to take advantage of their numbers,” he noted.
He also encouraged the new leadership to expand membership, pointing out that over 90 percent of Ghanaians are engaged in trading or other forms of commercial activity at the micro, small and medium enterprise level.
The former minister proposed partnerships with private developers to build modern markets across the country.
“If we have China Malls in Ghana, why not Made-in-Ghana Malls?” he asked.
He further urged traders to take advantage of the African Continental Free Trade Area to promote locally made goods across the continent, while calling for a deliberate effort to transition members from the informal sector into formal businesses.
Mr Kyerematen also appealed to GUTA members to comply with tax obligations, but added that government must ease the burden on small businesses to improve compliance.
“For this to become a reality, Government should consider reducing the tax burden on Micro, Small and Medium Enterprises, to ensure greater compliance,” he said.
Among other suggestions, he proposed a private pension scheme and scholarship packages for members, as well as increased representation of GUTA on boards of public institutions that affect their operations.
