DBG injects GHS623m into the private sector in 2023

Development Bank Ghana (DBG) has partnered with its Participating Financial Institutions (PFIs) to disburse GHS 623 million into the private sector.

This capital injection has contributed to the creation of jobs, expansion of businesses, increased revenue, and generation of foreign exchange.  DBG’s key highlights in 2023 are captured in a year-end wrapped video on its key media channels- YouTube, Linked-In, Facebook, Instagram & X(Twitter) which reflects its unwavering dedication to empowering businesses and stimulating development.

Playing the crucial role as an enabler of businesses in Ghana by providing long-term patient capital, DBG made significant progress in 2023 by distributing a total of GHS623million out of the total GHS869million disbursed since the Bank started operations in 2022. In all, the disbursed loans within the calendar period led to the creation of some 6,000 direct jobs across the country. The funds were also disbursed to local businesses and Small and Medium-sized Enterprises (SMEs) which fall under the key sectors of DBG, that is, Agribusiness, Manufacturing and High Value Services.

Employing the wholesale banking model, DBG since its inception has been working with eligible partner universal banks also known as Participating Financial Institutions (PFI) who receive funding from DBG to on-lend to targeted businesses. In 2023, DBG increased the number of their PFI’s to 10 to include Ecobank and Absa in addition to the already existing partners comprising Consolidated Bank Ghana, Cal Bank, Fidelity Bank, Zenith Bank, Access Bank. Furthermore, 3 microfinance institutions; Sinapi Aba Savings & Loans, Opportunity International and Advans Ghana were also added as PFIs in a bid to extend DBG’s offerings to the often-marginalised customer segment in the micro-finance  space.

In the area of capacity building, DBG worked with its partner organisations including Ghana Stock Exchange, Association of Ghana Industries, Ghana Enterprises Agency (GEA), Ghana Incentive-Based Risk Sharing System for Agric Lending (GIRSAL), The African Network of Entrepreneurs (TANOE), and a host of others to provide training and capacity-building programs to SMEs, focusing on financial management, business planning, and market access. Within the period, a total of 9,729 SMEs benefited from DBG and its partners’ capacity-building programs carried out across the length and bread of the country. A further 4,634 participated in DBG’s Ghana Integrated Financial Ecosystem (GIFE) program which is a collaborative initiative by the Monetary Authority of Singapore (MAS), the Bank of Ghana (BOG), and Proxtera, to build a robust financial ecosystem that leverages technology, fosters financial inclusion, and accelerates economic growth in Ghana.

Commenting on the significant achievements and impact for the year 2023, the Chief Executive Officer of DBG, Kwamina Duker said, “at DBG, we take pride in being a catalyst that unites diverse stakeholders for the empowerment of the private sector. This includes forging meaningful partnerships, both locally and internationally, which have been the cornerstone of our successes. ”

He added that “our impact is not just a collection of indicators of our success but also testaments to the potential and resilience of Ghana’s private sector. As we move forward, we will continue to innovate, collaborate, and lead with purpose, ensuring that our impact resonates not just within the businesses we support, but across the entire nation. ”

The DBG year-end wrapped video has been made available across the Bank’s digital and multiple social media touchpoints to offer stakeholders, the general public, and the Bank’s online community a glimpse of DBG’s impact in the areas of lending, partnerships, capacity-building, and testimonies from beneficiaries.

Development Bank Ghana is a wholesale financial institution established by the Government of Ghana. DBG acts as a provider of long-term capital to the market with a mission to foster strong partnerships to finance economic growth, create jobs, and build capacity for SMEs. The organisation is committed, aligned and strengthened to achieve UN Sustainable Goals (SDGs) ambitions and targets while implementing environmental, social, and governance (ESG) strategy aimed at creating shared value and impact with purpose.

Source: B&ft