Government will start disbursing the GHS600 million stimulus package to small and medium scale enterprises (SMEs) in May this year as part of efforts to deal with the effects of the COVID-19 on businesses, President Nana Addo Dankwa Akufo-Addo, has announced during his 7th COVID-19 national address to Ghanaians on Sunday, 19th April 2020.
He explained that the GHS600m forms part of the Coronavirus Alleviation Programme.
“I know the effects of the measures to contain the virus have been difficult for many, and that is why I mandated the creation of the GH¢1.2 billion Coronavirus Alleviation Programme to support households and businesses.
“Out of this amount, six hundred million cedis (GH¢600 million) of assistance is being provided to micro, small and medium-scale businesses. I expect disbursements of the six hundred million cedis to start in May,” he stated.
“We will be very active to start distribution and so on and so forth. We know that each contribution we have received is going to help in combating the disease because we will be strengthening and supporting those involved in the combat activities as well as to help to alleviate the plight of the needy,” he added.
Also, out of the GHS1.2 billion Coronavirus Alleviation Programme, two hundred and eighty million cedis (GHS280 million) is being used to provide food for the vulnerable and free water for all Ghanaians for three (3) months, i.e. April, May and June, while, three hundred and twenty three million cedis (GHS323 million) is being used to motivate health workers.
On Sunday, 5th April, 2020, the President announced that government, in collaboration with the National Board for Small Scale Industries (NBSSI), Business & Trade Associations and selected Commercial and Rural Banks, will roll out a soft loan scheme up to a total of six hundred million cedis (GH¢600 million), which will have a one-year moratorium and two-year repayment period for micro, small and medium scale businesses.