Universal Merchant Bank(UMB) has entered into the record books as the first private financial institution to finance government’s flagship,One District, One Factory initiative.
Under the arrangement through the UMB PPP Incubator Centre will provide a credit facility to the tune of USD 10.7 million to the Central Sugar Company Limited that will be producing starch in commercial quantities from cassava from their base at Prang in the Pru District of the Brong Ahafo region.
The company will be constructed by the China National Building and Materials Company(CNBM) as well as the procurement of all the required machinery and tools to ensure the facility is fitted with state-of-the-art production installations.
In promoting local content participation a local steel company,Isopanel company limited has been contracted to fabricate and install all the steel structures for the factory.
Speaking at the ceremony, CEO of Universal Merchant Bank, Mr. John Awuah stated the signing ceremony is a demonstration of the bank’s commitment to fully support the government’s industrialisation agenda which include the flagship One District, One Factory initiative.
The CEO also added that ,UMB PPP Incubator Centre is a dedicated centre fully equipped to offer financial and technical support to private sector entrepreneurs and businesses who have interest in the government’s One District One Factory and other public – Private Partnership projects.
Addressing the media, Mr. John Awuah admonished private sector entrepreneurs to continue to engage the UMB PPP Incubator Centre for continuously appraising business proposal to ascertain their viability.
He reiterated that this is the first of such announcement by any private bank in Ghana and it shall not be the last from the Universal Merchant Bank.
“We intend to ensure the success of this starch processing project and at the appropriate time, the bank will be announcing many more project under the One District, One Factory initiative ” he quizzed.
On his part, Minister for Trade and Industry, Alan Kyeremanteng has reaffirm government commitment to support the Universal Merchant Bank, one district one factory initiative introduce by government.
According to the minister government is committed in providing technical support to champion the project.
Alan Kyeremanteng indicated some of the objective of the project which has to do with creating Jobs in the rural areas, steam rural urban migration, potential for increasing foreign exchange, seek to reduce import product and commodities.
He stressed that the initiative of the project is by government but driven by private sector.