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The Institute of Economic Affairs has urged the government of Ghana to speed up the passage of the Public Private Partnership Bill of 2016.

This was highlighted in discussions around the themeA thriving Private Sector: the key to sustainable socio-economic growth.’

According to the Institute, putting the Bill into law will help leverage funds from the private sector and also broaden the scope of the Ghana Infrastructure Investment Fund to explore possible sources of raising funds to support businesses.

The Daily Guide quoted William Brafu-Insaidoo, a senior fellow of the Institute, highlighting that the basic challenge of the private sector has been the lack of political will and inadequate budget allocation.

Brafu-Insaidoo recommended tackling the numerous challenges facing the private sector, with the government leading the formulation and implementation of coherent policies such as the Public Private Partnership Bill 2016 and the implementation of the Private Sector Development Strategic II.

According to him, the Bill would create a conducive environment for the venture capital industries to thrive and extend their coverage to other parts of the country. Read more: GRDICO celebrates 10 years in operation

Erratic energy supply

Research by the Institute underlines some of the challenges that face the private sector including limited access to long-term credit and a high cost of credit, erratic energy supply and high utility charges, among others.

With regards to energy supply, Brafu-Insaidoo said the government should increase gas-based power generation, reduce cost, increase productivity and make it financially efficient.

A senior fellow of the Institute, Eric Osei Assibey, urged the government to demonstrate commitment by creating an enabling environment for the private sector to thrive.

“That will mean that the government has to step up investment in infrastructure that will help reduce the cost of doing business in Ghana,” said Assibey.

He added: “Some of the infrastructure required is energy reliability and affordability, road networks, among others, so that you don’t really mind where to site your business if the transportation is good; it will be easy to bring products to the exit points. If that does not happen, we are going to see over concentration of business in the capital.”