106 companies under 1D1F operational, 148 under construction – Alan Kyerematen

1D1F initiative launched in 2017

First factory under 1D1F was for pineapple fruit processing

1D1F to promote exports, increase domestic and foreign exchange earnings

Minister of Trade and Industry, Alan Kyerematen has disclosed that some 106 out of 278 are currently operational under government’s One-District-One-Factory industrialization initiative.

According to him, there are currently 148 companies under construction with 24 of the projects at the mobilisation stage.

Speaking on the floor of Parliament on February 10, Alan Kyerematen provide details into how the 1D1F initiative has been rolled out over the last four years.

“Mr Speaker, it is important to note that the 1D1F initiative is private sector-led but facilitated by the government.”

“The role of the government includes payment of interest subsidy on loans granted to 1D1F companies and projects by Participating Financial Institutions (PFIs); granting incentives such as Waiver of Import Duties on capital goods and raw materials; and facilitation of access to infrastructures such as electricity, water, and roads,” he is quoted by Joy Business.

The Trade Minister added that since the commencement of the 1D1F initiative, government has successfully mobilised loans for 1D1F companies from PFIs totaling GH¢2.69 billion.

“Mr Speaker, this amount has been leveraged through the disbursement of an amount of GH¢260.9 million by the government as a subsidy to de-risk loans and support interest payment for beneficiary 1D1F companies and projects,” Alan Kyerematen pointed out.

The One District-One Factory initiative forms part of the New Patriotic Party administration’s agenda towards industrialization; value addition and job creation.

The initiative is hinged on promoting local participation with the motive of encouraging community-based public/private partnerships to yield results through a massive private sector-led and nationwide industrialization drive.