Ghana’s banking sector has agreed to support the implementation of the Sustainable Development Goals (SDGs) program in the country a senior official has told Xinhua.
The deputy minister for finance Charles Adu-Boahen said in an interview during the Ghana SDGs 2019 Fair, which ended here on Thursday that the banking sector would start implementing climate-friendly and SDG-specific lending practices.
“We have launched the SDG agenda for the banks so that they can introduce it into their lending practices. Soon, we are going to see the banks looking out for these things in their loan application reviewing process,” Adu-Boahen indicated.
Many businesses that participated in the exhibitions complained about difficulties in securing financing for their activities, but the minister said there was a need for innovation and hard work to overcome that.
If businesses request for credit to start an environmentally friendly business, with an SDG angle the minister said he was confident the banks would like to lend to such businesses, going forward, “even at a discount, to help the banks also to meet their SDG agenda and their SDG-friendly lending requirements.”
“Impact financing and Green bonds have emerged and are supporting businesses that do impact investments
“There are investors who always prefer these green bonds, and the interest rate on these green bonds is a bit lower than the normal bonds,” the minister said.
He described these offers from the baking and investment industries as incentives that should encourage entrepreneurs and businesses to be able to focus on such businesses.
The Ghanaian president Akufo-Addo is a co-chair for the UN Secretary-General’s eminent persons’ group on the SDGs. Enditem