Ifc Survey Report in Ghana

IFC Survey Reports Expansion of gold coasts Leasing Market WEBWIRE Thursday, August 30, 2007 IFC, a member of the World Bank Group, today released the findings of its second annual mountain of gold coasts leasing market. The results show that the depend of peeled leases issued in the country grew from 311 in 2005 to 536 at the end of 2006 an increase of 72 percent. The get lease portfolio represented by crude lease receivables by the empyrean besides increased by over 73 percent from $29. million in 2005 to $51. 3 million in 2006. The accounting notes a significant increase in the number of leasing providers, from s unconstipated in 2005 to 12 in 2007, with many wedgeing institutions entering the sector. The Leasing in gold coast 2007 report represents the most comprehensive go over of gold coasts leasing market to date. It highlights major(ip) developments in the leasing industry in 2006 and makes recommendations for shape up improvements in the policy, regulatory, and tax environments that govern the sector.The report was compiled by the SECO IFC Leasing computer programme, a project that seeks to evoke the voice of leasing as an alternative funding mechanism for businesses in Ghana. Launching the report, Taba Cookey, SECO IFC Leasing Program Manager, said, IFC is committed to supporting efforts that deepen Ghanas pecuniary sector and dramatize admission price to finance for the private sector. The 2007 survey provides strong evidence that the leasing sector is playacting an increasingly important role in financing the needs of private businesses in Ghana. Philippe Sas, Economic Advisor at SECO, said, Leasing is important, because it benefits for the most part small and medium enterprises that generally cannot access financing from banking institutions. It makes it easier for these businesses to acquire capital equipment even when they lack the credit history or sufficient collateral to access traditional forms of financing. Speaking a t the launch, Dela Selormey, Head of Banking care at the Bank of Ghana, commended the development of the leasing sector and outlined various efforts by the bank to support further crop of the financial sector.Worldwide, leasing has demonstrated the ability to increase investing in capital equipment. Leasing plays an important role in economic development. For example, it is reported that all(prenominal) 8 to 9 percent growth in leasing activities leads to a corresponding 1 percent average growth in a countrys GDP. In developed countries, leasing is used to finance rough one-third of private investments.