By Sallieu S. Kanu
Minister of Trade and Industry Alpha Sesay has outlined significant strides made by his ministry in bolstering the nation’s economic landscape amidst global economic pressures. Describing the Ministry of Trade and Industry as the “heartbeat of the economy,” Minister Sesay emphasized that his team remains committed to actualizing President Dr. Julius Maada Bio’s vision as outlined in Sierra Leone’s Mid-Term National Development Plan and the Big Five Game Changers initiative. The Minister made this statement at the regular government press briefing held on Tuesday, October 29, 2024, at the Miatta Conference Hall, Youyi Building in Freetown.
Minister Sesay announced that the Ministry of Trade and Industry has launched a new website, www.moti.gov.ti, currently in the testing phase. He said the website will soon serve as a public information platform, providing enhanced access to updates, resources, and news on the ministry’s activities. This is part of the ministry’s broader goal to ensure transparency and accessibility.
He reiterated that a major focus of his ministry is the formalization of the informal sector, where approximately 90% of businesses in Sierra Leone remain unregistered, noting that without formalization, challenges in the trade sector will persist. He said that by formalizing these businesses, the ministry aims to improve tax generation, increase access to finance, and expand training opportunities for entrepreneurs. As part of this initiative, over 4,000 small and medium-sized enterprises (SMEs) across various sectors have been registered this year.
Additionally, the Minister revealed that the ministry has distributed grants to more than 500 SMEs in agriculture, creative arts, and tourism through the World Bank-supported Sierra Leone Economic Diversification Project and African Development Bank (ADB) funds.
The trade minister also emphasized the ministry’s commitment to fostering innovation in technology and climate change solutions, areas of critical global importance.
Highlighting the need for greater financial inclusion, he revealed that only two million out of Sierra Leone’s 8.5 million citizens have bank accounts, with just 2% of the population participating in the pension scheme. He said the ministry, in collaboration with the International Labour Organization (ILO), has created a roadmap to promote financial inclusion and increase pension coverage. This initiative aims to mitigate the economic impact of unbanked individuals managing large sums of physical cash, a practice that adversely affects the national economy.
Minister Sesay also spoke about how his Ministry has advanced the cooperative movement, resulting in the establishment of over 25 credit unions nationwide. “These cooperatives have collectively saved over SLL20 million and issued approximately SLL22 million in credit to their members, fostering a supportive financial environment for small business growth,” he said, adding that partnerships with various agencies, including the Irish Embassy and the Irish Government, are further supporting this cooperative expansion.
In a move toward policy modernization, Minister Sesay reported that the ministry is reviewing the Small and Medium Enterprise Development Agency (SMEDA) Act, focusing on issues related to business definitions, financial access, gender, and youth inclusion. Nationwide consultations have been held, and a draft copy of the revised policy will soon be shared for public feedback.
Munafa Fund:
On supporting women entrepreneurs, the Minister said that under the Munafa Fund, the ministry has disbursed over SLL22 million to support more than 10,000 beneficiaries, with women comprising 80% of recipients. These loans are providing essential financial support to small businesses, particularly for women-led enterprises, thereby promoting gender inclusivity in the entrepreneurial landscape.
Minister Sesay underscored Sierra Leone’s growing commitment to regional integration, highlighting the ratification of the World Trade Organization (WTO) fisheries subsidy agreement. This agreement opens up new international opportunities for Sierra Leone’s fisheries sector, enabling greater transparency, accountability, and compliance within the global trading system. Additionally, Sierra Leone is now actively reviewing its trade policy in collaboration with the WTO to align with global standards.
He reported that Sierra Leone has also established new bilateral trade agreements with countries including Turkey, South Korea, Saudi Arabia, and the United Arab Emirates, affirming that these partnerships are part of the ministry’s efforts to boost international trade, enhance cooperation, and create new market opportunities for Sierra Leonean products.
He assured that his ministry would continue working to strengthen Sierra Leone’s trade sector and address economic challenges. With ongoing initiatives, both locally and internationally, he expressed confidence in the ministry’s potential to contribute significantly to national growth and stability.