Contacts
In Washington: Aby Toure (202) 473 8302
akonate@worldbank.org; In Ghana: Kafu Kofi Tsikata (233-21) 229681
ktsikata@worldbank.org WASHINGTIN, August 1, 2006— The World Bank Group today approved US$40 million* to the Government of Ghana, to support the implementation of selected components of the Government’s Information and Communication Technologies (ICT) for Accelerated Development Policy. This policy was completed a few years ago and adopted into Ghana’s poverty reduction strategy as a key framework for growth. The Bank Group’s assistance is, therefore, expected to provide the requisite resources to accelerate policy implementation. Ghana was one of the first countries in Sub-Saharan Africa to undertake a program of liberalization in the telecommunications sector in the mid 1990s. Since then, significant improvements have occurred which have led to the growth of the ICT sector, particularly over the past five years. The result is an unprecedented explosion in overall telephone penetration, from 4.7% in 2003 to 20% in June 2006. Most of this growth is attributed to the mobile sector which has grown from zero to about 4 million within the past 10 years. The telecom sector contributed 5.3% of GDP in 2004 (up from 1.8% in 2000). What is most noteworthy in Ghana’s ICT development efforts is that, although it has been predominantly private sector led, for years operators in the sector have been lamenting the lack of necessary support from Government to harness these private and individual potentials for the growth of the sector. “In light of this, the eGhana Project has been designed particularly to encourage private sector participation,” says Mavis Ampah, the Bank Group’s Task Team Leader for the Project. “The ultimate objective of the Project is to assist the Government of Ghana to generate growth and employment by leveraging ICT and public-private partnerships to develop the Information Technologies Enabled Services industry, and to contribute to improved efficiency and transparency of selected government functions through e-government applications. Given the leadership role of the private sector, and the critical know-how that it already possesses, it is envisaged that Government would tap this know-how by engaging the private sector very actively in project implementation.” Consisting of three main components, the eGhana Project seeks indeed to enhance the current trend by: (i) Creating the Enabling Environment necessary for the growth of the sector (ii) Supporting local ICT businesses and IT Enabled Services (ITES) and (iii) Promoting e-Government applications and Government communications Enabling Environment: This component seeks, among other things, to enhance the formulation and implementation of key Government ICT sector policies and action plans; the formulation and implementation of a national ITES policy to promote an enabling environment for addressing the needs and priorities of the ITES sector; and the building of institutional and human capacity for the effective and efficient implementation and use of resources. Supporting local ICT businesses and IT Enabled Services (ITES): This component seeks to catalyze the local ICT industry, help generate more economic output, attract foreign investment, energize local exports and create more employment for the local population. Support includes broad-based human resources development for ITES; carrying out of short-term and long-term ITES education activities, e.g. setting of standards for training curriculum and training institutions accreditation mechanism; investment promotion to attract and retain investors; and support to the local ITES industry through access for ICT Small and Medium Enterprises (SMEs) to international quality standards, provision of Matching Grants to eligible public and private institutions to support the development of new businesses and implement ITES training programs, including designing of incentives to encourage equal participation of women. Another important area under this component is the capacity-building and operational support to the Outsourcing Association of Ghana to nurture existing small, medium and large ITES companies. e-Government Applications and Government Communications: This includes the setting up of a high-speed government-wide communications network connecting key MDAs for the purpose of sharing information and applications and securing government databases; the establishment of a shared portal infrastructure to reduce costs, improve security of databases and facilitate the delivery of e-government services; specialized training for government chief information officers and technical staff; development of interoperability standards for ensuring better information management within government and roll out of e-Government applications (e.g. the Internal Revenue Service) in partnership with the private sector. The Project is expected to be implemented over five years, with the Ministry of Communications serving as the implementing Ministry. Among the specific deliverables and results expected from the Project are (i) an increase in ICT-based jobs by 200% over five years with equal opportunities for women, (ii) an increase in export-led revenues generated by ICT/ITES industry by about US$90 million, (iii) an increase by 25% in satisfaction of users with selected government services taken up for electronic delivery, (iv) an increase by 10% in number of ICT SMEs reporting increased revenues. * The credit is provided on standard International Development Association (IDA) terms, with a commitment fee of 0.35 percent, a service charge of 0.75 percent over a 40 year period of maturity which includes a 10-year grace period. ### For more information on the World Bank’s work in sub-Saharan Africa visit www.worldbank.org/afr For more information on the World Bank’s work in Ghana visit www.worldbank.org/afr/ghana For more information about this project visit http://web.worldbank.org/external/projects/main?pagePK=64283627&piPK=73230&theSitePK=351952&menuPK=351986&Projectid=P093610 |
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