Cotvet Explores New Source Of Funding

By Seibik Bugri (ifej)

The Council for Technical and Vocational Educational &Training (Cotvet) Ghana Skills and Technology Development (SDF) is seriously exploring the possibility of alternative self- sustaining funding sources for the Skills Challenge if the current source of funding from the World Bank, Danida, KFW of Germany, AfDB and GoG dries up. To this end, ?its 2014 work plan and budget has captured a number of activities to be carried out to secure the sustainability of the Fund?.

These include identifying potential sources from government such as Getfund, Export Development and Agric Investment Fund, the Road Fund etc. Others are the Mining firms, Oil and Gas firms, Telcos, and financial institutions like the banks. SDF will also explore the possibility of asking grant beneficiaries doing well in future to give back to the SDF to enable others to benefit as they have to keep the Fund going.

Output

The Manager, Skills Development, Ato Simpson revealed these when the Fund held a forum at the World Bank offices here in Accra to take stock of their activities. Throwing more light on the performance of the Fund since its inception five years ago, Mr. Simpson explained how they are so impressed with the achievements of the fund beyond their imagination. He presented that it is a challenge fund aimed at providing a demand-driven response to the inadequate qualified labour force. Also, providing new entrants to the labour market with gainful employable skills and inadequate access to new technologies and innovations.

Support

It main targets are micro, small and medium scale and large enterprises/industries, Labour unions, trade unions, trade associations, Public and private training institutions and research institutions.? And focuses on upgrading the skills of employees for improvement in productivity and adoption of emerging new technologies, enabling employees to earn higher technical and vocational skills, qualifications and income, upgrading skills of master craft persons and self ?employed graduate ?apprentices and partnership for productivity and technology providers for productivity improvements products diversification, and growth through technology development and organizational innovations.

Rationale

Ghana?s economic growth is driven by the private sector which comprises formal and informal enterprises. Though it consists of large and industrial units, it accounts for over 80% of economic activity, providing a critical mass of jobs for both skilled, semi-skilled and unskilled labour. Nevertheless, a key challenge across both sub-sectors is the limited access to adequate skills and innovative technology to enhance their competitiveness in this fast changing global environment. It is in this context that the SDF intervenes with financial support for skills upgrading and innovative technology development.

Stakeholders

Addressing the forum, the Minster of Education, Prof. Jane Nana Agyemang commended the managers and remaindered them that soon government will have to mainstream it, while still urging the development partners to continue to support the fund. She affirmed government?s commitment to skills development for the youth to generate the needed jobs.

The Executive Director – Sebastian Deh in a brief remarks noted that the need to showcase the outcome of the project was as a result of sterling performance. And urged all stakeholders to help give direction to enable them to deliver competitive workforce.

A representative of Danida, Las Kuker was full of praises for the managers for producing results of three years of investments and that the day?s event gave testimony to tangibles. And that inputs and results matters to Danida as partners.

Welcoming the gathering on behalf of the World Bank?s country Director, sector manager for Education, Peter Metero was also full of pleasantries for the managers of the fund and how the partnership between the World Bank and private sector is yielding good results that is changing people?s lives. He noted that the demand-driven nature of the fund has helped many beneficiaries from diversified sectors of the economy. The bank was happy that the initial difficulty has been overcome. And said that it was about time the government took steps to mainstream it into its budget.

Grants

Since its inception some four years ago, it has awarded grants amounting to GhC 24 million to 84 small, medium and large scale enterprises, science and technology & training institutions in support skills upgrading and technology acquisition initiatives for economic development.

Productivity

Some significant results have far been recorded from some of the beneficiaries. For Instance the Precious Mineral Marketing Company (PMMC) has increased its output of polishing and cutting diamonds from one piece a day person to 50 stones with 21 workers per day as a result. Also quality of polish has improved leading ?a dramatic increased in market value?. ?Ainoo Ansah farms with a same level of inputs, productivity has increased from 200.000 fingerlings per month to 600,000 per month. KNUST Jewellery Design Centers ?trainee jewelers can now use Computer Aided Design to manufacture in just two hours unlike previously two days, Nallem Clothing?s value of labour output per week improved from GHC 27,710.00 with 67 workers per labour hour to GHC 251,830.50 per 240 workers per labour hour. A total of 4,553 SMEs have so far benefited from the SDF supported skills training. 1,378 of the SMEs are for women. ?It is instructive to note that 90.40% of the trainees were satisfied with their technical competence.