Mahama tells banks to offer long-term credit for purchase of locally assembled cars

President John Dramani Mahama has urged financial institutions to develop flexible, long-term financing packages to enable salaried workers to purchase vehicles assembled in Ghana.

According to him, the growth of the local automobile industry must be matched by financing options that allow workers to acquire locally manufactured cars and repay the cost gradually from their incomes.

President Mahama made the call on Tuesday, September 15, when he commissioned the third phase of the Zonda Tech Ghana Assembly Plant. He said the banking sector had an important role to play in making vehicle ownership attainable for more Ghanaians.

He observed that public sector employees, including teachers, nurses and doctors, as well as workers in the private sector, could afford new vehicles if appropriate credit facilities were introduced.

“It's good to have these assembly plants producing cars locally, but we must create the instruments for Ghanaians to be able to purchase these cars. And this is where the banking sector comes in,” he said.

The President therefore encouraged banks to consider hire purchase arrangements and other long-term credit schemes that would allow employees with regular incomes to select vehicles and make monthly payments until the full cost had been settled.

“Government is ready to collaborate with the private sector, we're ready to collaborate with the manufacturers, we're ready to sit down with the banks and come out with financing instruments that allow people who are employed and engaged and receive an income to be able to take a car of their choice and pay monthly over a certain period until they have defrayed the cost of the vehicle,” President Mahama said.