Management of GICEL makes final payment to SSNIT

The Management of Ghana Industrial and Commercial Estates Limited (GICEL), on Tuesday presented a cheque for GH¢94,978 to the Social Security and National Insurance Trust (SSNIT) for the final payment of debts owed the trust.

Mr Kwesi Asemone Edjah, Board Chairman of GICEL, who presented the cheque in Accra, said management had so far paid GH¢694,978 and gave the assurance of prompt payment of dividends to SSNIT in future.

GICEL was established as an investment wing of SSNIT in 1999, and became autonomous in 2004 with the appointment of a substantive Managing Director for its smooth operation.

He explained that for the past 10 years, GICEL had achieved significant improvement and currently served as a host to more than 400 Small, Medium Manufacturing Enterprises (SMEs) and artisans as well as providing a one-stop shop for businesses to interact, share common ideas and infrastructure facilities at Weija Estates.

Mr Edjah said GICEL would expand its operations to other regions.

He said by dint of hard work, GICEL in 2007, adopted a new marketing strategy that focused on improving the viability of the estate through effective advertising and collaboration with the tenants association in the estate to attract manufacturing companies to improve the marketing of their products and services to tenants.

“In furtherance to this, strict financial controls and good governance are being stressed to help us develop into a distinct viable estate,” he said.

Mr Edjah said management had aggressively pursued tenants who defaulted in rent payments, re-possessed facilities from absentee and absconded tenants and allocated them to new tenants.

He noted that through these interventions, GICEL’s revenue increased by more than 250 per cent from GH¢110,465 in 2003 to over GH¢280,000 in 2009.

He said the income surplus account also increased by more than 90 per cent from GH¢389,099 to GH¢700,000 in 2009.

Mr Edjah said the significant improvements enabled GICEL to pay GH¢600,000 including interest to SSNIT from 2007-2009 to service the GH¢504,000 loan.

Dr Frank Odoom, Director-General of SSNIT, commended the management of GICEL for their loyalty and prompt payment of debts and urged other corporate organisations to emulate them.

“Investments made by SSNIT are long term and need patience and diligent to nurture to realise final dividends,” he added.

Source: GNA