Ghana's Oil Windfall: $840m revenue in first six months of 2024
Cedi loses 74% value against dollar since 2021 Story on page 2
Parliamentary recall in disarray: NDC slams NPP for absence, claims financial loss to state
By Eugene Davis
Story on page 3
Telecel Ghana opens new retail shop at Marina Mall, Airport City
Story on page 4
Majority Leader accuses Minority of sabotaging public servant salaries amid Parliamentary deadlock
Story on page 5
Copyright @ 2019 Business24 Limited All Rights Reser ved
Your subscription along with the suppor t of businesses that adver tise in Business24 -- makes an investment in journalism that is essential to keep the business community in Ghana wellinformed.
We value your suppor t and loyalty
Contact : editor@business24 com gh
Newsroom: 030 296 5315
Adver tising / S ales: +233 24 212 2742
Ghana's Oil Windfall: $840m revenue in first six months of 2024
By Benson Afful
Ghana’s crude oil revenue experienced a substantial increase in the rst half of the year, showing a 55.6% rise compared to the same period last year, according to the Public Interest and Accountability Committee (PIAC).
In its semi-annual report, PIAC attributes this growth to higher production volumes, especially from the newly operational Jubilee South East well.
As a result, oil production saw a 10% year-on-year increase, with
revenues reaching $840.7 million—up from $540 million in the rst half of the previous year.
Despite the positive revenue growth, the report also underscores a persistent challenge: outstanding surface rental arrears, which remain high at $1,212,335.53, excluding arrears from terminated petroleum agreements.
In response, PIAC has called on the Ghana Revenue Authority (GRA) to prioritize the recovery of
these arrears.
The Committee further recommended that all assessed surface rentals be deposited into the Petroleum Holding Fund (PHF) by February 28 each year, in accordance with the law.
PIAC emphasized the importance of ensuring that the revenue gains from increased oil production are translated into sustainable national bene ts, underscoring the need for improved accountability and timely revenue collection.
Cedi loses 74% value against dollar since 2021
The Ghana cedi has lost about 74% of its value against the dollar over the past 3 years, the Institute of Economic A airs has disclosed.
The local currency depreciated by 30.0% in 2022 and 27.8% in 2023. It has so far in 2024 lost almost 29% to the American greenback.
According to the IEA, “this is a huge depreciation by all standards”.
It added that the cedi faces further risks for the rest of the year for a number of reasons.
The rst is election uncertainties that makes the dollar holdings as a safe haven.
The second is uncertainties about the future of the International Monetary Fund programme in the face of the uncertain outcome of the elections and the possible intentions of the new administration, which would increase demand for dollars.
The third relates to uncerataities about debt negotiations with non-Eurobond commercial creditors, which could delay further disbursements under the IMF
programme and associated in ows and, thereby, reduce FX supply in the economy.
“Indeed, the Minister of Finance [ Dr. Mohammed Amin Adam] has announced that the IMF Board will carry out the third review of Ghana’s programme on December 2, 2024. This seems quite belated since sta completed their own review in early October [2024]”, the IEA added.
The fourth is a subdued cocoa crop coupled with possible availability of limited syndicated loan in the face of COCOBOD’s expressed intention to shift to domestic nancing of the crop.
Beyond the elections, the IEA
warned it will require strong e orts to bridge the perennial
foreign exchange supply-demand gap through structural and mac-
roeconomic reforms in order to achieve lasting exchange rate stability.
Parliamentary recall in disarray: NDC slams NPP for absence, claims financial loss to state
By Eugene Davis
The NDC Caucus in Parliament has accused the NPP Caucus of causing nancial loss to the state by failing to attend a recent parliamentary session.
Just last month, the NPP Caucus had requested that the Speaker of Parliament, under Article 113 of Parliament’s Standing Orders, summon members to address urgent government business. The
agenda included a request for tax exemptions for bene ciaries of the One District, One Factory programme, approval of a $250 million International Development Association facility to operationalize the Ghana Financial Stability Fund, and the consideration of six key bills: the Environmental Protection Agency Bill, 2024; the Social Protection Bill, 2023; the Customs (Amendment)
Bill, 2024; the Budget Bill, 2023; the Ghana Boundary Commission Bill, 2023; and the Intestate Succession Bill, 2022.
However, despite the Speaker’s recall on November 7, 2022, the NPP Caucus failed to appear in the chamber. According to Dr. Ato Forson, leader of the NDC Caucus, "I am deeply worried and concerned that the very people
who requested Parliament to be recalled failed to show up. Clearly, this is an abuse of the constitution and standing orders of Ghana’s Parliament.”
Dr. Forson argued that the NPP Minority Caucus has caused nancial loss to the state, noting that recalls impose costs on Ghana. "We call on the people of Ghana to hold them accountable by voting them out," he urged.
This criticism came after Speaker Alban Bagbin inde nitely adjourned Parliament on Thursday, November 7, citing a lack of business due to the absence of NPP members in the chamber. Their absence obstructed the commencement of scheduled proceedings, despite the NPP's original call for the recall session.
Dr. Forson expressed serious concerns over the absence of NPP MPs, attributing it to apparent internal disarray within the party that he argued is disrupting essential legislative functions.
On October 17, this year, the Speaker of Parliament declared
the four seats vacant following a petition from the Minority in Parliament, which e ectively ended the tenure of the four MPs
Ms Morrison, Messrs Asante and Kwakye-Ackah have all led as independent candidates for the December 7 elections, while Mr Asiamah Amoako, who was the Second Deputy Speaker of Parliament until Mr Bagbin’s ruling, led to contest the Fomena seat on the ticket of the governing NPP.
The issue had been triggered by
the Minority Leader and MP for Ejumako, Enyan Essien, Dr Cassiel Ato Forson, who drew the Speaker’s attention to the development on the oor of the House and asked him to rule on the issue.
The Minority had tabled their request on the strength of portions of Article 97 of the Constitution, arguing that those provisions of the Constitution abhorred the switch in allegiance midway through a parliamentarian’s tenure.
Article 97(g) states that a Member of Parliament shall vacate his seat in Parliament “if he leaves the party of which he was a member at the time of his election to Parliament to join another party or seeks to remain in Parliament as an independent member”, while Article 97(h) states that the member would forfeit his seat “if he was elected a Member of Parliament as an independent candidate and joins a political party”.
The Speaker agreed, stating in his ruling that the relevant MPs had, by their actions, vacated
their seats in Parliament.
However, on October 18, the day after the ruling, Mr Afenyo-Markin, who had earlier led a suit at the Supreme Court on October 15, seeking an interpretation of Article 97 (1) (g) and (h), led an ex parte application for the court to put on hold the ruling by the Speaker.
The apex court granted the application, which led the Speaker to le the current application which the court dismissed last month.
Telecel Ghana opens new retail shop at Marina Mall, Airport City
In an e ort to provide more accessible and convenient service to its growing customer base, leading telecommunications provider, Telecel Ghana, has opened its newest retail shop at the Marina Mall in Airport City, Accra.
The new retail shop marks yet another step toward the telco’s goal of increasing their touchpoints across Ghana and making access to in-person support easier and more convenient.
“On a daily basis, we receive a high number of customers walk-
ing into our corporate headquarters in Airport City for customer support hence we found it prudent to open a retail shop in the area to serve our customers’ growing demand for voice, data and cash products and service,” said Mercy Akude, General Manager of Commercial Operations at Telecel Ghana. “We are delighted to cut the ribbon to our shop in the Marina Mall and be accessible to more customers.”
Located on the ground oor opposite the Marina Supermarket inside the mall, the new retail
shop brings the number of Telecel Ghana retail outlets in Accra to 57. The telco currently has over 400 physical touchpoints at vantage locations across the length and breadth of the country.
Ernestina Amoah, Centre Manager for Marina Mall, believes the retail shop will draw more people into the mall as it will increase the diverse services shoppers can access when they visit.
“We are truly excited to have Telecel Ghana open its retail shop inside the mall. Having their pres-
ence here will help increase our foot tra c and we have shops in here that provide complementary services for Telecel users as well.”
The opening event was attended by Telecel Ghana’s senior management team and sta , mall management and customers. As part of the opening, the rst set of Telecel customers received branded souvenirs and gifts for their patronage.
Business hours at Telecel Ghana’s Marina Mall retail shop are Mondays through Fridays - 9am to 7pm, Saturdays – 9am to 5pm, Sundays and holidays - 12pm to 5pm.
Mercy Akude, GM – Commercial Operations cutting the tape with other Senior Management Team members.
Majority Leader accuses Minority of sabotaging public servant salaries amid Parliamentary deadlock
Majority Leader Alexander Afenyo-Markin has sharply criticized the Minority caucus, accusing them of trying to obstruct public servants' salary payments amid the current parliamentary deadlock.
His remarks followed Speaker Alban Bagbin’s inde nite adjournment of Parliament on Thursday, November 7, citing a lack of business due to the Business Committee’s failure to meet and set the agenda. The recall session, requested by the Majority caucus, was intended to address urgent matters. However, the absence of Majority MPs led to a halt in proceedings, with Speaker Bagbin expressing frustration over the stalled agenda.
During the session, Minority MPs occupied the Majority side, leaving the Majority caucus outside the chamber. Speaker Bagbin stated that without an agenda from the Business Committee, the session could not proceed.
Speaking to journalists after the adjournment, Afenyo-Markin accused the Minority of deliberately stalling government operations. He warned that without resolution, public servants' salaries might be delayed. He further alleged that the Minority, in coordination with the Speaker, was blocking essential legislation, including the Free Senior High School (SHS) bill.
Afenyo-Markin raised concerns that critical government programs, such as Free SHS and salary payments, could face delays if the budget is not approved in the next session. He accused the Minority of using this opportunity to prevent the Free SHS bill from advancing, urging Ghanaians not to be misled by what he described as lies and propaganda.
He added that e orts would be made to engage with the Speaker
in the coming days.
This inde nite adjournment re ects ongoing disputes over parliamentary majority control, which has a ected legislative work in recent weeks. With Parliament now adjourned, it is uncertain when lawmakers will reconvene to address the unresolved issues, leaving the legislative agenda in limbo.
On October 17, this year, the Speaker of Parliament declared the four seats vacant following a petition from the Minority in Parliament, which e ectively ended the tenure of the four MPs
Ms Morrison, Messrs Asante and Kwakye-Ackah have all led as independent candidates for the December 7 elections, while Mr Asiamah Amoako, who was the Second Deputy Speaker of Parliament until Mr Bagbin’s ruling,
led to contest the Fomena seat on the ticket of the governing NPP.
The issue had been triggered by the Minority Leader and MP for Ejumako, Enyan Essien, Dr Cassiel Ato Forson, who drew the Speaker’s attention to the development on the oor of the House and asked him to rule on the issue.
The Minority had tabled their request on the strength of portions of Article 97 of the Constitution, arguing that those provisions of the Constitution abhorred the switch in allegiance midway through a parliamentarian’s tenure.
Article 97(g) states that a Member of Parliament shall vacate his seat in Parliament “if he leaves the party of which he was a member at the time of his election to Parliament to join another
party or seeks to remain in Parliament as an independent member”, while Article 97(h) states that the member would forfeit his seat “if he was elected a Member of Parliament as an independent candidate and joins a political party”.
The Speaker agreed, stating in his ruling that the relevant MPs had, by their actions, vacated their seats in Parliament.
However, on October 18, the day after the ruling, Mr Afenyo-Markin, who had earlier led a suit at the Supreme Court on October 15, seeking an interpretation of Article 97 (1) (g) and (h), led an ex parte application for the court to put on hold the ruling by the Speaker.
The apex court granted the application, which led the Speaker to le the current application which the court dismissed last month.
Access Bank and Visa partner to empower SMEs with Business debit card
Visa, the world leader in digital payments has partnered with Access Bank a leading nancial institution to introduce the Visa Business Debit Card, a new nancial product designed speci cally for Small and Medium Enterprises (SMEs) in Ghana. This collaboration aims to empower SMEs, which are the backbone of the Ghanaian economy, by providing them with a convenient and secure way to manage their business nances.
SMEs play a crucial role in driving economic growth and job creation in Ghana. They contribute signi cantly to the country's GDP and provide employment opportunities for a large segment of the population. The new Access Visa Business Debit Card is tailored to meet the unique needs of these businesses, o ering a range of bene ts that will help them streamline their nancial operations and enhance their growth potential.
Key Features of the Access Visa Business Debit Card:
• Global Acceptance: The card is accepted at millions of locations worldwide, providing SMEs with the exibility to make payments and withdrawals wherever they are.
• Enhanced Security: With advanced security features,
including EMV chip technology, businesses can have peace of mind knowing their transactions are protected.
• Reporting and Expense Management: The card allows businesses to track and manage their expenses more e ciently, with detailed transaction reports and spending limits. This feature will receive further enhancements and additional digital tools soon.
• Rewards and Discounts: Cardholders can take advantage of exclusive rewards and discounts on business-related purchases such as on advertising, logistics, travel, and redemption via https://smeo ers.poshvine.com
"This initiative underscores our commitment to supporting the growth and success of small businesses in Ghana. By providing SMEs with the tools they need to manage their nances more e ectively, we are helping to drive economic development and create opportunities for entrepreneurs across the country," said Andrew Uaboi, Vice President, Visa West Africa.
Speaking at the launch, Executive Director of Retail and Digital Banking at Access Bank (Ghana) Plc, Pearl Nkrumah said “our aim is to fuel SME growth and this
partnership rea rms our commitment to supporting and empowering SMEs across the country. Over the past years, we have impacted over 11 sectors, and we remain dedicated to providing our customers with innovative products like our newly launched Access Visa Business Debit Card that support their growth. The Access Visa Business Debit card is crafted to meet the unique business needs of SMEs, o ering nancial exibility, international access, and practical business solutions”.
Access Bank (Ghana) Plc, over the past 15 years, has demonstrated an unwavering commitment to understanding its customers’ needs, consistently delivering exceptional service, and empowering individuals and businesses alike. Since its inception, Access Bank (Ghana) Plc has been at the forefront of the nancial sector, providing a wide range of innovative banking solutions tailored to meet the unique needs of its customers. With a vision to be the world’s most respected African bank, Access Bank continues to build long-lasting partnerships that drive sustainable growth and economic transformation.
About Visa Visa (NYSE: V) is a world leader in
digital payments, facilitating transactions between consumers, merchants, nancial institutions and government entities across more than 200 countries and territories. Our mission is to connect the world through the most innovative, convenient, reliable and secure payments network, enabling individuals, businesses and economies to thrive. We believe that economies that include everyone everywhere, uplift everyone everywhere and see access as foundational to the future of money movement. Learn more at Visa.com.
About Access Bank (Ghana)
PLC
Access Bank (Ghana) Plc, a subsidiary of Access Corporation, is a leading full-service commercial bank in Ghana. Committed to driving nancial inclusion and providing innovative banking solutions, Access Bank continues to empower individuals and businesses across Ghana through its extensive product o ering. With a strong focus on superior customer service, sustainability and digital transformation, the bank remains dedicated to supporting the unbanked, creating opportunities for nancial growth, and ensuring that every customer enjoys seamless access to modern banking services.
CIDAN INVESTMENTS LIMITED
WEEKLY MARKET REVIEW FOR WEEK ENDING November 1, 2024
Trend in Market Indices - 2024
STOCK MARKET REVIE W
The Ghana Stock Exchange closed higher this week on the back of price increases by 7 counters. The GSE Composite Index (GSE-CI) grew by 160 27 points (+3.67%) for the week to close at 4,529 30 points, reflecting a year-to-date (YTD) gain of 39.58%. The GSE Financial Index (GSE -FI) also gained 24.68 points (+1.11%) for the week to close at 2,239.89 points, reflecting a year-to-date (YTD) gain of 17 79%
Market capitalization edged higher by 2 46% to close the week at GH¢101,938 10 million, from GH¢99,493.22 million at the close of the previous week. This reflects a YTD gain of 37 95%
The week recorded a total of 5,920,591 shares valued at GH¢73,473,078.87, compared with 801,810 shares, valued at GH¢12,890,891.38 traded in the preceding week.
MTNGH dominated the volume of trades while New Gold Exchange Traded Fund dominated the value of trades for the week accounting for 91.28% and 82 70% of the volume and value of shares traded respectively
The market ended the week with 7 advancers, as indicated in the table below.
Volume and Value of Trades for Week Ending 01/11/2024
CIDAN INVESTMENTS LIMITED
WEEKLY MARKET REVIEW FOR WEEK ENDING
November
1, 2024
CURRENCY MARKET
The Cedi furthered its depreciation run for the third straight week. It traded at GH¢16.3001/$, compared with GH¢16.1500/$ at week open, reflecting w/w and YTD depreciations of 0.92% and 27.12% respectively. This compares with a loss of 25.44% a year ago.
The Cedi also depreciated against the GBP for the week. It traded at GH¢21.1126/£, compared with GH¢20.9579/£ at week open, reflecting w/ w and YTD losses of 0 73% and 28 32 % respectively This compares with a depreciation of 27 57% a year ago
The Cedi slipped against the Euro for the week It traded at GH¢17 6852/€, compared with GH¢17.4605/€ at week open, reflecting w/ w and YTD depreciations of 1.27% and 25.78% respectively. This compares with a depreciation of 25.95% a year ago.
The Cedi lost grounds against the Canadian Dollar for the week. It opened at GH¢11.6352/C$ but closed at GH¢11.6916/C$, reflecting w/w and YTD losses of 0.48% and 22.93% respectively. This compares with a depreciation of 24.86% a year ago
CIDAN INVESTMENTS LIMITED
WEEKLY MARKET REVIEW FOR WEEK ENDING November 1, 2024
Source: Bank of Ghana
Exchange Rates: Ghana Cedi vs Selected Currencies
Source: Bank of Ghana
YTD Performance of the Ghana Cedi against Selected Currencies
Source: Bank of Ghana
COMMODITY MARKET
GOVERNMENT SECURITIES MARKET
The government raised a sum of GH¢4,078.20 million for the week across the 91 -Day, 182-Day and 364-Day Treasury Bills. This compared with GH¢4,421.54 million raised in the previous week.
The 91-Day Bill settled at 26.56% p.a. from 26.19% p.a. last week whilst the 182 -Day Bill settled at 27.58% p.a. from 27.29% p.a. last week. The 364Day Bill settled at 29.04% p.a. from 28.97% p.a. last week.
The tables below highlight primary market activity at the close of the week.
Oil prices closed slightly lower , on a report that Israeli Prime Minister Benjamin Netanyahu will hold a meeting for a diplomatic solution to the war in Lebanon Brent futures traded at US$73 10 a barrel, compared to US$75 63 at week open, reflecting w/w and YTD depreciations of 3.35% and 5.11% respectively.
Gold prices edged higher , trading close to record highs as the run-up to the 2024 presidential election and uncertainty before upcoming data prints kept safe-haven demand in play . Gold settled at US$2,749.20, from US$2,742.20 last week, reflecting w/ w and YTD gains of 0.26 and 32.70% respectively.
The price of Cocoa increased for the week. Cocoa traded at US$7,321.50 per tonne on Friday, from US$6,789.50 last week, reflecting w/w and YTD appreciations of 7.84% and 74.49% respectively.
International Commodity Prices
CIDAN INVESTMENTS LIMITED
WEEKLY MARKET REVIEW FOR WEEK ENDING November 1, 2024
ABOUT CIDAN
YTD Performance of Selected Commodity Prices
CIDAN Investments Limited is an investment and fund management company licensed by the Securities & Exchange Commission (SEC) and the National Pensions Regulatory Authority (NPRA).
RESEARCH TEAM
Name: Ernest Tannor
Email: etannor@cidaninvestments.com
Tel: +233 (0) 20 881 8957
Name: Moses Nana Osei-Yeboah
Email: moyeboah@cidaninvestments.com
Tel: +233 (0) 24 499 0069
Name: Julian Sapara-Grant
Email: jsgrant@cidaninvestments com
Tel: +233 (0) 20 821 2079
CORPORATE INFORMATION
CIDAN Investments Limited
CIDAN House
House No. 261
Haatso, North Legon – Accra
Tel: +233 (0) 27 690 0011/ 55 989 9935
Fax: +233 (0)30 254 4351
Email: info@cidaninvestments com Website: www.cidaninvestments com
INVESTMENT TERM OF THE WEEK
Moving average convergence / divergence (MACD): It is a technical indicator to help investors identify price trends, measure trend momentum, and identify entry points for buying or selling
Source:
h�ps://www.investopedia.com/terms/m/macd.as p
Disclaimer : The contents o f this report have been prepared to provide yo u with general info rmation o nly Information provided in a nd available from this report does not constitut e a ny inv estment recomm endation.
The info rmation contai ned herei n has b een obtained from sources that we beli eve to be reliable, but its accuracy a nd complet eness ar e not guaranteed.
Cocoa Brent Crude
Gold Cocoa Brent Crude
Millicent Clarke pens new book on leadership, “Millie: My Gift of Bangles”
Millicent Clarke, a global human capital leader whose work has covered 22 countries, has launched her rst book, Millie: My Gift of Bangles at the Ghana Association of Arts and Sciences, Airport Residential Area in Accra. The launch of the book, which highlights the power of resilience, self-belief, and leadership in overcoming life's challenges was attended by notable corporate individuals and leaders.
Millie: My Gift of Bangles re ects the numerous gurative bangles comprising precious and non-precious metals such as gold, silver, platinum, glass, wood, ferrous metals, plastic, and even paper, that were gifted to the author by her leaders. Speaking at the launch, Millicent Clarke captivated the audience with re ections on her own journey. She remarked that “Growing up as the rst child of ve, my initial experience of leadership came from managing my siblings and taking responsibility in our home,” she shared,
recounting her journey from Achimota Primary to Archbishop Porter Girls and later to a ful lling corporate career. She emphasised that her book is not just about her career lessons but also some of the life lessons she had learnt from the leaders she had been privileged to work with throughout her career.
Millie: My Gift of Bangles, written with aspiring leaders in mind, o ers a powerful message for anyone facing the pressures of leadership or breaking barriers, especially women in the corporate world. “Each story in Millie: My Gift of Bangles comes with a lesson, dedicated to all leaders and to those aspiring to lead. This is for anyone who feels the weight of being di erent and for women making strides in the corporate world,” she said, “Enjoy my gift of bangles, and let it remind you to break every barrier.”
Sir Sam Jonah, the Special Guest of Honour at the book launch, Chair-
man of Jonah Capital, and Chancellor of the University of Cape Coast, lauded Millie: My Gift of Bangles as a guide for those striving to create their own opportunities and navigate challenges. “This book reminds us that opportunities do not simply appear before us, but we must make our own paths and build bridges over the challenges we encounter,” he said. Re ecting on the shared experiences of resilience, he added, “Every setback teaches resilience; every failure brings wisdom. While our backgrounds shape us, they should never con ne us. Through sheer determination and belief in something greater, we rise.” Mr. Jonah further noted, “Leadership is a privilege, a responsibility, and above all, a profound trust shaped by the perspectives we share with others.”
FirstBank Ghana’s Managing Director and CEO, Victor Yaw Asante, who unveiled the book, Millie: My
Gift of Bangles, said it is a compelling new book packaged in 20 unique chapters that explore exceptional leadership qualities and experiences, stating, “This book o ers profound insights into leadership, and I encourage everyone aspiring to lead to get a copy.” He also extended appreciation to all who purchased the book, noting that they would be “rewarded with the bangles that Millie has shared with us,” symbolising the valuable lessons in the book.
Millicent Clarke was named Millicent Afriyie Donkor at birth. She is the immediate past Human Resource Director for StanChart Africa. Millicent is a deeply spiritual person who truly believes there is power in a name. She continually strives to meet the meaning of her name. Her mantra is “if you want to score, go to the eld and play.” Don’s sit on the sidelines.
Millie: My Gift of Bangles is now available at selected bookshops in the country and online.
