Business24 Newspaper 26th October, 2020 by Business24 Online

THEBUSINESS24ONLINE.NET

MONDAY OCTOBER 26, 2020

NO. B24 / 118 | NEWS FOR BUSINESS LEADERS

Ghana heads for biggest fiscal deficit in history IMF's projected fiscal deficit from 2020 to 2025 0

2011

2012

2013

2014

2015

2016

2017

2018

2019

2020

2021

2022

2023

2024

2025

-2

-4

-6

MONDAY OCTOBER 26, 2020

Only 3% of Ghanaian businesses fear collapse over pandemic— survey By Benson AFFUL affulbenson@gmail.com

survey conducted by the Africa Business Panel, a market research firm, has revealed that only 3 percent of business professionals in Ghana fear the company they work for will not survive the Covid-19 crisis. Cont’d on page 3

-8

-10

GIPC eyes increased intraAfrica investment

-12

-14

registers projects worth US$869.5m in H1

-16

-18

Source: Fiscal Monitor (Oct, 2020)

By Eugene Davis

By Nii Annerquaye Abbey annerquaye@gmail.com

he International Monetary Fund (IMF) is predicting that Ghana’s fiscal deficit will reach 16.4 percent of GDP this year, the largest in the country’s history.

The record deficit projection comes on the back of the devastating effect of the coronavirus pandemic, which caused a huge shortfall in government’s revenues amidst bigger-thanexpected spending in a frantic effort to contain the

Two years in office of President Iván Duque Márquez

spread of the virus. The extra expenditure includes government’s provision of free electricity and water for Ghanaians to cope with the disruption caused by the virus, as well as loans to enterprises.

Aggregate to take advantage of AfCFTA— AGI tells SMEs BRENT CRUDE $/BARREL

14.5%

NATURAL GAS $/MILLION BTUS

GHANA REFERENCE RATE

15.12%

GOLD $/TROY OUNCE

OVERALL FISCAL DEFICIT

11.4% OF GDP

AVERAGE PETROL & DIESEL PRICE:

Cocoa management goes digital See page 9

INTERNATIONAL MARKET USD$1 =GHC 5.7027

POLICY RATE

PROJECTED GDP GROWTH RATE

Cont’d on page 3

See page 5

ECONOMIC INDICATORS

he Ghana Investment Promotion Centre (GIPC) says it will promote intra-Africa investments in an effort to monetise the economic opportunities spread across the continent.

Cont’d on page 2

Inside

EXCHANGE RATE (INT. RATE)

ugendavis@gmail.com

0.9% GHC 5.13

CORN $/BUSHEL COCOA $/METRIC TON COFFEE $/POUND:

facebook.com/business24gh twitter.com/business24gh linkedin.com/pg/business24gh instagram.com/business24gh

NEWS/EDITORIAL Editorial / News

MONDAY SEPTEMBER 14 2020 MONDAY OCTOBER 26,

EDITORIAL Editorial

Pay before boarding order needs a rethink

Make the most out of cocoa management system The new directive for all passengers to pay for their COVID-19 test online before their arrival at Kotoka International Airport has been meet with resentment by airlines and ocoa is an important crop passengers. Ghana. only does At afor time when Not passengers are it earntoGhana still coming terms precious with the US$150 exchange, � GHC 900� but mandatory foreign it does payment for COVID-19 test upon provide jobs to hundreds of arrival at KIA, the new directive thousands of Ghanaians. has generated more debate. And these farmers, too, Passengers travelling to Ghana happen have September dependents will from to Tuesday, 15 be required make online which further to underscore how payments for crop the is. mandatory crucial the cash C OV I D -1 9 te s t at Ko to k a Over the years, while this crop International Airport prior to has been hailed for itsflight, massivea boarding of their d i r e c t i v e tob ytheF economy, rontier contribution H e a l tmuch h C a r e � ttransformational he company not contracted to carry out the policies have been pursued antigen test at KIA--to all airlines by government to reflect the on Friday has revealed. glowing tribute B y t h e n e wthed icrop r e c t ihas ve, continuously received. “Passengers are required to show proof payment airlines as a The of farmers alsotoface myriad

C Wash your hands 2

Cover your cough 3

of challenges that inhibit their work. But recent policies such as the adoption of the Living Income Differential which adds premium CONTINUED FROM COVER

condition for boarding of flights country� s COVID-19 testing to KIA.” regime.

T h e n e w d i re c t ive , h a s however, been described by airlines as detrimental to the renewed effortsalready to stimulate to what farmers receive, demand for air travel, given that is welcome news. remains the cash payments While policies as the predominant modesuch of payment for most Ghanaian travelers. creation of a pension scheme airline who hasAnbeen on theoperator drawing board wishes to remain anonymous, for quite some time, the recent told Business24 that “The cost is launch of a digital database for already too high and now this cocoa farmers is another news new policy is also going to be i m p l ecelebrating. mented. There are worth hundreds of Ghanaian traders One would have thought who travel to buy goods to retail such a database would already in the country. exist given what these farmers “Most of them don� t carry any contribute to the economy. electronic payment cards to But be like old online. saying They goes, should better able the to pay havethan the ever. flexibility to pay cash late when they arrive.”President The Vice Dr.

The CPA� s Chief Executive Officer, Kofi Kapito, said in as much as the government want to curb cases Scheme. of the Cocoaimported Farmers’ Pension respiratory disease, it must not Dr. Bawumia argued the burden the passenger butthat charge system be atogame-changer what is would enough cover their cost and not to profit the for the cocoa industry,from enhance passenger. transparency and help bring total “Look aroundinAfrica and you transformation the sector. see that what is paid in Ghana for This paper, as a firm believer of the test is the highest. Why digital that transformation, is excited should be� ” about the initiative. However, He also raised questions about like most expected why the projects NoguchitheMemorial Institute of benefits for willMedical requireResearch hard work the University of Ghana, was not on the part of those working on made to handle the testing for a the project tofee be realized. reasonable but rather a This is not a mere contract given to achievement a foreign company to dothose what Noguchi in itself unless responsible could adequately handle. make an effort to ensure the right

The Consumer Business24 would like to urge Mahamudu BawumiaProtection explained data or information is captured Agency � CPA� has also raised a flexible approach that allows at the launch that the on the platform. critical questions about the passengers to either pay online comprehensive database This on paper believes that cocoa relatively high cost will of seek the or cash arrival. to capture the demographics of sector will very much come cocoa farmers, farm sizes, input alive if initiatives like this are supplies, payment transactions implemented to the letter. and facilitate the roll out of the

COVID-19: Banks deferred GH¢3bn in loan repayments

that the desired outcomes are outbreak had transformed their team structures to the new way of achieved and the economy operations, the bank chiefs working in order to maximise brought back on track.” responded that the immediate efficiencies of digital banking, Mr. Awuah� s remarks were response was to enforce remote and ensure less-paper operations Continued cover of the top working while realigning workers� and requirements for social reinforcedfrom by majority distancing. In the long run, these bank executives who responded roles. measures may result in possible While the majority, 69 percent, toFinance the survey. The Minister Kenrespondents Ofori-Atta, layoffs for some whose jobs of respondents indicated that advised the Bank of presented Ghana to in his mid-year budget increase stakeholder consultation remote working will become a become automated,” the report in July, revised the country’s 2020 permanent option going forward, said. in order to propose more fiscal deficit projection from 4.7 there was general consensus that Commenting on the findings of beneficial policies. the survey, which was on the the new norm will ultimately lead percent to 11.4 percent of GDP to This, they said, will help to the shedding of workers whose theme “The new normal� banks� accommodate the fiscal and impact of estimate the timelines extent response to COVID-19”, PwC� s jobs have become automated. the pandemic. to which the policies of the Country Senior Partner, Vish “ M o s t b a n k s i n t e n d t o Ofori-Atta, Finance Minister The Fund’s regulator will bigger remainprojection, available. Ken permanently incorporate remote Ashiagbor, cautioned that for S o m e was respo n d e n t s sin i m pitsl y declining to 74.7 percent in 2021.to Fiscal reforms which contained workers that survive the digital working as an option available thought that there was the need According to economist In an October 2020 Fiscal Monitor staff based on their roles. 12.5� of p ro g reinterview s s i o n , with t heyBusiness24 h ave to for detailed guidelines from the Dr. upgrade theirin skillsSeptember, to remain confirmed that they have Acheampong, the published publication, appears to take into banksTheo government and Bank of Ghana already begun and will continue relevant. rising debt raises significant IMF Resident Representative account expenses ation incurred on the the implement of to realign the job roles and work by government in cleaning measures put in place to curb up the debt sustainability concerns, Albert Touna Mama called on the financial energy sectors especially for external debt government to pursue a wide impact of the and pandemic. – costs which government has servicing, with various Eurobond range of fiscal reforms to deal with In their view, clear guidance consistently from this its coupon payments due in the the stress placed on the economy was missing,excluded and though c o u ldeficit d b ecalculation. s h a r e d d u r i n g coming months. by the COVID-19 pandemic. fiscal stakeholder consultation, they According to the Fund, the He said Ghana, like most The projection is not only could not fully embed the new the largest in Ghana’s history, it fiscal deficit will decline to 9.3 countries, has seen a sharp policies in operational strategy also means the country will see percent of GDP in 2021, before accumulation of public debt in a without a detailed documented the biggest fiscal deficit in sub- easing to 6.3 percent of GDP in bid to battle a crisis unprecedented directive. 2025 – meaning it will take longer in modern economic history. Saharan Africa. ADVERTISE WITH US He argued that government Also, the reportbanking projects that than the government currently Post-pandemic TEL: +233 024 212 2742 government’s debt will increase expects to restore compliance should, as much as possible, deficit prioritise its spending in battling from 62.8asked percent GDP in 2019 When byofthe audit firm with the 5-percent-of-GDP www.thebusiness24online.net about how the pandemic� s rule. the impact of the virus. to 76.7 percent in 2020, before

Ghana heads for biggest fiscal deficit in history Wear a mask Brought to you by

Visit thebusiess24online.com/ contacts to see a full list of Biz24 leaders and newsroom contacts. Your newspaper subscription - along with the support of businesses who advertise in theBUSINESS24 and on theBUSINESS24online.com - make an investment in the Journalism that is essential to keep business community in Ghana well-informed. We value your support and loyalty, and we are committed to serving you Conatct us

Email: hello@thebusiness24online.net Newsroom: 030 296 5315 news@thebusiness24online.net Advertising Adverting / Sales: +233 030 296 5297 24 212 2742

News

MONDAY OCTOBER 26, 2020

Only 3% of Ghanaian businesses fear collapse over pandemic—survey Continued from cover According to the survey, which interviewed 2,166 business professionals across the continent, Ghanaian companies are least able to take advantage of the crisis. Also, none of the Ghanaian participants felt that their company was thriving due to the crisis. Across the continent, 6 percent of business professionals said they do not expect their companies to survive the Covid-19 crisis. About two-thirds of the

African companies said they were struggling but would survive, whereas almost a third of companies—29 percent—said they were doing well and the near future was looking good. One in 25 African companies said it was doing better than ever due to the crisis. In North Africa, 9 percent of the companies said they were doing better than ever due to the crisis, by far the highest score in Africa. South Africa came in second, having a score of 5 percent. A participant from Côte

d’Ivoire, working in the construction sector, said his company was diversified, so for the moment the impact of the crisis was low. “But if the crisis is not over very soon, we shall be impacted,” he added. Another participant from South Africa, working in the manufacturing sector, said: “I am wasting my time interacting with government to secure social security payments for some of my employees. The government is generally unresponsive.” Twelve percent of self-

employed Africans expect not to survive the economic crisis brought on by the pandemic. The larger the company, the better the sentiments. Of companies with over 250 employees, only 3 percent predicted their companies’ folding up. A Sudanese, working in the agriculture sector, said they will need to focus on production and agriculture, as they are the only way out for Africa to grow and lead. A participant from Nigeria, working in services, said the economic situation in the country requires urgent application of micro-economic funding for the small- and medium-scale business sectors.

GIPC eyes increased intra-Africa investment Continued from cover According to the CEO of the centre, Yofi Grant, the private sector in Africa has done a commendable job of increasing cross-national investment within the continent—and the GIPC, as a state body, will encourage the trend. “In this regard, we have been speaking to many of our colleagues across the continent. We will be targeting possible investors to see how they can take advantage of the region to manufacture,” he said. Speaking at the launch of the half-year Foreign Direct Investment (FDI) report on Friday, Mr. Grant added: “We are also preparing to have a dialogue with the EU to see how many European companies we can actually bring to locate and manufacture in Ghana and the continent.” Increasing intra-Africa investment will ensure that the continent takes over its own destiny, he said. Presenting the half-year FDI report, Mr. Grant said the GIPC registered total investments of US$869.47m, with total FDI value amounting to US$785.62m, between January and June 2020, as FDI project registration

Yofi Grant sets his sights on increased intra-Africa investment.

showed rare strength in the final moments of the second quarter of the year, undeterred by the Covid-19 pandemic. The total FDI of US$785.62m represents investment recorded by GIPC and the Petroleum Commission. A total of 69 projects were registered by the GIPC, with a total estimated value of US$688.74m. Out of this, the total FDI component amounted to US$627.52m, while the local component accounted for an estimated US$61.22m. The FDI value of US$627.52m was a considerable increase of about 409.1 percent from last year’s FDI value of US$123.26m recorded within the same period ( Jan-Jun 2019), depicting a strong performance irrespective of the global pandemic.

Out of the 69 projects recorded, the services sector registered a majority of 25 projects, followed by the manufacturing and export trade sectors with 21 and 11 projects respectively. With regard to value, general trading recorded the highest amount of US$246.05m. This was tailed closely by the mining exploration sector with US$231.02m, having sealed some major investments such as the Chirano Gold mine project. The manufacturing sector also saw registered investments valued at US$170.67m on the back of some notable ventures, such as a deal by Matrix industries for the manufacture of paper and aluminum products as well as the Rainbow Paints Limited project, which is a joint venture between Ghana and Kenya for the

manufacture of paints and related products. Geographically, the spread of the projects cut across 6 regions, with most projects registered in Greater Accra. A total of 14,614 jobs are expected to be created when all the 69 projects are fully operational. Out of this, 14,052, representing 96.15 percent, will be for Ghanaians, whilst the remainder of 562 jobs, which represents 3.85 percent, will be taken up by foreigners. The report further revealed that additional equity total ing US$11.56m was re-invested by existing companies within the first half of the year, while a total of GH¢1.36bn was recorded as investments from 28 Ghanaian businesses. Worldwide, the United Nations Conference on Trade and Development (UNCTAD) has estimated that the Covid-19 pandemic will send global FDI plunging by about 40 percent this year—driving the total value of FDI below US$1tn for the first time since 2005. UNCTAD said FDI will continue to see a decline of 5-10 percent in 2021, with a slow recovery to be initiated in 2022, driven by restructuring of global value chains and a general rebound of the global economy.

MONDAY OCTOBER 26, 2020

News

MONDAY OCTOBER 26, 2020

Aggregate to take advantage of AfCFTA—AGI tells SMEs By Joshua Worlasi Amlanu macjosh1922@gmail.com

he Association of Ghana Industries (AGI) has recommended that small and medium enterprises (SMEs), specifically small businesses, should explore the option of exporting their products to other African markets under the African Continental Free Trade Area (AfCFTA) agreement using aggregators. The Chief Executive Officer of AGI, Mr. Seth Twum-Akwaboah, made this call during the Accra regional annual general meeting of the association. “Aggregation is important to facilitate the export of SME products. This is one of the key options which come with exporting [by] our SMEs, and it is

Seth Twum-Akwaboah, CEO, Association of Ghana Industries (AGI)

very important that we develop it.” In view of the start of implementation of the National Export Strategy, the CEO said there is the need for the Ghana Export Promotion Authority

(GEPA) to explore the option of facilitating aggregation arrangements. “One sure way of getting SMEs involved in the AfCFTA is to have aggregators [well-established marketers] who would be able

to develop export markets in the African countries,” he said. In Ghana, micro, small and medium enterprises (MSMEs) account for 92 percent of businesses and contribute about 70 percent of Gross Domestic Product (GDP). Most of the small enterprises do not have the capacity to export to other African countries. The lack of capacity includes their inability to meet required export volumes. The AfCFTA agreement is estimated to create the largest free trade area in the world measured by the number of countries participating. The pact will connect 1.3 billion people across 55 countries with a combined GDP valued at US$3.4tn. The agreement is estimated to potentially lift 30 million people out of extreme poverty, but achieving its full potential will depend on putting in place significant policy reforms and trade facilitation measures.

World Bank pledges support for fast recovery of Ghana’s economy By Joshua Worlasi Amlanu macjosh1922@gmail.com

he World Bank Group (WBG) has reaffirmed its support to Ghana to ensure a fast recovery from the devastating effects of the coronavirus pandemic. The bank’s Country Director, Pierre Laporte, made this known on the occasion of End Poverty

Pierre Laporte, Country Director, World Bank

Day, which was marked on October 17. Currently, the bank is focusing its recovery responses in three key dimensions, namely, the relief stage, restructuring stage and the resilient recovery stage. At the relief stage, the bank focused on emergency response to the health threat and its immediate social, economic and financial impacts. During this

stage in Ghana, it supported government with over US$100m through the global emergency health programme. The second phase, which is the restructuring stage, focuses on strengthening health systems for pandemic readiness; restoring human capital; and restructuring as well as debt resolution and recapitalisation of firms and financial institutions. “One critical area is going to be our continued support to help countries improve transparency, which will make debt and investment more productive, increase accountability, and support resilient economic recoveries that are vital for poverty reduction,” Mr. Laporte said. At the final stage – the resilient recovery stage – the bank plans to take advantage of new opportunities to build a more sustainable and resilient future in a world transformed by the pandemic. “Throughout these steps, the World Bank Group will continually support governments’ efforts to ensure recovery as fast as possible,” the Country Director said. He further added that the youth should play a major role in leading change through

entrepreneurial activities; advocating to government for change; and defining the way forward for promoting a resilient recovery in Ghana. Poverty According to the bank, disruptions caused by COVID-19 are compounded by conflict and climate change, which were already slowing progress in poverty reduction. As a result, global extreme poverty is expected to rise in 2020 for the first time in over 20 years. The bank further estimates that the COVID-19 pandemic is likely to push between 88 and 115 million people into extreme poverty in 2020 around the world, setting back poverty reduction by around three years. “The crisis will have a disproportionate impact on the poor, through job loss, loss of remittances, rising prices, and disruptions in services such as education and health care,” said Mr. Laporte. An estimated 1 in 3 people are excluded, or at risk of being excluded, from economic opportunities, including women, ethnic minorities and indigenous peoples, persons with disabilities, and sexual and gender minorities.

MONDAY OCTOBER 26, 2020

News

MONDAY OCTOBER 26, 2020

Working from home is here to stay

By Paul Richardson

r Michael Kwofie, Country Information Security Risk Officer, Standard Chartered Bank, has encouraged organisations to embrace the practice of working from home as it has come to stay. He said the new way of life, brought about by the COVID-19 pandemic was proving to be effective and that it was time institutions moved away from working in “brick-and-mortar” environment to working online to “survive.” “I see schools running online sessions now. I’m not sure even if you sent a proposal to them in January they would consider it or they would have been interested; but they are doing it today,” he said. Mr Kwofie made the observation at a forum on the role of businesses and industry players in promoting cybersecurity amid COVID-19 pandemic. He said indications were that, more and more people would continue to work remotely even after the spread of the disease had subsided, hence the need for all to adopt the “new normal.” Mr Kwofie said the “new normal” called for the digitalisation of the work environment with proper

planning to mitigate threats and maximise benefits. He said organisations, therefore, needed to revisit the adhoc tactical decisions they made at the onset of COVID-19 and refine them into better strategic policies that could stand the test of time. Mr Kwofie also urged organisations to engage their third parties in capacity building on how to secure organisational data. That, he said was necessary because information security was comprehensive and went beyond just Information Technology (IT). “There is that driver who drives you to work and listens to your conversations. There is that kitchen staff who sits in the canteen, and people come there— some even take their laptops there to go and work, people leave their devices there and all that. So everybody needs to understand the importance and how information and data flow must be secured,” Mr Kwofie said. Mr Eric Akwei, Director of Planning and Design, Surfline Communications Limited, said with people connecting to organisational platforms with their personal devices to work from home, called for robust security systems to protect

organisations from cyber harm. He expressed concern about the lackadaisical attitude some businesses had with regard to network security, saying such businesses tended to downplay the protective measures they needed to take. “It is important that as we go digital, we have to invest a lot in security, because the price you have to pay when you have an attack far superseded what you had invested in terms of infrastructure,” he said. Mr Kofi Asafu-Aidoo, Ghana Domain Name Registry, said though many organisations had gone online, there were a lot more that were yet to do same. He underscored the need for private and government support to enable such organisations to also go digital. “If all the banks have money, they are able to implement all the cybersecurity structures to protect themselves; but if the small company out there can be hacked to collect data about people, then all the big walls of the banks are useless. So there should be a way of sharing resources so that even the smaller institutions are still protected.” He said one major challenge businesses were going to face as a result of working from home, was

the shift in the work paradigm, where people would not have to report to work at fixed times. Mr Asafu-Aidoo said organisations, therefore, needed proper monitoring mechanisms to ensure that people actually worked when at home. He said the upsurge of online activity had led to increased adoption of cloud centres for data storage. He indicated, however, that the storage centres were predominantly situated outside Ghana, and could pose challenge in cases, where the foreign laws on data storage differed from those of Ghana. Mr Amadu-Aidoo, thus advocated the siting of more local data storage centres in the country. He said people should shun the attitude that digital literacy was for only IT personnel and embrace it as part of everyone’s normal life. “Computers are part of our lives. Virtual work is going to be part of our lives. So digital literacy training across professions, across demographics, across gender groups, across age groups is going to be a challenge—it’s going to be an ongoing task that needs to be worked on continuously,” he added.

Ofori-Atta presents expenditure on Appropriation to Parliament on Wednesday

inister of Finance, Ken Ofori-Atta is expected to present to Parliament on Wednesday, October 28, 2020 the Expenditure in Advance of Appropriation from January to March, 2021. Besides, the House is also expected to consider the report of the Finance Committee on

the Appropriation and thus take the consequential Parliamentary action. Majority Leader, Osei KyeiMensah-Bonsu announced this on the floor of the House when he presented the Business Statement for the Fourth Week ending Friday, 30th October, 2020. Mr Kyei-Mensah-Bonsu also

announced that the House was scheduled to sit on Monday, October 26, 2020 as recommended during the presentation of the previous Business Statement. He explained that sittings of the House may also be extended beyond 1400 hours as stipulated in Order 40(2) to enable the completion of scheduled business

for each day of the week under consideration. He entreated all Committees with referrals, which required Parliamentary consideration within the brief period to expedite work on same and report to plenary as soon as practicable. GNA

MONDAY OCTOBER 26, 2020

www.surflinegh.com

WEAR YOUR FACEMASK ALWAYS surfline ...itâ&#x20AC;&#x2122;s about time

Feature / News

MONDAY OCTOBER 26, 2020

How to vary your pitch

t’s vital to vary your pitch at every networking meeting. Here are some ideas to do this without spending hours the previous day reinventing the 60 second self and business introduction script: 1. Highlight a different aspect of your business each week. This way, people will start to expect to hear something new about you at each meeting. This is great, because it takes you out of the pigeon hole that your company name or tagline might put you in. 2. Using current affairs is a great way to vary your pitch. In fact, it’s almost prerequisite if your area of expertise has hit the headlines. For example, in March 2010 the news about the COVID 19 Pandemic affecting lot of businesses and many job losses is something that many business leaders were and are still probably discussing in their networking pitches. 3. Test having different calls to action at the end of your pitch. I say test because it may be that the first call to action you think of is actually an irresistible offer that can’t be improved upon. 4. Vary the theme of your pitch. At one meeting describe a recent project you undertook, the next read some testimonials, the next

give some statistics about how much money you saved/made for your clients – or however you measure the value that you bring to your target market. These are just a few ideas for varying your pitch. The more you start trying out different ideas, the more of your own you will start having. Authored by: Business for Breakfast (BforB) Business for Breakfast (BforB) is internationally recognised for creating successful networking

meetings, events and training for referral marketing. Our global offices are in Australia, Germany, Czech Republic, Spain, Slovakia, Ghana and headquartered in UK. We create an environment where you can build quality relationships within your group, backed up by an ongoing member support programme. BforB is committed to helping small to medium scale businesses expand. In our professional network, members meet regularly in business networks to develop relationships, support each other and to share

and record referral business. We are here to help you get new business from quality business introductions and referrals made through our meetings. Kindly join our next meeting using this link: https://rb.gy/qrf4pl

Business for Breakfast (BforB)

Cocoa management goes digital

ice President Mahamudu Bawumia last Friday launched the Cocoa Management System (CMS)to create a comprehensive digital database for cocoa farmers for effective and efficient management of the cocoa industry. The CMS is an online portal that will capture the demographics of cocoa farmers, farm sizes, input supplies, payment transactions and facilitate the roll out of the Cocoa Farmers’ Pension Scheme. Vice President Bawumia, speaking at the launch in Accra, said the System would be a gamechanger for the cocoa industry, enhance transparency and help bring total transformation in the sector. He entreated the Management of COCOBOD to build in-house capacity to manage the System to ensure its sustainability. He called for collaboration between all stakeholders in the cocoa industry for effective implementation of the programme.

Dr Bawumia urged the media to undertake sensitisation drive to educate cocoa farmers and all players in the cocoa value chain for successful implementation. He lauded the Management of COCOBOD for implementing various innovative initiatives over the past three and half years, saying that, the CMS was in tandem with the Government’s digitisation agenda to formalise the economy. He said digitisation was revolutionalising the global economy, therefore it was imperative to leverage on information technology to enhance productivity and promote accountability and transparency.

The Vice President outlined various interventions rolled out by the Akufo-Addo-led government to improve the income and livelihoods of cocoa farmers in the country. They include; hand pollination, pruning, and irrigation of cocoa farmers, supply of subsidised fertilizers and farm inputs, as well as the introduction of living income differential and increase in cocoa prices recently. Dr Bawumia also mentioned digital infrastructure initiatives rolled out to generally formalise the Ghanaian economy including the digital property addressing system, national identification system and mobile money interoperability payment system.

Mr Joseph Boahen Aidoo, the Chief Executive Officer (CEO) of COCOBOD,said the Management of COCOBOD over the past three and half years were implementing initiatives to address the myriad of challenges be-devilling the cocoa industry. He mentioned some of the initiatives as early spraying, hand pollination, supply of slashes, pruning and irrigation of some cocoa farms to ensure all-year round water. He was of the conviction that, the CMS if fully implemented, would create a central database for cocoa farmers, create inter and intra connectivity generation of cocoa industry players and transform the industry for the better. Mr George Oduro, a Deputy Minister of Food and Agriculture, said the government had adopted mechanisation programmes to accelerate economic growth and make cocoa farming attractive to the Ghanaian youth. GNA

MONDAY OCTOBER 26, 2020

Aviation

MONDAY OCTOBER 26, 2020

Kotoka Int. Airport receives global health accreditation certificate

he Kotoka International Airport has received the prestigious Airports Council International (ACI) Airport Health Accreditation Certificate. KIA in Ghana, therefore, becomes the second (2nd) airport in Africa to be recognised for the implementation of the recommended health measures in the ACI Aviation Business Restart and Recovery Guidelines and the International Civil Aviation Organisation (ICAO) Council Aviation Recovery Task Force Recommendations, along with industry best practices. The ACI Airport Health Accreditation programme enables airports to demonstrate to passengers, staff, regulators and governments that they are

prioritising health and safety in a measurable, established manner. It also allows airports to validate their own measures

throughout their facilities and processes and reassures the travelling public using the airport’s facilities. The guidelines addresses

elements like cleaning, disinfection, hygiene, physical distancing, arrival health protocols and a host of others. At the peak of the COVID-19 pandemic in March, the government closed the country’s land, sea and air borders as part of a raft of measure to help contain the spread of the respiratory disease. The Kotoka International Airport was re-opened for scheduled international flight operations on September 1, 2020 with strict COVID-19 protocols in place. Social distancing signs, mounting of protective screens on all check-in counters and customer service desks, and the setting up of a laboratory at upper arrival to test all incoming passengers were crucial measures instituted to ensure the safety of all users of the facility.

Emirates expands reach in southern Africa via interline agreement with Airlink

E Qatar Airways takes delivery of three Airbus A350s

atar Airways has taken delivery of three Airbus A350s, as part of its strategic decision to investment in modern, fuel-efficient twinengine aircraft. The three Airbus A350 were delivered on the same day and all featuring the airline’s awardwinning Qsuite. QatarAirways has the youngest aircraft with the world’s best Business Class and remains the largest operator of this aircraft type with 52 in its fleet. The airline’s A350 fleet has an average age of 2.5 years and with strong environmental benefits the Doha-based airline continues to lead the way with sustainable growth as it now operates to 100 destinations. Qatar Airways Group Chief Executive, Mr. Akbar Al Baker, said: “Qatar Airways is one of the few global airlines to have never stopped flying throughout this crisis. As one of the only airlines to continue taking delivery of new aircraft at this time, our strategic investment in modern, fuel-efficient twin-engine aircraft

has enabled us to continue flying taking over 2.3 million people home on more than 37,000 flights since the start of the pandemic. Due to COVID-19’s impact on travel demand, we will continue to fly greener and smarter by keeping our fleet of Airbus A380 grounded, as it is not commercially or environmentally justifiable to operate such a large aircraft in the current market. “Environmentally conscious passengers can travel with the reassurance that Qatar Airways continuously monitors the market to assess both passenger and cargo demand to ensure it operates the most efficient aircraft on each route. Rather than being forced to fly oversized aircraft due to limited aircraft options, reducing the flexibility for passengers to travel when they want, Qatar Airways has a variety of sustainable aircraft it can choose from to offer more flights with the right capacity in each market.

mirates and Airlink have announced an interline agreement, widening Emirates’ reach into Southern Africa as countries begin opening their borders for travellers. Emirates’ agreement with Airlink will provide its customers enhanced connectivity via its gateways Johannesburg and Cape Town to more than 25 domestic destinations in South Africa and more than 20 regional destinations in Southern Africa. The unique connections enabled by this new partnership provide customers onward travel options not offered by other airlines. Emirates and Airlink will offer the ease of single-ticket travel and one-stop baggage checkin for customers transferring from Johannesburg and Cape Town to domestic points including Bloemfontein, George, Upington, Nelspruit, Hoedspruit and Port Elizabeth, as well as points across Southern Africa like Gaborone, Kasane, Vilanculos, Maun, Victoria Falls, Maputo, Windhoek, Harare, Lusaka, Ndola, Bulawayo and Livingstone amongst many others. Customers can book their travel with both airlines on emirates.com, through online travel agencies as well as with local travel agents. Sir Tim Clark, President Emirates Airline commented on the newly formed partnership: “Emirates is pleased to partner with Airlink on a new interline agreement that will help us strengthen our presence and give customers more choice, flexibility and enhanced connections across 45 cities in Southern Africa. We are committed to our

operations in South Africa, as we continue to look at ways to build our extended network for customers, and help them benefit with diverse travel options. The interline agreement that has gone into effect with Airlink is only the start of further collaboration, and we are looking forward to exploring more opportunities to widen the scope of our partnership in the future.” Airlink CEO, Mr. Rodger Foster added: “We are proud and excited about our new interline commercial agreement with Emirates. We have a deep respect for the airline, its values and its global reach. We are confident that the relationship will deliver enhanced travel options to customers given the designed interconnectivity that will be enabled at OR Tambo International Airport and Cape Town International Airport. Airlink’s offering of connectable destinations includes most key points within Southern Africa such as; Cape Town, Durban, Port Elizabeth, East London, Bloemfontein, Harare, Lusaka, Maputo, Gaborone, Windhoek, amongst many others.” Emirates resumed its operations into Johannesburg and Cape Town on 1 October, and Durban on 8 October, with enhanced safety measures in place across all of its onboard and on ground touchpoints. The airline continues to build market demand through connecting customers via Dubai from close to 100 destinations, as well as building more connection opportunities in South Africa and beyond through partnerships with airlines like Airlink that drive value for its customers.

MONDAY OCTOBER 26, 2020

News

MONDAY OCTOBER 26, 2020

ARB Apex Bank opens branch in Koforidua

RB Apex Bank has opened a multi-purpose office building in Adweso, a suburb of Koforidua in the Eastern Region, to provide a safer and conducive working environment for Rural and Community Banks (RCBs) in the region. The GH¢3.1 million building, has a regional office branch on the ground floor, a state-of-theart conference room on the first floor and offices for the Eastern Regional Chapter of Association of Rural Banks. Mrs Elsie Addo Awadzi, Second Deputy Governor of the Bank of Ghana (BoG), in a keynote address at the commissioning, said the opening of the building signaled the bank’s readiness to expand the reach and impact of its work for the benefit of RCBs and the customers they served. She observed that the RCBs sector, instituted since 1976, was a response to a then problem of limited penetration of commercial banks in the rural communities to mobilize savings from local communities and provide credit to support economic activities. She said the RCB sector, which currently comprised 145 RCBs and serving about 28 million customers nationwide,

was expected to continue to evolve into a significant player in the financial sector to help provide more access to finance development of rural economies. The Deputy Governor of the BoG, recognizing that RCB customers may have been severely hit by the coronavirus pandemic, indicated that the Bank of Ghana had instituted some policies and regulatory reliefs to support the sector. She mentioned the reduction in monetary policy rate, reduction in primary reserve requirements for RCBs from 8 to 6 percent and reduction in provision requirement for certain loans as

some of the measures put in place to support customers. Whiles congratulating the board, management and staff of the bank on the successful completion of the facility, she reassured that the BoG would continue to explore ways to further strengthened the capacity of the bank to better support the RCB sector and its customer base. Mr Kojo Mattah, Managing Director of ARB Apex Bank, observed that there was a temptation for RCBs to put up massive offices to out-do others in terms of looks, however, was not the best as it landed banks in difficulties.

He said operating rural banks did not require huge investments in buildings and advised the banks to be conscious of the costs and benefits of such investment options, adding that modesty should be the watchword in making decisions regarding office buildings. Mr Mattah noted that despite the devastating impact of Covid-19, the rural and community banks in the Eastern Region had performed well and posted a consistent growth in deposits over the past three years. He disclosed that the Eastern Chapter banks, had recorded a total deposit of GH¢439.57 million in 2017, GH¢576.98 million in 2019 and a further increase in deposits to GH¢647.36 as at June 2020, saying that all were an indication of a vote of confidence by their customers. He thanked all, who contributed in diverse ways to build the office for their immense support and said the ARB Apex bank, together with all its associate banks, would serve Ghanaians with the best and modern banking products and services. GNA

Sahara Group urges global private sector collaboration to boost food security

eading energy conglomerate, Sahara Group has canvassed increased private sector collaboration towards optimising food value chains to address global undernourishment prevalence which stands at 687.8 Million (8.9% of global population), according to the Food and Agricultural Organisation 2020 report on the state of food security and nutrition in the world. Pearl Uzokwe, Sahara Group’s Director of Governance and Sustainability said collaboration among regional and global businesses will increase investments in sustainable food and agricultural projects and create avenues for better engagement with governments and global development agencies. She said the requirement for global healthy diet cost estimated at $3.75/person/day and $3.84/ person/day makes achieving nutritious food for all a herculean task given that the cost of a healthy diet exceeds the international poverty line (established at USD 1.90 purchasing power parity (PPP) per person per day. “The covid-19 pandemic has

shown how much progress we can all make when businesses toe the path of collaboration. Addressing food security across the globe is a quest that requires urgent attention to ensure that no individual is left behind. Sahara Group is already witnessing how effective multi-stakeholder cooperation can be with the ongoing implementation of the Food Africa project,” she said. According to Uzokwe, increased investment will help address low levels of productivity, high production risks, insufficient diversification towards more nutritious foods and lack of physical access to food markets. She noted that collaboration will also facilitate the emergence of vibrant trade policies that will give traction to food production, improve food safety and quality standards. “We will ultimately move the world towards robust food value chains that will enhance food storage, road infrastructure, and food preservation capacity where heart breaking losses exist for highly perishable foods,” she added. The Food Africa Project is a collaborative initiative between

Sahara Group, United NationSustainable Development Goals-Fund (SDG-F), Food and Agriculture Organization of the United Nations (FAO), the International Labour Organization (ILO), International Trade Centre (ITC), Roca Brothers and the Kaduna State Government, directed at empowering the people and alleviating poverty through food security. Since 2016, a total of 388 farmers and other players directly benefitted from capacity building trainings along Horticultural value chain, Business development and Cooperative management, value addition and market linkages. More opportunity was given to youth and women participation in the trainings conducted (74%). 247 farmers operating under 15 cooperatives/

farmer groups profiled by FAO were supported with agricultural implement which improved their productivity and minimized postharvest losses. Through value chain market programmes, 78 lead farmers, market agents and food processors (44 women) improved their knowledge of value addition, food safety, market development and linkages and off-farm opportunities. Farmers’ access to improved agro-processing and value chain integration would be further enhanced through the establishment of the food processing facility by Sahara Foundation. The FAO report recorded the prevalence of severe food insecurity at 746 million, which translates to 9.7percent of global population.

MONDAY OCTOBER 26, 2020

THEBUSINESS24ONLINE.NET

WEDNESDAY, 28TH OCTOBER, 2020

Two years in office of President Iván Duque Márquez With a roadmap drawn up on August 7, 2018 and the National Development Plan 'Pact for Colombia, Pact for Equity', built on the pillars of Legality, Entrepreneurship and Equity, the Government of President Iván Duque Márquez advances in different programs, initiatives and strategies to increase the well-being of Colombians. These are some of his government’s main achievements in these two years:

Legality “When a government faces drug trafficking, it is not only facing the crime itself, but it is also affecting the criminal chain that ruins the economy with distortions.” Iván Duque Márquez 1. Greater reduction in illicit crops In 2019, there was a 9% reduction in the area of illicit crops in the country, going from 169,000 hectares in 2018 to 154,000 in 2019. 101,273 hectares were manually eradicated (data from the National Program for the Substitution of Crops for Illicit Use-PNIS and Public Force). This year, as of 30 June, 39,515 hectares have been eradicated. The number of Mobile Eradication Groups also went from 23 in July 2018 to 150 in November 2019, and to 196 in March 2020. In addition, more than 428 tons of cocaine hydrochloride were seized in 2019, 4% more than in 2018. Throughout this government 823 tons have been seized. 2. Life in prison for child murderers and rapists One of the proposals made in the campaign for the Presidency was to protect Colombian families and, especially, children. With support from Congress, it was possible to modify Article 34 of the Constitution, so that in cases of crimes such as homicide, kidnapping, torture, carnal

access or abusive sexual acts with children under 14 years of age, the sentence of life imprisonment can be imposed. Our purpose is that children do not suffer any form of violence. 3. Blows to organized crime leaders 115 leaders of Organized Armed Groups and Organized Criminal Groups have been neutralized between August 7, 2018 and June 30, 2020, comprising arrests and deaths during operations of the Public Force. 4. Lowest number of kidnappings Between January 1 and June 30, 2020, there was a 19% decrease in kidnapping cases, compared to the same period in 2019. While in 2019 there were 48 kidnappings, in 2020 there were 39, that is, 9 less. 2019 had the lowest figure of kidnappings ever, with 92 cases, which meant a reduction of 48% compared to the record of 2018, when 176 kidnappings were perpetrated in the country. 5. Third lowest homicide rate in 44 years Between January 1 and June 30, 2020, there was a 14% reduction in the number of homicides in the country, compared to the same period in 2019. In addition, in 2019 the homicide rate decreased compared to 2018, from 25.9 to 25.7 per 100,000 inhabitants. This was the third lowest homicide rate registered in Colombia since

1976. 6. Orion Campaign against drug trafficking With the participation of 26 countries during 285 days, 324.9 tons of cocaine hydrochloride were seized, equivalent to 177,897 hectares of coca crops, meaning that 811 million doses did not reach their destination. 59.7 tons of marijuana and more than 50 naval artifacts were seized, and more than 30 drug traffickers were captured. 7. Prevention of recruitment We updated the Public Policy for the Prevention of Recruitment, Use, Utilization and Sexual Violence against Children and Adolescents, working with 29 territorial entities and with the participation of 10 civil society organizations and international organizations. Identifying 197 municipalities with the highest risk, the action plan was designed to protect minors in these territories; the execution began on July 31 and will benefit 5.5 million minors.

with political offences, the anticorruption laws on conflict of interest, the publication of the declaration of assets and income and the registry of conflict of interests of public servants and contractors, in addition to the penalties for those convicted of corruption and excluding house arrest for those crimes. There is also the adoption of standard contracts in public procurement, the reform of the General Royalties System, the creation of the Ministry of Sports, the modernization of the ICT sector and the Law to honor for students who died in the terrorist attack to the General Santander School of Cadets. 9. Peace with Legality Policy We are adopting structural and detailed measures to begin transforming the living conditions of more than 6.6 million people, the most affected by situations of violence and poverty, based on the planning, articulation and execution of works required by the communities themselves, in order to begin to close the enormous gap that has divided Colombian society.

8. Far-reaching laws for Colombians

10. Development with Territorial Approach

In harmonious work with the Congress, as of 30 June 2020, 24 laws and two legislative acts (constitutional reforms) have been enacted. Some of the most important ones are the constitutional reform to prohibit considering kidnapping and drug trafficking as offences connected

We structured the roadmaps for the Development Programs with a Territorial Approach (PDET) in 16 sub-regions to execute 32,000 initiatives proposed by the communities. With an investment of $141 billion, a total of 888 PDET works of community infrastructure

MONDAY OCTOBER 26, 2020

THEBUSINESS24ONLINE.NET

have been completed in areas such as health, housing, education and sports, benefiting 76,000 families from rural areas. More than 2.6 trillion pesos have been invested for the transformation of the municipalities most affected by violence and poverty. The mayors of 170 municipalities incorporated the PDET policy into their development plans and long-term policies. 11. We are advancing with reintegration 1,500 collective and individual productive projects have been approved, for more than $ 40 billion, to benefit people in process of reincorporation. The 24 former Territorial Areas for Training and Reintegration (TATR) have been permanently established or relocated, where 2,877 ex-combatants reside, along with their families, receiving care, economic benefits and other guarantees. 98% of ex-combatants are affiliated with the Health System, 83% to the pension system and 97% have bank accounts. As per the National Development Plan, monthly financial guarantees have been disbursed for an approximate value of $200,000 million.

WEDNESDAY, 28TH OCTOBER, 2020

objective and transparent selection. In this way, greater competition and participation of bidders in public bids for public works was achieved. All of this leads to better prices, goods and services. 15. Veteran’s Law Law 1979 of 2019 (Veteran’s Law) was issued to honor and benefit more than 170.000 veterans of the Public Force. The norm promotes policies aimed at improving the conditions and quality of life of our retired military and police officers, disabled pensioners, honor reservists, and veterans who participated on behalf of the Republic of Colombia in international conflicts. 16. Timely Action Plan (PAO) In 2019, the Ministry of the Interior, through the Timely Action Plan (PAO) for the protection of social leaders, human rights defenders and journalists, visited 36 territories in 14 departments. The formulation of 10 departmental routes was also achieved to strengthen the timely and immediate attention of social leaders.

12. Individual reparation to victims

17. Progress in addressing judicial backlog

Reparation has been made to 172,120 victims, for a value close to $ 1.47 billion pesos. 114,070 of are people over 74 years of age, contributing to the restoration of the rights of this population

In relation to accumulated judicial processes in contractual matters, progress has been made in solving 17% of the disputes, in accordance with a strategy created to reduce these cases by 50% in 2020.

13. Multipurpose Land Registry

18. Free from antipersonnel mines

The Multipurpose Land Registry was put in place to allow better territorial planning and provide legal certainty to peasant land owners. Updating the cadastral information provides real information on the territory, limits, use, property and value, to achieve efficient use of resources, fair taxes and greater productivity in rural areas. An international loan for 150 million dollars was received for this project. Pilot processes and the reorganization of the Agustín Codazzi Geographical Institute began. 14. Model Contracts to stop irregularities in public procurement A regulatory decree on model contracts was issued to regulate the bidding processes for transport infrastructure works, thus ending with contracts designed to benefit a specific bidder, in prejudice of

During 2019, President Iván Duque declared 113 municipalities without suspected contamination by antipersonnel mines. In the near future, 13 more municipalities will be declared, certified by the InterInstitutional Humanitarian Demining Agency. 19. Fraternity with migrants Colombia has supported the reception of over 1.8 million migrants, 799,000 in regular immigration status and around 500,000 returned Colombians who have fled Venezuela due to the institutional, economic, humanitarian and social crisis. In addition, measures for investment, new jobs, humanitarian assistance, health and institutional strengthening have been supported in the border departments of Norte de Santander, Cesar, La Guajira, Arauca, Vichada and Guainía.

Entrepreneurship “I want to see a Colombia recognized for its competitiveness, for its inventiveness, for its entrepreneurial capacity, for being able to close social gaps and defeat any form of crime.” Iván Duque Márquez 20. Boost to economic growth To reactivate the economy, finance social programs, increase formal employment and investment and promote greater formalization and equity, the Ministry of Finance promoted in Congress the adoption of the Financing Law, which allowed ensuring the financing of the social spending of the term 2019. The Financing Law of 2018 and the Economic Growth Law of 2019 sought to protect the most vulnerable population, as well as achieve a more equitable tax system, facilitate entrepreneurship, strengthen the DIAN (tax authority) and obtain a greater contribution from those who have high income and net worth. These laws contributed to recovering investment and stimulating economic growth and job creation. 21. Economic growth higher than the region’s average The performance of our economy between 2018 and 2020 was outstanding. The actions taken by the economic authorities have improved confidence and accelerated the recovery of the economy. Proof of this is that Colombian economic growth accelerated from 1.4% in 2017 to 2.7% in 2018. In addition, in the same period, tax collection increased 6%, surpassing the target established by the DIAN (tax authority). Similar results were achieved in 2019, when the rebound and recovery of the country’s economy were sustained with an economic growth higher than in previous years and higher than the region’s average. Consistently, tax collection grew 9.3%, exceeding the goal set forth by the DIAN (tax authority). Before the arrival of the coronavirus in Colombia and the Mandatory Preventive Isolation, the Colombian economy was at a good pace during the first two months of 2020; the DANE (statistics authority) informed that there was an expansion of the economy of 3.5% in January, while in February it was of 4.1%. 22. Center for the Fourth Industrial Revolution

Since April 2019, the Center for the Fourth Industrial Revolution operates in Medellín, as part of a network of centers located in emblematic cities in terms of technological development. The Center participated in the execution of the G20 Smart Cities Initiative in public procurement processes for artificial intelligence (AI), as well as in blockchain technology projects in public bids, and the AI Board Toolkit. In 2020, the Center continues linked to worldclass initiatives, such as the G20 Smart Cities Alliance, and others aimed at promoting the appropriation of technologies in the public and private sectors and in society in general. 23. 22 Pacts for Growth and Employment Generation 22 Pacts for Growth and Employment Generation were formulated with various economic sectors to identify bottlenecks, increase production capacity, create 1.1 million jobs and boost sales and exports. Of the 832 commitments accepted by the private sector, 517 actions were completed before the pandemic started, with progress being made on issues such as reduction of bureaucratic procedures, improvement of sector regulations and creation of new credit lines. 24. Multimodal transport is a reality After more than 30 years, we are back to moving cargo by rail from the center of the country to the main ports of the Caribbean. With an investment of around $1,250 million, the commercial operation was consolidated in the La DoradaChiriguaná railway corridor, which is connected by rail with Santa Marta, and by the Magdalena river with Cartagena and Barranquilla. It went from moving 1,186 tons in the first half of 2018, to 12,449 tons in the same period of 2019; during the first half of 2020, 21,520 tons have been mobilized. 25. Fair Payment Terms Law President Duque sanctioned the Fair Payment Terms Law, fulfilling a campaign promise. This law seeks to create conditions for micro, small and medium-sized companies to emerge and grow; energizes the economy and helps its reactivation. Fair payments terms will give cash flow, dynamism and investment to companies in the country in the midst of the situation caused by COVID-19. It will allow

MONDAY OCTOBER 26, 2020

THEBUSINESS24ONLINE.NET

them to operate without having to turn to credits or financing mechanisms that imply interest and burdensome obligations. In this way, a solution is given to one of the causes of the closure of companies in Colombia. 26. Easier access to State services and requirements The implementation of the “Simple, Agile Government” strategy is progressing, with intervention in high impact procedures, barriers and regulations and the elimination of outdated regulations, to increase the productivity of companies and favor the quality of life of citizens. 2,263 measures have been adopted, 1,638 of them regarding procedures, 197 barriers, and 428 norms, which is estimated to save more than $ 151,725 million for travel, waiting times, payment of correspondence, printing and copies. 27. The electronic invoice is now a reality Today, the Electronic Invoice has more than 138.000 authorized taxpayers and 218.000 registered taxpayers. During 2020, 313 million electronic invoices have been issued for a value of $ 571 billion. The platform has the capacity to process 80 million documents per day. The Electronic Invoice is the evolution of the traditional invoice. It has the same validity as paper, but it is generated, validated, issued, received, rejected and kept electronically, which represents greater advantages. 28. Simple Tax Regime The Economic Growth Law created the Simple Tax Regime. As of June 30, 2020, 15,551 taxpayers have registered for this new way of paying taxes. Likewise, through this new system, a tax collection of $ 220,075 million has been achieved, through the bimonthly advance form for the years 2019 and 2020. 29. Productivity factories for companies The Productivity Factories program was designed and implemented. 1,718 companies have received interventions from the program in its different lines: operational and labor productivity, energy efficiency, commercial management, logistics, quality, innovation management, product development and sophistication, technological management and sustainability. 1,244 have completed the intervention process. The average

WEDNESDAY, 28TH OCTOBER, 2020

variation in productivity of the companies intervened during 2019 by the program was 29%. 30. Pact for Decent Work On October 9, 2018, the Pact for Decent Work was signed, thanks to which trade union organizations, business organizations and the National Government, headed by President Duque, committed to establishing relationships based on solidarity, fraternity, trust, a sense of belonging and mutual growth, based on social dialogue. 9 Pacts for Decent Work have been signed within the framework of forums held at the national level to promote the culture of labor legality, in the transport, hotel, hydrocarbon, construction, mining, coffee and health sectors. 31. Record figures in tourism In 2019, 4,515,932 non-resident visitors arrived in the country, 2.7% more than in 2018. The income reported in the travel and transportation account amounted to USD $ 6,751 million, 1.9% more compared to 2018 and the highest high in history. GDP in accommodation and food services grew 4% compared to 2018. 17 new international air routes and 39 frequencies were created. The country reached historical levels of hotel occupancy: 57.8%. More than 1.9 million people were occupied in activities related to tourism, which was also one of the largest generators of foreign exchange after oil. 32. Strengthening of regional laboratories The Ministry of Science issued a call to strengthen regional laboratories with the potential to provide scientific and technological services to address problems associated with high risk biological agents for human health. More than $ 202 billion were allocated from the Science, Technology and Innovation Fund of the General Royalties System to finance 35 projects. With additional efforts, 7 departments increased these resources and achieved an additional $ 45,865 million to finance up to 45 projects. 33. Competitive Alliances for Equity The Office of the Presidential Advisor for Competitiveness launched the Competitive Alliances for Equity program, with 8 Alliances formed thanks to USAID, in which about 100 million dollars are being mobilized from the private sector, in addition to

cooperation resources of 30 million dollars. The alliances promote actions related to productivity, development, competitiveness and territorial stabilization, and seek to promote development in the territories most hit by violence, through private investment and international cooperation. 34. Entrepreneurship Fund More than 538.000 entrepreneurs have been advised, creating about 6,182 companies and 4,911 formal jobs. Resources for more than $ 147 billion of social investment have been allocated, which allowed the creation of 1,212 formal companies and 6,977 formal jobs. 374 municipalities have been covered with financial leverage and technical support. We carried out two calls for the creative and cultural industries for more than $ 32,500 million, which allowed the creation, to date, of 262 new companies, which have generated 1,542 formal jobs in the creative sector. 35. Incentives for Orange Economy Tax incentives have been given to Orange Economy companies. An enterprise with annual net income of less than 2,700 million pesos may be exempt from income tax for 7 years. The decrees establish 25 classifications to benefit about 40,000 existing companies, plus those that arise before December 2021. There was also a 10-year extension of the Colombian Film Fund, as well as a tax incentive to leverage at least $ 300,000 million in investments and donations for projects in the creative economy, including the arts and cultural heritage. 36. Orange Development Areas With the leadership of the mayors, and the incentives and mechanisms created for the Orange Economy by the Government through the National Development Plan, the country has four declared Orange Development Areas: Barrio Abajo in Barranquilla, El Perpetuo Socorro in Medellín, and Centro and Antigua Licorera, in Cali. This year, the mayors of Ibagué, La Ceja, Palmira, Pamplona, Popayán, Tunja, Valledupar, Villapinzón and Villavicencio have advanced in the creation of others. 37. Orange Nodes and Creative Agendas With the help of territorial authorities, Chambers of Commerce, universities and local creative unions,

and with the technical support of the Regional Competitiveness Councils, 17 Orange Nodes have been activated. 14 mappings of creative and cultural industries have been developed in capital cities and 17 departmental creative agendas. This initiative is advancing in accordance with the 2018-2022 National Development Plan and with the district, municipal and departmental development plans. 38. Accompaniment to territorial authorities During 2020, we have responded to 3,000 requests from the 32 governors and 1,103 mayors, and held 9 tables for economic reactivation called ‘A step forward’, which have led to pilots to reopen shopping centers, manufacturing industry, air routes, intercity transportation, restaurants, and hotels. 39. Colombia’s accession to the OECD Colombia joined the Organization for Economic Cooperation and Development (OECD) and created an institutional architecture for its effective participation. The country joined as member number 37 of this organization that seeks to achieve the highest standards in public policies to improve the well-being and quality of life of its citizens, and whose countries represent around 80% of world trade and investment. 40. Creation of PROSUR On March 1, 2019, Colombia withdrew from UNASUR, along with Argentina, Chile, Brazil, Ecuador and Paraguay. On March 22, 2019, in Chile, a presidential meeting was held in which the Declaration on the Renewal and Strengthening of the Integration of South America was signed, through which the Forum for the Progress of South America (PROSUR) was created between Argentina, Brazil, Chile, Colombia, Ecuador, Guyana, Peru and Paraguay. 41. Digital transformation Progress was made in the Public Policy of Digital Transformation and Artificial Intelligence, the Public Policy of Cybersecurity, the X-Road Interoperability technical framework, digital citizen services and the implementation of more than 200 sector initiatives. CoronApp was developed and adopted as a mechanism to fight covid-19, with more than 11,300,000 downloads.

MONDAY OCTOBER 26, 2020

THEBUSINESS24ONLINE.NET

Equity “I want education to become the transformative tool that young people in Colombia demand so much, for them to have opportunities.” Iván Duque Márquez 42. Increased budget for social programs The Nation’s General Budget prioritized the items of health, education, social inclusion, agriculture, sports and environment, in such a way that more resources could be allocated to these key sectors, to programs such as Families in Action and subsidies to public services in the sectors that need it most. In 2019, through a debt substitution operation, $ 14.5 trillion were added to the operation and investment of these sectors. For 2021, the Government presented to Congress a budget project for $ 314 billion, with a growth of 15.5% compared to the one executed this year ($ 271.7 billion). The priority that the Government has with this budget is to reactivate the economy, generating as many jobs as possible. 43. More resources for regional development In December 2018, the 20192020 biennial budget of the General Royalties System was approved for $ 24.2 billion, an increase of 67% compared to the previous period. This is essential to promote the development of the regions. During this period, public education will receive $ 2 billion, of which $ 1 billion will be invested in physical infrastructure for universities and institutes, and the rest to strengthen universities, basic education, and Bicentennial scholarships for doctoral excellence. 44. Reform to the Royalties System The reform of the Royalties System was approved in Congress increasing resources for the producing regions from 11% to 25%, and increasing resources for the most vulnerable municipalities. 45. Investments of $ 1,096 billion in the Development Plan The Congress of the Republic approved the 2018-2022 National Development Plan “Pact for Colombia, Pact for Equity”, as the roadmap for the Government of

WEDNESDAY, 28TH OCTOBER, 2020

President Duque. In this Plan, three pillars are enshrined: legality, entrepreneurship and equity, making visible populations and problems that were not previously taken into account, in order to build a better country, stimulate economic growth and job creation, and reduce the rates of employment and inequality among Colombians. 46. The countryside at a click: contract agriculture With the Contract Agriculture strategy, progress is being made –as of July 3, 2020– with 53,548 producers who have signed trade agreements, of which 66% are men and 34% women, from the 32 departments of the country. Participating producers have achieved business closings with more than 480 business partners for an approximate value of $ 827 billion, which has impacted on better prices, safe markets, safe sales and reduced intermediation for producers. 47. More funding for education We went from having an education budget of $ 38.5 billion in 2018 to $ 44.1 billion in 2020, the highest in history. This means a growth of 6.41% compared to 2019 and a real growth of 11% compared to 2018. In this way, education became the sector with the largest budget compared to the total budget. For public higher education, in this four-year period an additional $ 4.5 billion will be allocated from the Nation’s General Budget and the General Royalties System, to strengthen the operation and investment budgets of all public Higher Education Institutions in the country. 48. 116.787 young people are Generation E Through its Equity and Excellence components, Generation E has allowed 116,787 young people to have free access to higher education; by December we hope to reach 168,000 and by the four-year period we will meet the goal of 336,000. The beneficiary students in vulnerable conditions come from 1,094 municipalities from all 32 departments, which is 97.5% of all municipalities in the country. 49. Full school day and double degrees for young students More than 1.1 million boys and girls, equivalent to 16% of the enrollment, have access to the full school day, allowing them to enjoy more and better time at school. By December there will be more than 300,000 young

graduates with double degrees, with the support of the National Learning Service (SENA), and in 2022 we will reach 650,000. 50. Educational Infrastructure We have completed 123 educational infrastructure works and advanced legal and budgetary actions to reactivate 228 work contracts. There will be a total of 541 projects meaning 12,690 new and improved classrooms. In addition, we are executing improvements to 669 rural schools. 51. More resources for senior citizens During this Government, the Colombian Seniors Program increased its coverage by 185.000 new quotas that were distributed proportionally in the country’s municipalities. In addition, we increased the value of the subsidy by $ 80 thousand, benefiting more than 1.7 million senior citizens. 52. Potable water and basic sanitation In the first two years of government, we have provided drinking water service for the first time to 1,312,631 people throughout the national territory, helping to improve their quality of life. Likewise, 1,307,688 people have accessed basic sanitation solutions for the first time. With this strategy, we contribute to the closing of access gaps and move towards the universalization of these services.

53. 2.323.428 beneficiaries of Families in Action The Families in Action program has benefited 2,323,428 families (including 3,807,958 children and adolescents) with an investment of $ 3.6 billion, promoting their attendance and school continuity, as well as access to the health system and growth and development controls. 54. 330,605 beneficiaries of Youth in Action With the Youth in Action program, the Government of President Duque has benefited in these two years 330,605 young people, assuring their access and permanence in technical, technological and professional education, as well as the strengthening of the work capacities and competencies for young people in a situation of poverty and vulnerability. A further 222,240 young people have benefited from the program, which

represents 44.4% of the four-year goal. 55. “Sacúdete” strategy The Sacúdete (health, culture, sports, technology and entrepreneurship) strategy was designed to create meeting points for the youth and seeks to close economic and knowledge gaps through the construction of sustainable life projects. It is headed by the Office of the First Lady and works with the Presidential Advisor for Youth; it has technical support from the United Nations Development Program (UNDP) and the private sector. Another step in the care of young people was the creation of the Directorate of Adolescence and Youth in the Colombian Institute of Family Welfare (ICBF), whose fundamental task will be to promote the rights of this population group and join efforts in creating opportunities for their personal and social development. 56. Comprehensive early childhood care Today, 1.5 million boys and girls under 5 years of age have quality initial education, within the framework of comprehensive care. The goal is to reach 2 million boys and girls. 57. Increased coverage of the nutrition program The age range for beneficiaries of the “1000 days to change the world” program was extended. Previously, attention was given to children under 2 years of age and extended to those under 5. 45,273 boys and girls at risk of malnutrition and low-weight pregnant women have been cared for. Attention to expectant mothers increased from 20,480 in 2018 to 33,100 in 2019. 58. More children benefit from the School Feeding Program More than 5,600,000 children benefited, in 2019, from the School Feeding Program (PAE), with an investment of $ 1.05 billion. This year we increased PAE resources by 50%, which allows us to serve more than 5.6 million boys and girls from public schools, who will receive food supplements throughout the school year. The Administrative Unit for School Feeding was created to strengthen financing schemes, expand coverage, promote transparency, and ensure quality and timeliness of the program. The goal by 2022 is to reach 7 million boys and girls with this program.

MONDAY OCTOBER 26, 2020

THEBUSINESS24ONLINE.NET

59. Energy transition is a reality Colombia made a historic leap in the incorporation of renewable energies. In 2022 the country will have 2,500 megawatts of installed capacity for the generation of solar and wind energy, 50 times more than the capacity installed in 2018. This New Energy will allow increasing the participation of non-conventional renewable energies in our electricity matrix, which will pass from less than 1% to 12% in 2022. Colombia is the Latin American country with the greatest progress towards the energy transition and rose 9 positions in the Energy Transition Index of the World Economic Forum 2020, going from 34 to 25. 60. Equity, the faces of New Energy So far this Government, 33,642 families have electricity in their homes for the first time, and of these, 18,915 are in the areas prioritized by the Development Programs with a Territorial Approach (PDET). The New Energy that comes from the sun has made it possible to promote equity in the regions. Today, 9,349 households in departments such as Arauca, Caquetá, Casanare, Córdoba and La Guajira have access to this service, thanks to the installation of solar panels in their territories. 61. Reactivation of the 4G routes Of the 29 Fourth Generation (4G) infrastructure projects contracted, 24 are in full execution, thanks to the boost of this Government. 13 of those projects already have a progress of more than 50%. These 13 projects injected the economy with $ 8.59 billion. Likewise, the Government made progress on large projects that were paused, thanks to which in February of this year the works of the La Línea Tunnel were completed and the Pumarejo Bridge was also put into service, improving mobility between Atlántico and Magdalena. The La Línea Tunnel will be put into service on the first week of September. 62. Pact of Leticia for the Amazon Promoted by Colombia, this pact - also signed by the Heads of State of Brazil, Bolivia, Ecuador, Guyana, Peru and Suriname - recognizes the importance of the Amazon as a strategic ecosystem and source of 20% of the planet’s fresh water, and contemplates 52 key actions for its protection. More than 34 million

WEDNESDAY, 28TH OCTOBER, 2020

people, including indigenous and tribal peoples, live in this vast region. 63. Around 35 million trees have been planted From August 2018 to date, 34,769,570 trees have been planted throughout the country, thanks to the support of strategic actors such as regional autonomous corporations, the private sector, environmental organizations and academia. This figure is part of the proposed goal of planting 180 million native trees by 2022, to restore nearly 300,000 hectares. 64. Colombia signed the Escazú Agreement Colombia signed the Escazú Agreement in December 2019, as part of the Government’s commitments in the Great National Conversation. This agreement strengthens environmental democracy, the protection of environmental defenders and the promotion of sustainable development. It complements the Government’s efforts to promote education, access to information, and the active participation of citizens in environmental matters. 65. Deforestation decreased by 10% About 23,000 hectares of forest were no longer deforested in 2018, which represents a 10% reduction compared to 2017 (it went from 219,973 hectares deforested to 197,159). Compared with the estimated growth trend for 2018, the deforestation of 40,360 hectares was averted, representing a reduction of 17%. Deforestation decreased in four of the five regions of the country: Amazon, Andean, Caribbean and Pacific. 66. Colombia, host of the World Environment Day 2020 Colombia was the host country for the World Environment Day 2020, a virtual space that achieved more than one million visits to the website, almost double than the previous year. Social media posts reached more than 100 million people. Personalities such as Pope Francis, the Prince of Wales, the Prince of Monaco, the Minister of Norway, the President of Costa Rica and the President of the Climate Change COP 26 participated.

territory. Of this total, 18,590,099 hectares are terrestrial (16.28%) and 12,817,181 hectares are marine (13.80% of the marine surface). With this, we have achieved a 30% increase in the number of protected areas and 871,855 hectares incorporated into the conservation of the nation’s biodiversity. 68. More housing subsidies With the “My House Now” program, the Ministry of Housing has assigned 66,568 down payment and interest rate subsidies for the purchase of low-income housing throughout the country, with an investment of $ 2.1 billion. This corresponds to 64% of the total subsidies assigned in the history of the program since the end of 2015. Every day, 95 Colombian families fulfilled their dream of owning their own home thanks to the help of the National Government. 69. Approval of the ICT Law Progress was made in the institutional modernization of the ICT sector to adapt it to the new technological and market realities, including the creation of a new Communications Regulation Commission (CRC), as the sole and independent regulator. The Law created the Single Fund for ICT, with clear criteria for targeting investment in projects in benefit of the poor, vulnerable and remote population. Public television and sound broadcasting were strengthened by guaranteeing their annual resources and promoting multiplatform content. Likewise, an auction was held to assign the use of the radioelectric spectrum in the bands of 700, 1,900 and 2,500 MHz. The ‘Action Plan for the Spectrum Auction’ will be the fundamental basis to expand the country’s digital environment and contribute to reducing social and economic gaps, especially in the regions. 70. Progress in the sustainability of the health system

67. More Protected Areas

A strategy was put in place to ensure the sustainability of the General Social Security System in Health (SGSSS) and to clean up historical debts. In this sense, the following actions were carried out:

Today the National System of Protected Areas (SINAP) is made up of 1,342 protected areas that occupy an area of 31,407,280 hectares, equivalent to 15.17% of the national

● National Endpoint Agreement, Contributory Regime: the mechanism and rules for recognition and payment by the Resource Administrator of the General Social

Security System in Health (ADRES) were defined and the schedule for 2020 was established. As of June 30, applications for $ 37,082 million have been filed and are already in the audit process. ● Territorial Endpoint Agreement, Subsidized Regime: Decree 2154 and Resolution 3315 of 2019 were issued to define the Nation’s co-financing rules. As of June 30, 2020, debt for $ 587,305 million has been settled, of which $ 332,750 million are due to the Government’s co-financing and $ 254,555 million to resources from the departments of Valle del Cauca, Antioquia, Tolima, Atlántico, Nariño, Caquetá, Caldas and the District of Barranquilla. 71. Close attention to the management of health resources The price of 770 medicines was regulated, which led to an estimated saving by the health system of 340 billion pesos. In addition, 23 procedures were eliminated, 14 of which presented a particular risk of corruption; budgetary ceilings were set to eliminate recoveries in the system, and the databases of affiliates to the Subsidized Regime were cleaned up, identifying 80,465 people who were affiliated without the right to it. 72. Strenghtening of public hospitals The Immediate Action Program in Hospitals (Ai Hospital) has improved the quality of health services provided to more than 18 million beneficiaries of the Subsidized Regime. It was initially implemented in 8 prioritized territories (San Andrés, Providencia and Santa Catalina, Maicao, Valledupar, Quibdó, Buenaventura, Tumaco, Leticia and Puerto Carreño) and then in the rest of the country. Through the support provided by the Ministry of Health, progress was made in the hospital management index, going from a global evaluation of 56.18% in 2018 to 86.17% in December 2019, which means 683 fewer public hospitals in risk. $ 348 billion have been invested to improve infrastructure, staffing, financial clean-up, and attention to migrants in the public network. 73. Telehealth and telemedicine A new regulatory framework for telehealth and telemedicine was developed, which establishes parameters in terms of categories, use of technological means, and

MONDAY OCTOBER 26, 2020

THEBUSINESS24ONLINE.NET

quality and security of information. Additionally, it was defined that these modalities will be financed by the Capitation Payment Unit (UPC) and its main purpose will be to facilitate access, opportunity and resolution in the provision of said services. 74. Health contribution for pensioners Since January 1, 2020, the health contribution rate was reduced for pensioners earning between one and two minimum wages. For those who earn a minimum wage, it went from 12% to 8% for the first year, and to 4% for 2022; and for pensioners who earn up to two minimum wages, the contribution went from 12% to 10%. The impact in 2020 for a pensioner who receives an allowance equivalent to a minimum wage will be $ 35,112 each month, that is, more than $ 420,000 per year. This will double when the contribution of minimum wage allowances falls to 4%. At today’s prices, this would be approximately $ 70,000 per month, that is, $ 840,000 per year, which is almost an additional allowance for the most vulnerable pensioners. 75. The Ministry of Science, Technology and Innovation was created The Government of President Duque recognizes Science, Technology and Innovation as a transformational factor for the country. For this reason, the Ministry of Science, Technology and Innovation was created through Law 1951. The purpose of the creation of this Ministry is to “generate capacities, promote scientific and technological knowledge, contribute to the development and growth of the country and anticipate to future technological challenges, always seeking the well-being of Colombians and consolidating a more productive and competitive economy and a more equitable society”. 76. Creation of the Ministry of Sports and historic increase in its budget One of the proposals of President Iván Duque’s campaign was the creation of the Ministry of Sports, which materialized with Law 1967 of July 11, 2019, transforming COLDEPORTES into a Ministry, without increasing the fiscal cost. Additionally, there was a historical increase for sports, going from $ 500 billion in 2019, to $ 676 billion in 2020.

WEDNESDAY, 28TH OCTOBER, 2020

77. Pro Sports Fee and Scholarships for Taxes On July 29, President Duque sanctioned Law 2023 of 2020, which empowers departmental assemblies and district and municipal councils to create a fee of up to 2.5% for the promotion of sports and recreation, resources to be managed by the respective territorial entity. Likewise, article 190 of the National Development Plan, Scholarships for Taxes, allows that any person, natural or legal, can deduct from their income statement what they contribute for the training and maintenance of an athlete.

The National Circular Economy Strategy - the first in Latin America and the Caribbean - was designed and implemented in 19 departments, with the signing of 16 Regional Pacts, the installation and activation of seven Circular Economy Regional Groups and the management of 475,157 tons of dangerous and special waste, subject to post-consumer management. As a pioneer in Latin America, Colombia was chosen by the United Nations Environment Program (UNEP) to chair the Regional Coalition of Circular Economy of Latin America and the Caribbean.

78. Royalties for culture

82. In progress, proposals made by the Mission of Experts

Thanks to the departmental agendas of the Ministry of Culture, as of May 2020 royalty resources for $ 242.5 billion have been appropriated for 94 projects in the culture sector in 24 departments. 69% of the resources are destined to investments in cultural infrastructure; 19% to artistic processes, and the remaining 12% to endowments.

The proposals made by the Mission of Experts are being implemented under the leadership of the Office of the Vice President. This Mission was a group of 46 national and international experts in different areas created to involve academics and researchers in defining the country’s roadmap for the coming years in terms of science and technology.

79. Follow-up to commitments with the regions

Key measures during the COVID-19 pandemic

As of July 8, 2020, of the 1,633 commitments acquired in the Building Country Workshops and other spaces, 1,125 (69%) have already been fulfilled, 465 (28%) are still in execution and 43 (3%) are suspended, due to that they are not viable or face difficulties that have prevented their realization. These commitments have required the investment of $ 6.4 trillion, of the more than 19 trillion that involve all the commitments assumed by the different entities. 80. We increased investment in the Caribbean We put an end to the cycle of low investments in electrical infrastructure in the Caribbean region. With an investment of $ 2.7 billion, the execution of the works of the ‘Plan 5 Caribe’ is progressing to improve the reliability of the electric power system in this region. 21 works went into operation, in addition to 14 projects that are in execution. In 2020 there have been investments for $ 860,000 million destined to improve the quality of the service and protection of the electrical networks, that is, eight times the average investment in recent years. 81. First Circular Economy Policy in Latin America

“I have no doubt that as we face this pandemic, we might understand that mother earth is speaking to us. And that is why the great message is not that we go back to being the way we were, but rather that we come out better as a society and understand that health protection is a fundamental right for everyone and that the articulation of all governments will make a difference”. Iván Duque Márquez Since the beginning of 2020, the entire world has faced one of the most difficult and complex moments in its history: the Covid-19 pandemic. The National Government, with the support and recommendations of the World Health Organization (WHO), has implemented measures on three key fronts: 1. Protect the health and life of Colombians; 2. Support the most vulnerable families, and 3. Protect the economy and employment. To guarantee its financing, the Nation’s General Budget has been added with $ 28.79 billion.

Protecting helath and life has been a priority

83. General measures The Government declared the Health Emergency, the Social and Economic Emergency and then the Mandatory Preventive Isolation and the respective mobility restrictions, to avoid contagion. 84. We ensure food supply and medical supplies The commercial capacities and hygiene measures of markets and supply centers were strengthened. Likewise, clothing companies were called to direct their work to the manufacture of biosafety elements such as masks, gloves and gaiters to allow hospitals to face the crisis. 85. Strengthening of healthcare services - An additional $ 6.8 billion were appropriated for the mitigation of the emergency and new measures that will strengthen healthcare, public health and the provision of medical services. - We started with 600 daily tests and today about 30,000 are being carried out a day. - Today the country has more than 98 laboratories to practice tests in 23 territorial entities. - Economic incentives to the healthcare personnel in charge of the emergency, with an investment of $ 450 billion. - Purchase of more than 5,700 mechanical ventilators that have been arriving in the country and are being distributed in the different regions to increase the capacity of intensive care units (ICU). (Data as of July 30, 2020). - Acquisition of more than 68 million items of personal protection to constitute a National Strategic Reserve. - Measures for the organization, reassignment and expansion of human talent in health to increase the availability of staff. - Support to the public network of hospitals, with the acquisition and distribution of personal protection elements for healthcare staff caring for COVID-19 patients, for a total of $ 6,000 million, distributed throughout the country. - Creation of CoronAPPColombia: at no cost, it allows users to report their health status and facilitates the work of traceability and georeferencing for health organizations. 86. Biosafety protocols to gradually reactive economic

MONDAY OCTOBER 26, 2020

THEBUSINESS24ONLINE.NET

sectors Protocols were designed for the gradual reopening of productive sectors, starting in May, with priority in non-covid municipalities. This prioritization was based on the required biosecurity measures, based on their impact on GDP growth and job creation.

Help for the most vulnerable people 87. More resources for social programs - The Solidary Income Program was created to benefit 3 million households that do not receive any monetary transfer from the State. They receive $160,000 per month. Initially it was for 3 months and then the Government decided to extend it until June 2021, with the purpose of mitigating the derived impacts of the emergency. - Through additional resources transferred to the Emergency Mitigation Fund, FOME ($ 25.5 billion), protection actions for the most vulnerable population have been strengthened with additional transfers to Families in Action, Youth in Action and Senior Colombia programs. These programs are estimated to impact 4 million Colombian households. - The Social Prosperity Department has provided incentives for $ 1,999,835,213,860 to Families in Action, $ 543,894,944,000 for Youth in Action and 169,176,975,000 to families with VAT Refund. The third round of the program began on July 15, 2020. The VAT Refund was projected to be carried out in phases, but it was accelerated to mitigate the effects of Covid-19 on one million vulnerable households. It returns $75,000 every two months. Next year it will expand its coverage to 2 million homes. 88. Food security and nutrition - 4,800,000 food baskets, pedagogical kits and booklets with guidelines and recommendations for parents and caregivers for the care of children. - More than 81,000 special baskets for boys and girls at risk of malnutrition and underweight pregnant mothers (with the “1000 days to change the world” program), in March and July. - More than 8,000 tons of Bienestarina® and other foods of high nutritional value as a food supplement. - School feeding at home: we reached with food supplies more than

WEDNESDAY, 28TH OCTOBER, 2020

5 million children and adolescents who study in public schools, with an investment of $ 75 billion. - The ‘Colombia is with you: one million families’ program has delivered 1,051,249 subsidies through supermarkets, department stores, money orders and the FIC Fund for collective investment between mayors and governors, benefiting nearly four million people from Afro and indigenous communities, social leaders, human rights defenders, LGBTI, members of the Community Action Boards and religious communities. 89. Helping does us good The First Lady, María Juliana Ruiz, launched the campaign ‘Helping Does Us Good’, through which she calls for solidarity from the private sector, natural persons and international cooperation organizations, to bring food to the most vulnerable families in the country affected by the pandemic. To date, it has delivered 900,000 food baskets in regions of the 32 departments. The goal is to reach one million baskets, thus benefiting more than three million Colombians.

households of more than one million Colombians have benefitted. 93. Direct subsidy for rural aqueducts For the first time in the history of the country, we created direct subsidies to rural and community aqueducts, guaranteeing operation and reducing the monthly cost for families. With this subsidy, more than 1,600 rural providers and community organizations could benefit until December 2020, serving around 2,026,936 inhabitants of rural areas of the country. 94. 200,000 subsidies for house purchase 200,000 subsidies were launched for the purchase of new housing. 100,000 of them will be for families with incomes of up to 4 minimum wages who want to buy social housing and the other 100,000 will be for houses whose value does not exceed 500 minimum wages, that is, $ 489 million.

Protecting the economy and employment

unemployment subsidies through Family Compensation Funds, increasing the subsidy coverage for people who meet the requirements established by law. There number of subsidies for the unemployed increase went from 91.000 to 150.000. 99. Credit lines to protect employment in the most affected companies - With the implementation of 19 preferential credit lines, with special conditions, 13 of them regional, resources for more than $ 1.07 billion have been disbursed to support more than 14,000 companies and entrepreneurs of all sizes and economic sectors, thus contributing to preserve employment. - Credit support for entrepreneurs and independent workers: the National Guarantee Fund created the “Together for Colombia” Program, to support credit operations that allow MSMEs and independent workers to maintain and reinvent themselves in the midst of the difficulties they are going through due to the pandemic . In execution of the program, 135,095 credit operations worth $ 5.02 trillion have been guaranteed.

90. ICETEX educational loans relief plan

95. Payroll subsidies

To date, there are 71,642 beneficiaries, prioritizing those in a vulnerable condition due to disability, gender, socioeconomic status, temporary or permanent decrease in their source of income or health problems due to the COVID-19 pandemic.

To protect formal employment, the Formal Employment Support Program (PAEF) was created, with a subsidy of 40% of the minimum wage for payroll payments. Through the PAEF $ 1.7 billion have been drawn and it has contributed to the payroll of 2.4 million Colombian employees.

91. Relief in public services

96. Credit guarantees

101. Commitment for Colombia

We postponed the payment of water, sewerage and garbage-collection bills for low-income households that cannot pay, offering financing for up to 36 months with 0% interest. For middle-income households and industrial and commercial premises, the payment was deferred for up to 24 months with an interest rate equivalent to inflation. It is estimated that up to 9,644,767 people can benefit from this measure.

By strengthening the assets of the National Guarantee Fund for $ 3.25 trillion to address the emergency, the National Government supports the issuance of new credits, in order to keep credit relationships active and finance both micro, small and medium-sized companies.

The National Government already has a roadmap to move the country forward in the next two years, the postpandemic period, which is focused on four major themes: job creation, clean growth, support for the poorest and most vulnerable and the countryside and Peace with Legality, to advance in a future with economic reactivation.

92. Reconnection of water services Since March 18, the Government has set the goal of reconnecting to the aqueduct system, free of charge, 200,000 families who had the service suspended due to non-payment, in order to guarantee access to water during the emergency. This objective was widely exceeded: 303,123

97. Support Program for the Payment of Bonuses, PAP The PAP will be a one-time government contribution for the payment of the legally-required bonuses to workers who earn between a minimum wage and a million pesos. Applications will be made during the month of July 2020. 98. Unemployment Protection Mechanism More resources were allocated for

100. Economic Reactivation Plan for the Agricultural Sector Its purpose is to contribute to the economic reactivation of the agricultural sector by financing projects formulated and presented by the departmental Secretariats of Agriculture.

Likewise, it seeks, after managing the COVID-19 pandemic, to have a financially-strengthened health system, with the payment of accumulated debts and the payment of the capacity charge and with the bonuses for health workers who are on the front line of battling the virus. Likewise, to have a better laboratory capacity, double the capacity of intensive care units and have a national strategic reserve to face this type of situations.

23 15

Feature

MONDAY OCTOBER 26, 2020

The Middle Eastern past is never dead

By Mark Leonard

he images were touching. In early October, German Foreign Minister Heiko Maas visited the Holocaust Memorial in Berlin with his Israeli and Emirati counterparts. How better to celebrate the recent normalization of relations between Israel and the United Arab Emirates? In fact, the establishment of diplomatic ties under this summer’s Abraham Accords had little to do with honoring the past. If anything, the deal is an attempt to escape from history altogether. For most of my lifetime, the Israeli-Palestinian conflict was the defining issue in the Middle East. From the Western perspective, ensuring Israel’s right to exist was a way of repaying an historic debt to the Jewish people: Israel, as a homeland for global Jewry, was insurance against future anti-Semitism. But in the Arab world, the displacement of the Palestinians in 1948, and the ongoing experience of Israeli occupation since 1967, was a perpetual rallying cry for successive regimes, most of which capitalized on Palestinian suffering to divert attention from their own failures at home. With these lines drawn in the sand, the conventional wisdom was that both the Israelis and the Palestinians would need to be compensated for historic wrongs in order to guarantee stability and peace in the Middle East. The Israeli-Palestinian conflict was the key to unlocking a process of diplomatic normalization across the region. Thus, by agreeing to normalize relations with Israel in the absence of a deal for the Palestinians, the UAE

has essentially swept all of this history under the rug. Its embrace of the Abraham Accords, where it was quickly joined by Bahrain, marks a regional paradigm shift. In recent years, Arab elites’ threat perceptions have changed. If their primary enemy in the 1960s and 1970s was Israel, today it is Iran, followed by Turkey. As the United States has pulled back from the region, many Gulf leaders have come to believe that a regional axis with Israel will be crucial to safeguarding their interests. And on the Arab street – where most of the population had not yet been born when Yasser Arafat and Yitzhak Rabin agreed on a path to a two-state solution – public opinion has followed suit. Moreover, in recent years, the Palestinians have been out-victimized by other waves of oppression and violence, whether in Iraq after the US invasion, in Libya under Muammar el-Qaddafi, or in the conflicts in Yemen and Syria. The UAE leadership is surprisingly frank about its decision to make peace with Israel. While it continues to support the idea of a Palestinian state, it no longer trusts the Palestinian leadership to leverage Emirati support effectively. In response, Palestinian critics argue that the UAE has thrown away the most powerful card that could be played on their behalf. But the reality is that the UAE, like most others in the region, has wider interests beyond creating a Palestinian homeland. Strengthening ties with the US, and securing US-made F-35 fighter jets, is a higher priority. As Saudi Prince Bandar bin Sultan bin Abdulaziz put it this month, “The Palestinian cause is a just cause, but its advocates

are failures, and the Israeli cause is unjust but its advocates have proven to be successful.” For their part, the Israelis are hoping that the Abraham Accords will open the way for a new wave of normalization with other Arab powers, so that the road to regional security will no longer run through Jerusalem. By separating the Palestinian question from relations with other countries in the region, Israel has managed to turn it into merely a domestic problem. The “international community’s” position on the issue will now be more diffuse, and thus weaker. With each new normalization accord that Israel secures, it will gain an ever-more explicit endorsement from the Arab world. The deals with the UAE and Bahrain thus amount to a triumph for Israeli Prime Minister Binyamin Netanyahu’s policy of the past decade. But Netanyahu would do well to remember that a victory in the Middle East always contains the seeds of its unraveling. If he makes the twostate solution impossible, he will have laid the groundwork for a challenge to Israel’s future as a Jewish-majority democratic state. After all, if the Palestinians can no longer negotiate for their own state, their best alternative will be to pursue a one-state solution by pressing for civil rights within Israel. The writing is on the wall. According to the United Nations’ 2019 demographic profile of the Palestinian territories, there are five million Palestinians who could potentially join with the 1,916,000 Arabs living in Israel, thus outnumbering the 6,772,000 Israeli Jews. Considering how ineffective and divided the Palestinian

leadership is, an organized challenge seems unlikely anytime soon. Yet long before Palestinians become capable of winning an electoral majority in Israel, a more competent leadership could start to raise serious questions about the health of Israeli democracy itself. Such arguments would reignite debates about whether Israel is an apartheid state, potentially leading to a renewal of international pressure. And that, in turn, could have farreaching implications for how other powers relate to Israel, not least the European Union, which accounts for about one-third of the country’s total trade. For these reasons, leading Israeli national-security analysts have argued that if a negotiated two-state solution is not possible, Israel should develop an unnegotiated one, by establishing a viable Palestinian state unilaterally. But this approach would seem to require a complete reconfiguration of the occupation in the interest of settler maximalization, which could fatally undermine the legitimacy of any eventual Palestinian state. That is why other Israeli leaders with a more strategic outlook – including six former Mossad directors – have begun to look for ways to develop real statehood for the Palestinians through a process of de-occupation. If Netanyahu fails to develop a viable Palestinian state, his escape from history could prove very short-lived. As William Faulkner observed, “The past is never dead. It’s not even past.” About the author Mark Leonard is Director of the European Council on Foreign Relations.

24 16

MONDAY OCTOBER 26, 2020

Business for Breakfast (BforB) is the hardest working Business Networking Group in the UK. We are internationally recognised for creating an innovative networking environment where you can build quality relationships within influential business leaders. We are here to help you get new business from quality business introductions and referrals made through our meetings. Referral marketing is proven to be one of the most cost effective and sustainable ways to generate new business leads.

We are now in Ghana. Want to know more? Send us an email at info@bforbgh.com @bforbghana

Call Us 0594 016 432 www.bforb.com

25 17

Markets

MONDAY OCTOBER 26, 2020

GFI services include: Forex training & mentorship for (but not limited to) individuals, hedge fund institutions, and money and asset managers Pro Chart Analysis MAM/ PAMM Premium Signal (With Entry & Exit price) Premium Floor Trading www.goldforexinstitute.com Call: (+223) 302906626 | Email: customerservice@fxgoldtrading.com

Seminars & Online Webinars

Market Watch; By Agyei Samuel Ofosu USDCAD

**price @ time of analysis:1.31752

**Current price @ time of analysis:1.31119

STRUCTURE

PREVIOUS/FORECAST

•

USDCAD completed wave B of previously forcasted ABC correction

•

Expecting price to buy to around 1.3700 price region as it completes its ABC correction

ABC correction

EURUSD

**Current price @ time of analysis: 1.18487

STRUCTURE

PREVIOUS/FORECAST

•

The Euro completed its bullish impulsive swing as previously forecasted.

•

Expecting price to sell to around 1.11620 price region as price corrects its bullish swing

Corrective wave

BPUSD

**price @ time of analysis: 1.28089

**Current price @ time of analysis: 1.30798

STRUCTURE

PREVIOUS/FORECAST

•

GBPUSD successfully completed waves A and B of its ABC correction

•

Expecting sell continuation to around 1.24900 price region

ABC Corrective wave

18 26

MONDAY OCTOBER 26, 2020

27 19

MONDAY OCTOBER 26, 2020

The opportunities and future of the US$6.5 –trillion forex trading industry in Ghana

orex (in simple terms, currency) is also called the foreign exchange, FX or currency trading. It is a decentralized global market where all the world’s currencies trade with each other. It is the largest liquid market in the world. The liquidity (more buyers and sellers) and competitive pricing (the spread is very small between bid and ask price) available in this market are great. With the irregularity in the performance in other markets, the growth of forex trading, investing and management is in upward trajectory. In Africa, there were about 1.3 million Traders before the corona pandemic season. This number has increased to almost 2million during this pandemic period due to the volatility of the market and the opportunities it brings. This has created a lot of jobs and income for these traders. In Ghana, the number of traders and introducing brokers have increased significantly during this corona season and after SEC expressed interest in regulating the retail forex trading industry in Ghana. People are learning the skill in trading to position themselves for available opportunities after this industry is regulated soon. Opportunities in the Retail Forex Industry Forex Market Analyst/Currency Researcher/Currency Strategist A forex market analyst, also called a currency researcher or currency strategist, works for a forex brokerage and performs research and analysis in order to write daily market commentary about the forex market and the economic and political issues that affect currency values. These professionals use technical, fundamental and quantitative analysis to inform their opinions and must be able to produce high-quality content very quickly to keep up with the fast pace of the forex market. Both individual and institutional traders use this news and analysis to inform their trading decisions. Forex Account Manager/ Professional Trader/Institutional

Luis Boah; CEO of Gold Forex Institute

Trader If you have been consistently successful trading forex on your own, you may have what it takes to become a professional forex trader. Currency mutual funds and hedge funds that deal in forex trading need account managers and professional forex traders to make buy and sell decisions. Institutional investors such as banks, multinational corporations and central banks that need to hedge against foreign currency value fluctuations also hire forex traders. Some account managers even manage individual accounts, making trade decisions and executing trades based on their clients’ goals and risk tolerance. Forex Industry Regulator Regulators attempt to prevent fraud in the forex industry and can hold multiple roles. Regulatory bodies hire many different types of professionals and have representatives in numerous countries. They also

operate in both the public and private sectors. The Securities and Exchange Commission (SEC) will be the government retail forex regulator in the Ghana. Forex Exchange Operations, Trade Audit Associate and Exchange Operations Manager Forex brokerages need individuals to service accounts, and they offer a number of positions that are basically highlevel customer service positions requiring FX knowledge. These positions can lead to more advanced forex jobs. Forex Software Developer Software developers work for brokerages to create proprietary trading platforms that allow users to access currency pricing data, use charting and indicators to analyze potential trades and trade forex online Introducing Broker These are institutions or individuals who work as partners

with brokers. They refer clients to brokers for commissions paid on the spread. Signal Service Providers These are forex institutes/ academy that provide trade calls recommendation to inexperienced investors at a fee. To be able to work in any forex hedge fund/proprietary trading firm, forex institute or forex brokerage in Ghana, one will need a forex license to meet the criteria to be employed. Individuals can also start their own forex company from home with little or no capital if they have the skill to trade. It’s however my opinion that, one should enroll in a forex skill course to position himself/herself for these great opportunities at Gold Forex Institute (www. goldforexinstitute.com). Requirement is a high School certificate, a laptop/Smart Phone with Internet since it’s a skill set program.

20 28

MONDAY OCTOBER 26, 2020

29 21

Feature

MONDAY OCTOBER 26, 2020

Recovery and renewal at the UN

By Madeleine Albright, Ibrahim Gambari

he international community urgently needs new tools, ideas, and initiatives to meet the common threats and challenges faced by the United Nations’ 193 member countries. The world body’s 75th anniversary, to be marked on United Nations Day on October 24, presents an opportunity to chart a path to the partnerships we need to meet the challenges we will face in the years and decades to come. In the wake of the COVID-19 pandemic – the costliest and most far-reaching crisis since World War II – the need for institutional renewal and recovery is obvious. Among the most ominous threats and challenges, beyond pandemic disease, are a rapidly changing global climate, violent conflict and large-scale displacement in fragile states, and sophisticated cyber-attacks. What these challenges have in common is that they are beyond the ability of any country to resolve on its own. International cooperation is crucial, but that cooperation is being jeopardized by a resurgence in nationalism which threatens the very structure of the international order built three-quarters of a century ago. Rising nationalism raises a significant risk that the UN system’s structure and institutions, essential but in need of repair and rejuvenation,

may instead be left to decline, decay, and even collapse. Such an outcome would be tragic, not just for those institutions but for all of humanity. We believe there is another path. To help promote cooperative responses to today’s most pressing global problems, we are delighted to lend our support to the Roadmap for the Future We Want & UN We Need, presented last month to the President of the UN General Assembly at the UN75 Global Governance Forum. Having defended our countries’ foreign policies as their representatives in New York, and having shaped them at the helm of our respective foreign ministries, we know from experience that original ideas from external stakeholders can help move complex multilateral organizations toward positivesum outcomes. Individuals and organizations from across global civil society have an opportunity, during this year’s commemoration of the UN’s founding, to help create “The future we want, the United Nations we need,” the anniversary’s umbrella theme. The Secretary-General’s Global Conversation has already engaged over a million people worldwide through surveys, formal polling, and hundreds of dialogues. Such discussions and debates serve as a reminder that the UN system has, over the past several decades, offered lifesaving support to vulnerable people, safeguarded

basic human rights, advanced sustainable development, and prevented a Third World War. If all member states act upon the UN75 Declaration properly and with the support of global civil society, they can nurture a renewed spirit of international cooperation with two mutually reinforcing goals: institutional strengthening and a robust, “green” recovery from the pandemic. In particular, we, alongside other partners, call upon world leaders to raise the ambition of the Declaration’s twelve commitments. They should agree to augment each with carefully developed proposals and action plans to bolster institutional capacity, improve policy, and strengthen publicprivate partnerships, all of which will be further developed in the follow-up report from the UN Secretary-General mandated by the Declaration. We also advocate a World Summit on Inclusive Global Governance, as called for in the Stimson Center’s recent “UN 2.0” report. To be held by September 2023, the summit would seek to upgrade and equip the global governance system to address major issues facing the international community, and to usher in a new compact with citizens to enhance and rebuild confidence in their multilateral institutions. In the lead-up to this 2023 leaders’ meeting, two G20

Summits, akin to those held in London and Pittsburgh to chart a way forward from the 2008 global financial crisis, should be convened in 2021, focusing on coordinated macroeconomic, social, and environmental policies to promote a durable recovery from COVID-19. These discussions among the leaders of the largest economies should be synchronized, in turn, with a broader COVID recovery strategy that seeks the endorsement of all 193 UN member states and support from international financial institutions, the World Trade Organization, and other global and regional bodies. In 2015, when our Commission on Global Security, Justice & Governance presented its UN70 report, Confronting the Crisis of Global Governance, both the headlines and trendlines foreshadowed the return of virulent nationalism, fueled by surging migration, economic inequality, and leaders who dehumanize others and seek to divide rather than unite. Five years on, enlightened leadership is needed more than ever, supported by ideas and political pressure from civil society worldwide. By reviving cooperation to meet today’s many challenges, we can ensure that “the future we want,” for today’s younger generation and all future generations, becomes the future we get.

22 30

MONDAY OCTOBER 26, 2020

31 23

Feature

MONDAY OCTOBER 26, 2020

African countries need reliable and accessible economic data By Misheck Mutize

number of African countries have recently been contesting decisions by credit rating agencies. Some have raised objections that the rating agencies lack understanding of their economic environment. Others have challenged the correctness of their ratings on the basis that the agencies had not discussed them with the country’s representatives. The United Nations has questioned the timing and basis for rating downgrades. The eurozone rating watchdog – the European Securities and Markets Authority – has also cautioned agencies against deepening the coronavirus crisis through “quick-fire” downgrades of countries as the pandemic pushes economies into recession. The African Union has called for rating agencies to freeze downgrades during the Covid-19 global pandemic. But rating agencies justify their decisions on the basis of credible data that’s available. There is indeed a problem when it comes to credible data. Most African countries lack reliable and up-to-date data. Where it is available, analysts and researchers have questioned its accuracy. What this means is that governments are failing to convey sufficient and credible macroeconomic data and other important information to rating agencies and other interested parties. There is a dearth of information. Analysts have reported instances of manipulation. This has negative consequences for governments and the countries they run. Why good data matters Credible macroeconomic data and accurate information about how countries are running their finances is key to determining business confidence and market sentiment. If governments fail to ensure that financial markets can get reliable data, the public media assume this role. In turn, investors become more speculative. Where credible data is unavailable, rating agencies make assumptions and estimate the key risk factors. These estimates can prejudice the risk profile of a country, especially if the lead rating analyst is pessimistic about the country’s economic outlook. Rating agencies use a number of measures to determine a rating. They evaluate governance

and institutional strength and they weigh economic and fiscal factors. They also assess the domestic political and geopolitical risks. In addition, they evaluate a country’s ability to withstand unforeseen shocks, commonly referred to as an event risk. It’s a challenge for agencies to assess African economies’ susceptibility to event risks and the strength of their governance arrangements and institutions. Why access to policy information matters The African Peer Review Mechanism, set up as a way for African countries themselves to evaluate the legitimacy of rating drivers, found that a number of the rating decisions during the Covid-19 pandemic were simply a result of the information asymmetry between governments and rating agencies. The following recent examples are evidence of asymmetries: • Standard & Poor’s downgrade warning to South Africa over its R500 billion coronavirus package. The rating agency believed the package could increase the country’s debt burden to unsustainable levels, weakening an already depressed economy. The problem was that government had failed to emphasise that a huge chunk of the package – about R400bn – was productive spending on protecting jobs, creating employment and assisting business enterprises. Government should have highlighted how the net economic output of this productive expenditure would be beneficial to the larger economy. Combined with a plan for increasing efficiency in revenue collection, it would have addressed the concerns about rising debt. • Moody’s rating review for the downgrade of Cameroon, Côte d’Ivoire and Senegal, and downgrade of Ethiopia because of their participation

in the G20 Debt Service Suspension Initiative. There were information gaps on the nature and magnitude of risk this initiative posed to private creditors. • Standard & Poor’s downgrade of Ghana because of one-off fiscal expenditure. Ghana planned to pursue fiscal consolidation after Covid-19 without accumulating high debt. Had government shown how the temporary increase in expenditure would not be such an economic burden, it would have addressed the rating agency’s concerns. What’s missing A number of negative decisions could have been avoided through more transparency and communication between governments and rating agencies. Regular meetings are key. Rating agencies typically have meetings with government officials, central banks and private sector representatives ahead of a ratings decision. The Covid-19 outbreak interrupted these. There’s also the issue of the capacity of governments. There have been cases of government officials and other stakeholders who meet representatives of rating agencies being inadequate to the task. Governments must ensure that their teams can provide rating agencies with accurate information and explain inconsistencies in the data and policy direction that rating agencies pick up. Two African countries stand out for having been able to demonstrate the soundness of their economic policy decisions during Covid-19. Botswana, the only A-rated African country, retained its rating by Moody’s. Government made a strong case to rating agencies about its fiscal strategy, institutional strength and prudent policymaking.

Egypt retained its B-rating. It has opened several platforms to disseminate data on its improvements in governance and policy effectiveness. It is the only African country that issued sovereign bonds after the outbreak of the pandemic. The US$5 billion Eurobond issue was priced at substantially fair yields and was five times oversubscribed. How data transparency can be achieved African governments need to invest more in collecting and sharing accurate data, which they must communicate to investors and rating agencies. A good starting point would be the data standards set out by the International Monetary Fund. These are aimed at enhancing transparency, openness and credibility of data. They guide countries in how they should package their economic and financial data. Subscription to the standard is voluntary. All African countries but three – Somalia, South Sudan and Eritrea – subscribe to the data provision platform. But most are still not supplying timely data. Lastly, it’s important for African governments to engage rating agencies regularly. This is even more important during times of crisis so that rating agencies can be better informed about how governments are responding. Key individuals in government should also speak with one voice when communicating with the investing public. They should make the effort to regularly address all concerns being raised. Misheck Mutize, post-doctoral researcher, Graduate School of Business (GSB), University of Cape Town.

24 32

MONDAY OCTOBER 26, 2020

33 25

Feature

MONDAY OCTOBER 26, 2020

Living a life of purpose: What the MPhil in Management Coaching has taught me

By Christine Wilke MPhil in Management Coaching student at the University of Stellenbosch Business School (USB)

he shift from corporate to a non-profit organisation (NPO) is a transition story on its own, but the one prevalent theme was the constant level of uncertainty and increasing complexity that the global leaders I coached face. The increased fragility, economic, environmental, and political crises meant that this reality would only become more challenging. I decided to do the Master of Philosophy in Management Coaching at the University of Stellenbosch Business School (USB) to improve my leadership coaching skills, as it has an excellent reputation in the international coaching community. The lecturers are international recognised coaches who successfully facilitate a mix of theoretical and practical learning during the course. I gained an internationally recognised degree, while having the opportunity to reflect on my African roots and practices that are increasing been relevant globally. I believe that this has given me a much deeper

perspective and enhanced my unique coaching approach, especially on how to support leaders to navigate uncertainty, complexity, and change. But I got far more than I expected... The strong leadership component, the emphasis on self-awareness and reflection, plus the rich dialogue with the lectures and my fellow students showed me my personal and leadership strengths. This was enhanced by the gift of coaching I received as part of the practical component. It was valuable to learn how it felt to be coached and to appreciate how coaching and self-reflection can lead to transformation. Through learning experience and coaching I have transformed my relationship with myself and others. I have become a more conscious coach and how I have grown as a leader. I did not expect that I and others in my organisation would be able to confidentially see me, as a global leader and that I would be encouraged to apply for more senior leadership positions. The other unexpected benefit was that through the pressure of balancing a part time course and full-time global role, plus the sage advice throughout the course that I am better able to cope with

stress and uncertainty. I have become more resilient as I aware of the impact of emotions, how to understand the neuroscience and need for self-care. This resilience together with enhanced understanding on how to lead through uncertainty and improved coaching skills could not have come at a more opportune time. The impact of the COVID-19 pandemic has meant that all leaders have had to deal with an unprecedented uncertainty and change in their personal lives, with their teams and the community they work with. I am more able to lean in and support the leaders on how to practice self-care, A few years ago, I made the decision to leave my corporate role and deepening my commitment to a life of purpose. This led to me joining World Vision International, an Evangelical Christian humanitarian aid, development, and advocacy organisation whose vision statement inspires me: supporting others, empower and engage their team, while make the changes required now and for the future. I started this journey wanting to live a life of purpose and to support leaders cope with uncertainty and complexity. Through the MPhil in

Management Coaching I have strengthened my coaching, but have also grown as a person, a global leader who is has increasing knowledge, skill and resilience to cope with the increasing uncertain world we live. I am now more confident to lean in and make a meaningful impact globally as a leader and as a coach. About the author Christine Wilke is the Senior Global Organisation Development and Change Advisor for World Vision International. She is based in Cape Town, South Africa, but supports and coaches leaders and teams virtually and in person across the globe. She is currently completing a thesis on Coaching a Team towards Effectiveness in partial fulfilment for the requirements for the degree of Master of Philosophy in Management Coaching at the University of Stellenbosch, South Africa. She writes in her own personal capacity and the views in this paper do not reflect those of World Vison. CONTACT DETAILS Dr Marietjie van der Merwe USB Representative Marie@ globalnatives.com +230 606 2341 / +230 5 701 1362

26 34

MONDAY OCTOBER 26, 2020

35 27

World

MONDAY OCTOBER 26, 2020

Samsung Group titan Lee Kun-hee dies aged 78

ee Kun-hee, the chairman of South Korea’s largest conglomerate, Samsung Group, has died aged 78. Mr Lee helped to grow his father’s small trading business into an economic powerhouse, diversifying into areas like insurance and shipping. During his lifetime, Samsung Electronics also became one of the world’s biggest tech firms. He was the richest person in South Korea, according to Forbes, with a net worth of nearly $21bn (£16bn). Samsung said Mr Lee died on Sunday with family by his side, but did not state the exact cause of death. A heart attack in 2014 had left him living in care. “All of us at Samsung will cherish his memory and are grateful for the journey we shared with him,” the firm said in a statement. Mr Lee was the third son of Lee Byung-chul, who founded Samsung Group in 1938. He joined the family firm in 1968 and took over as chairman in 1987 after his father’s death.

At the time, Samsung was seen as a producer of cheap, lowquality products. But under his leadership radical reforms were introduced at the company. Mr Lee became famous for telling employees in 1993: “Let’s change everything except our wives and kids.” The firm then burned its entire mobile phone

stock, consisting of 150,000 handsets. Mr Lee rarely spoke to the media and had a reputation for being a recluse, earning him the nickname “the hermit king”. Samsung is by far the largest of South’s Korea’s chaebols - the family-owned conglomerates that dominate the country’s economy.

Britain and Japan sign post-Brexit trade deal

Liz Truss signed the deal with Japan’s Foreign Minister Toshimitsu Motegi

ritain and Japan have formally signed a trade agreement, marking the UK’s first big post-Brexit deal. The deal, unveiled last month, means nearly all its exports to Japan will be tariff free while removing British tariffs on Japanese cars by 2026. UK International Trade Secretary Liz Truss called

it a “ground-breaking, British-shaped deal”. But critics have said it will boost UK GDP by only 0.07%, a fraction of the trade that could be lost with the EU. The two countries had reached a broad agreement in September, and the deal is expected to boost trade between the UK and Japan by about £15bn.

The deal, which was negotiated over the summer, will take effect from 1 January 2021. But some experts said it was a missed opportunity between the UK and its 11th biggest trading partner. Dr Minako Morita-Jaeger, international trade policy consultant and fellow of the UK Trade Policy Observatory at the Uni-

Chaebols helped to drive South Korea’s economic transformation after World War Two, but have long been accused of murky political and business dealings. Mr. Lee was twice convicted of criminal offences, including the bribing of former President Roh Tae-woo. He stepped down as Samsung chairman in 2008 after he was charged with tax evasion and embezzlement. He was handed a three-year suspended jail sentence for tax evasion but was given a presidential pardon in 2009 and went on to lead South Korea’s successful bid to host the 2018 Winter Olympics. He returned as chairman of Samsung Group in 2010, but was left bedridden by the 2014 heart attack. Mr Lee’s son, Lee Jae-yong, has served jail time for his role in a bribery scandal which triggered the ousting of then-President Park Geun-hye from office in 2017. Last month, prosecutors laid fresh charges against him over his role in a 2015 merger deal.

versity of Sussex, said: “Given that Japanese FDI (Foreign Direct Investment) has been playing an important role in the UK economy and retaining its existing investment in post-Brexit is crucial, the UK government should have shown a strong commitment to Japanese investment by including a comprehensive investment chapter encompassing investment protection and dispute settlement.” She added that Japan was the largest investor abroad in the world, accounting for 14% of the world total in 2018. The new deal is very similar to the existing EU-Japan deal, but has an extra chapter on digital trade. “It used to be said that an independent UK would not be able to strike major trade deals or they would take years to conclude,” said Ms Truss at a joint press announcement with Japan’s Foreign Minister, Toshimitsu Motegi. Mr Motegi said a deal between the UK and the EU was still crucial for Japanese business, particularly carmakers such as Nissan and Toyota who use parts from across Europe in vehicles they assemble in the UK. “It is of paramount importance that the supply chain between the UK and the EU is maintained even after the UK’s withdrawal,” he said.

28 36

MONDAY OCTOBER 26, 2020

37 29

Feature

MONDAY OCTOBER 26, 2020

The apps promising to improve your sex life

hen Sachin Raoul, 27, encountered a sexual issue following a breakup three years ago, it led to him feeling “distressed”. “It was frustrating not to have control over my body. I really wanted it to behave in a certain way but it was difficult,” he adds. While Mr Raoul sought help through therapy, he admits that at around £100 per session it was tough on the wallet. However, it did push the entrepreneur to try and find a way to make therapy more accessible, leading him to partner with therapist Dr Katherine Hertlein and co-found Blueheart, a free app designed to help individuals and couples combat sex-related issues. It uses a mixture of audio and text-based sessions focused on areas such as building a positive relationship with your body and communication. “We want to eradicate the stigma associated with sexual dysfunction by providing an app which acts as a safe space for people to address the issues they are having,” says Mr Raoul, who is based in London. “I could only dream of something like Blueheart existing three years ago. I was willing to jump into anything I could find.” How Blueheart got off the ground From erectile problems to low libido, many people are unhappy with their sexual wellbeing. A 2017 survey by counselling organisation Relate found that only a third (34%) of UK adults are satisfied with their sex lives, while 32% have experienced a sexual problem. Erectile dysfunction (ED) remains a major issue, with research reporting that more than 322 million men are expected to suffer from ED by 2025. While there’s been a proliferation of apps emerging in areas such as mental health and fitness, sexual wellness has long been ignored despite so many people feeling dissatisfied with their sex life. However, a rising number of start-ups are looking to change this. Last year Dr Britney Blair, a clinical psychologist and behavioural medicine expert, co-founded sexual wellness app Lover. It describes itself as a science-based app for addressing sexual concerns, increasing pleasure and improving skills in the bedroom. It looks to take on such areas by a series of practical exercises such as orgasm exercises, mindfulness and games through a mix of

Billie Quinlan (left) and Dr Anna Hushlak, founders of Ferly, say sexual wellness is neglected

audio and video content. One of its courses focuses on erections - a 23-day programme featuring a variety of different exercises and techniques. The company found that 62% of the 600 men who took part in a three-week trial reported improvements in their erections. Through her clinic in San Francisco, Dr Blair treats clients with issues such as the inability to climax, painful sex, erectile dysfunction and low desire. “Therapy can change people’s lives,” she says. “Sexual health is very important and I see relationships changed and lives changed through the work I do [face to face]. Now we have tech as a digital intervention.” The tech means they can reach more people. “The grand plan is we help people to optimise their sexual life and make sure sex stays alive. Sexual disconnection is a reason couples get divorced.” Lover is free but you can pay a monthly or annual subscription for additional premium content. Another app making waves is Ferly, an audio app and guide to mindful sex, launched by founders Billie Quinlan and Dr Anna Hushlak last year. The app brings together audio erotic stories, guided practices and personalised programmes to help women explore pleasure in a more mindful way and overcome sexual issues. Ms Quinlan says the founders wanted to create a platform that would “tackle a taboo topic”. She adds: “It’s not about the sexualisation of sex or sex toys. It’s about sexual wellness. Sexual health is another really critical pillar of health that’s often neglected until it needs confronting.” The app takes users through different programmes addressing issues such as lack of body confidence, low libido, and the inability to have an orgasm. “We use a mindful cognitive behavioural therapy approach,” explains Ms Quinlan. “Many

sexual issues are because there’s a physiological barrier. You can’t take a pharma approach... you have to take a holistic approach.” Like Lover, Ferly is free but charges for premium content. One user, based in Edinburgh, turned to the app after her sister recommended it. “I was assaulted when I was a teenager and I didn’t have a good relationship around female pleasure. I found it kind of stressful and upsetting for various reasons,” she says. She used the app while also seeking therapy. “I held back a bit during therapy but the app gave me my own space to reflect. It helped me recognise a lot of emotions and it was good for the healing process. It also made me feel better about what I would feel comfortable asking or expecting from a partner. It gave me more confidence.” Ms Quinlan says the founders wanted to create a platform that would “tackle a taboo topic”. She adds: “It’s not about the sexualisation of sex or sex toys. It’s about sexual wellness. Sexual health is another really critical pillar of health that’s often neglected until it needs confronting.” The app takes users through different programmes addressing issues such as lack of body confidence, low libido, and the inability to have an orgasm. “We use a mindful cognitive behavioural therapy approach,” explains Ms Quinlan. “Many sexual issues are because there’s a physiological barrier. You can’t take a pharma approach... you have to take a holistic approach.” Blueheart app IMAGE COPYRIGHTBLUEHEART Image captionBlueheart uses audio and text-based sessions Like many mental health and fitness apps, the start-ups reported an increase in visits during lockdown. “It showed us that people were starting to evaluate their health and that

sexual wellness is an important part of that,” says Ms Quinlan. Blueheart’s Sachin Raoul echoes one of the positive knock-on effects of Covid-19. “Lockdown pronounced parts of people’s lives and made people take care of their mental health,” he says. Silva Neves, a psychosexual and relationship psychotherapist and couples therapist, says he is really “pro-technology” and can reel off the benefits of such apps, especially for those who can’t afford therapy, but he warns people to do their research before downloading. “Some platforms are better than others,” he advises. “Don’t just go to Google and find anything. It’s good to be directed by others. Some apps will have just sprinted to market and offer a poor service. Look at the names and backgrounds of the people behind the apps. You want people who are experts in sexology and have qualifications.” With the digitalisation of the sector, can the apps replace human intervention with a sex therapist? “There’s a place for both,” says Mr Raoul.”People have different preferences. Some people are extremely shy and would never talk about their sexual issues with someone. Plus not everyone can afford therapy.” Lover’s Dr Britney Blair adds there will be always be a place for doctors working with patients in the office. “We are not going to create an app that is the same as talking in the office. We are not trying to. “People talk about sleep and mental health but no-one is talking about sex. About 20% of people [with sexual issues] actually need intervention with a sex therapist but if we can help 80% with their sexual problems, then I’ll take it.” BBC

30 38

MONDAY OCTOBER 26, 2020