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MONDAY NOVEMBER 29, 2021
BUSINESS24.COM.GH
Monday November 29, 2021
BoG signs cooperation MoU with Bank of Mauritius
NO. B24 / 280 | News for Business Leaders
Global trade projected to grow by 70% to US$30 tn by 2030
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Budget silent on redressing pay inequities, says TUC By Patrick Paintsil p_paintsil@hotmail.com
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he Trades Union Congress (TUC) says the 2022 budget failed to address its concerns on salary and wage disparities in the public sector, and has therefore called on government to give the needed attention to the issue. At a pre-budget forum in July, the union had demanded a review of the single spine salary structure (SSSS), which it described as both unfair and unsustainable in its current form, to help tackle wage disparities in the public sector. “We drew attention to the low
Diaspora engagement policy to be presented to Cabinet next year By Eugene Davis ugendavis@gmail.com
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overnment’s diaspora engagement policy has reached its final draft stage and is expected to be presented to Cabinet early next year to expedite work on its passage into law, the Director of the Diaspora Affairs Office at the Office of the President, Akwasi Awuah Ababio, has said. The policy is aimed at encouraging more
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Akufo-Addo courts Norwegians to invest in Ghana’s business-friendly climate By Benson Afful affulbenson@gmail.com
Ecobank files review application in matter with Daniel Ofori
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cobank Ghana has assured its customers and shareholders that there is no cause for alarm following a garnishee of the bank’s accounts at the Bank of Ghana and attachment of its head office building in
resident Nana Addo Dankwa Akufo-Addo has urged the business community of Norway to take advantage of the business-friendly climate currently existing in Ghana and invest in the country. Cont’d on page 3
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Editorial / News
MONDAY NOVEMBER 29, 2021
Editorial
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Labour’s genuine call for fair wages in public sector
he Trades Union Congress (TUC) has again raised concerns about the disparity in public sector wages as the 2022 budget went silent on what appears to be a major concern to them. The union cites the general hardship in the country as the basis for this call as the resurging pandemic continues to cause severe harm to people’s livelihoods and income. The Covid-19 pandemic has gutted economic growth and disrupted the nation’s macroeconomic framework, employment and livelihoods have come in the line of fire whilst growing uncertainties hover around efforts to drive recovery.
According to the Ghana Statistical Service, about 36 percent of firms closed down during the partial lockdown of Accra and Kumasi in April 2020, and about 8 percent remained closed as at in October. Also, sales of small businesses declined by GH¢115.2 million in June 2020, dropping to GH¢85.5 million by September whilst an estimated 41,952 workers lost their employment by June 2020. In such a scenario, the could be seen to be harsh and unwelcoming to the average Ghanaian public worker and could ultimately affect productivity in the civil service. Adding to the pain is the rampant fuel price increments and new levies have been heaped
on petroleum products all of which does not augur well for consumers of the commodity. Such development is quite insensitive especially as many Ghanaians and their businesses are still reeling from the impact of COVID-19. The unabated increments in fuel pricing could portray government as being oblivious of the sufferings of Ghanaians at a time that several people have lost their sources of income and it must heed the plea of workers to offer some respite in these trying moments. We share in the pain of Organised Labour and implore government to take an immediate look at the yawning gap in public sector wages.
Budget silent on redressing pay inequities, says TUC Continued from cover
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pay on the single spine salary structure, specifically the pay inequities between workers on the SSSS, [workers of ] stateowned enterprises, and Article 71 [officials]. But next year’s budget had no word on the possible review of the policy and nothing on bridging the growing pay gap in the public sector,” Dr. Kwabena Nyarko Otoo, Director of the TUC’s Labour Research and Policy Institute (LRPI), said in a presentation at a post-budget forum in Accra. “In 2021 workers on the SSSS had a four-percent salary increment, whilst some stateowned enterprises had 15-20 percent or even higher, even though they are already earning higher salaries [and] even though as a group, the SOEs are recording unprecedented losses,” he argued further. Between 2015 and 2019, SOEs have consistently posted negative operating margins, averaging around 10 percent. In 2019 the SOEs recorded total losses of GH¢586.4m compared to GH¢188m in 2018, a more than threefold increase in losses in a 12-month period, according to TUC.
In sharp contrast to the dismal pay structure for majority of public officers, TUC said there are other pay structures in the public sector that offer even more attractive salaries, with chief executives of some stateowned enterprises, for instance, earning between GH¢70,000 and GH¢100,000—twice to three times the salary of the President— per month. “There is the urgent need for evaluation of SOE performance and to cap the pay of CEOs in the SOEs. There is the need to bridge the gap between single spine office holders, Article 71 office holders, and salaries in the SOEs,” Dr. Otoo said. The TUC is also worried about the rising cost of living, including the soaring price of fuel, and
demanded the payment of a cost-of-living allowance (COLA) to cushion public sector workers against economic hardships in 2022. “Cost of living remains high for most Ghanaians. What can be done? Government must increase [the] income tax-free threshold to give some relief to workers and recalibrate the revenues proposed for 2022 to slow the pace of fiscal adjustment and reduce hardships,” the union proposed. The one-day forum was organised by Friedrich Ebert Stiftung (FES) in collaboration with TUC to seek members’ concerns and comments on the 2022 budget to inform their final position and subsequent actions.
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News
MONDAY NOVEMBER 29, 2021
Akufo-Addo courts Norwegians to invest in Ghana’s business-friendly climate Continued from cover According to President Akufo-Addo, his government will continue to create and maintain the conducive investment environment that not only guarantees the safety of investments but good returns as well. “We will continue to protect legitimate investments, and preserve the atmosphere of peace, stability and security that has been an important contributor to the increasing presence of Norwegian businesses in Ghana,” he said. Speaking at the Ghana-Norway Business Forum at the Kempinski Hotel, in Accra, the President said his government has over the last four years done a lot of work in correcting the fundamentals of the economy, which were all pointing in the wrong direction when he took office in 2017. “We have over the period put in place measures needed to reduce the cost of doing business, improve the business environment, and made the Ghanaian economy not only one of the most business-friendly economies in Africa, but also one of the fastest-growing economies in the world between 2017 and 2020, averaging annual
GDP growth rates of 7 percent for those years, up from the 3.4 percent GDP growth rate we inherited from the previous government in 2016,” he said. With COVID-19 wreaking havoc on economies the world over, President Akufo-Addo reassured that government is “working to grow the economy at a much faster rate this year, which will enhance the prospects of a win-win environment for both [the] private sector and [the] country; an environment where companies do not just survive, but actually thrive.” The major programme driving the revival and revitalisation of the Ghanaian economy, he said, is the GH¢100 billion Ghana CARES “Obaatampa” Programme,
whose main elements include supporting commercial farming and attracting educated youth into commercial farming; building the country’s light manufacturing sector; developing engineering/machine tools and ICT/digital economy industries; amongst others. “It continues to be an exciting time to be in Ghana and to do business in the country. Already, global car manufacturing giants Toyota and Nissan of Japan, [and] Sinotruk of China, have established assembly plants in the country as first steps towards the production of vehicles in Ghana,” he said. President Akufo-Addo continued, “Twitter is establishing its African
headquarters in Ghana, and Google’s first African Artificial Intelligence Centre is located in Ghana. We are privileged to play host to the Secretariat of the African Continental Free Trade Area, which represents, currently, a market of some 1.2 billion people spread over 54 countries with a combined GDP of $3 trillion. Trading in the emerging single market began on 1st January this year.” With Ghana witnessing a significant rise in interest from Norwegian investors in several sectors of the economy, including agriculture, building and construction, general trading, manufacturing, oil and gas, and tourism, President AkufoAddo commended some of his government’s flagship policies to them. “Government is also embarking on an aggressive public-private partnership programme to attract investment in the development of both our road and railway infrastructure. We are hopeful that with solid private sector participation, we can develop a modern railway network with strong production centre linkages and with the potential to connect us to our neighbours,” he said.
Diaspora engagement policy to be presented to Cabinet next year Continued from cover Ghanaians in the diaspora to bring their technical skills, money and other resources back home to support national growth and development. “[The policy] has been in the pipeline for quite some time,” said Mr. Ababio. “Our consultants have just come up with the final draft. We are yet to have a stakeholder meeting at which they will make the presentation, during which we will have the opportunity to accept their programme and policy to make sure it can subsequently be taken to Cabinet.” Mr. Ababio said the policy, when finalised and approved, will guide the government’s engagement with the Ghanaian diaspora. “We need to have a codified policy of some sort
to refer to as the basis for undertaking strategies and initiatives in relation to the diaspora community.” He said the government recognises the contributions of diasporans and has charged his office with the responsibility
of institutionalising the Ghana Diaspora Celebration and Homecoming Summit as a biennial event. “We are not just looking forward to merely engaging the diaspora; we are looking forward to extending rights and obligations to the diasporan community to enable them to
Akwasi Awuah Ababio, Director of the Diaspora Affairs Office at the Office of the President
know what is required of them in the nation-building. I hope that will lead up to the debate of dual citizenship, which is currently ongoing. A private member’s bill has been laid already in Parliament, which we are technically behind. We just don’t give them rights, but equal rights like Ghanaians enjoy.”
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MONDAY NOVEMBER 29, 2021
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News
MONDAY NOVEMBER 29, 2021
BoG signs cooperation MoU with Bank of Mauritius T he Bank of Ghana (BoG) has signed a Memorandum of Understanding (MoU) with Bank of Mauritius (BoM) in Port Louis. The MoU is to deepen the existing ties of engagement between the two central banks. It is also to establish an arrangement for the exchange of information concerning the stability and development of their respective banking systems, and to establish a framework for capacity building in the financial services industry. The MOU is expected to strengthen areas of compliance with international standards and regulations related to the financial market and the performance and development of the payments system. Other areas include the retail payments system, large-value payments and settlement system, financial inclusion, digital innovation in financial services including digital currencies and FinTech regulations. The rest are risk-based supervision/macro-prudential supervision, anti-money laundering and combating the financing of terrorism and proliferation (AML/CFT), cyber security, climate change policies
and other areas of central banking that are of mutual interest to BoG and BoM. It will also enhance cooperation in the areas of research related to central banking. The Second Deputy Governor of the BoM, Mrs. Hemlata Sadhna Serwah-Gopak signed for the BoM while Ms. Sandra Thompson, the Secretary, signed for the BoG in the presence of the two Governors. Mr Seegolam expressed
appreciation to the BoG for the signing of the Memorandum, noting that it would open up channels for co-operation between the two central banks. He commended the BoG for the strides it has made in financial sector reforms including the area of digital financial services, among others. Dr Addison said the MoU which established a formal basis for cooperation, was expected to strengthen previous cooperation
and facilitate the performance of the respective monetary policy, supervisory and regulatory duties of the two central banks. With Dr. Addison were the Second Deputy Governor of the Bank, Mrs. Elsie Addo Awadzi, Ms. Sandra Thompson, the Bank’s Secretary, Mr. Eric Koranteng, Head of the Governors’ Department and Mr. Emmanuel Kinful, Special Assistant to the Governor.
Ecobank files review application in matter with Daniel Ofori Continued from cover a litigation with a businessman, Daniel Ofori, which, according to the bank, is pending at the Supreme Court. The bank, in a statement issued by the Regional Head of Corporate Communications and Marketing, Mrs. Rita Aba Tsegah, explained that the garnishee proceedings have been stayed pending the outcome of an application at the Supreme Court. A bailiff on Friday posted a notice of attachment on Ecobank’s Head Office building in enforcement of a court ruling. The attachment notice is dated September 6, 2021. “This is simply a desperate and misplaced measure on the part of Daniel Ofori in the light of the current proceedings before the Supreme Court,” Ecobank stated.
“We wish to assure our cherished customers and shareholders that there is no cause for alarm and that Ecobank will pursue the matter to its logical conclusion in court,” it added. Background Ecobank Ghana PLC (Ecobank), the Securities and Exchange Commission (SEC) and the Ghana Stock Exchange (GSE) have been in court with Daniel Ofori for the past 13 years over a share trade transaction in 2008. Ecobank, SEC and GSE won at the High Court in 2011 and the Court of Appeal in 2013. The Supreme Court reversed the decision of the Court of Appeal in 2018 and awarded interest in favour of Daniel Ofori, based in part on an investment arrangement between Ecobank
and Daniel Ofori. According to Ecobank, it applied to the Supreme Court to re-open the matter to take cognisance of new evidence obtained by the bank. The application by Ecobank
was refused, following which the bank says it obtained leave of the Supreme Court to apply for a review of the decision out of time. Ecobank says it has since filed the application for review, which is pending in the Supreme Court.
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MONDAY NOVEMBER 29, 2021
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News
MONDAY NOVEMBER 29, 2021
Entrepreneurs Foundation holds 5th Global Business Quality Awards
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he Entrepreneurs Foundation of Ghana (EFG) has organised the 5th Global Business Quality Awards and business breakfast conference 2021 at the Movenpick Ambassador Hotel in Accra. The event is an initiative of Entrepreneurs Foundation of Ghana (EFG) organisers of the prestigious Made in Ghana Awards and Ghana Entrepreneurs and Corporate Executive Awards in Ghana. Some global premium quality brands in Ghana were honoured at the fifth edition of the Global Business Quality Awards and Breakfast Conference. On the theme, “Promoting quality Global brands and business leadership in Ghana” and designed to promote, advertise premium quality, most valuable and admirable global brands in Ghana that have met the standard of premium quality and have been judged to be truly exceptional. The business breakfast meeting also presented a great business networking opportunity for the diplomatic corps, entrepreneurs and business executives to access new ideas to successfully grow their businesses in Ghana based on three key criteria, economic success in the market, best-selling quality brand and popularity among consumers. Present at the ceremony were the Colombian Ambassador to Ghana and Dean of the Diplomatic
Corps, Mrs. Claudia Turbay Quintero, Mr. Sugandh Rajaran, Indian High Commissioner; Dr. Ozlem Ergun Uluesen, Turkish Ambassador, Mr. Maher Kheir, Lebanese Ambassador, Mr. Eliphas M. Barine, Kenyan High Commissioner, Mr. Kufa Edward Chinoza, Zimbabwean Ambassador, Ms. Marsim Cassar, Deputy Head of Mission, Maltese High Commission and Mrs. Delese A.A. Darko, CEO, Food and Drugs Authority The award winners were: Quality Corporate Leadership Award 2020, Mrs. Abena OseiPoku, Managing Director, Absa Bank Ghana; Quality Business Leadership Award 2020, Mr. Hayssam Fakhry, Managing Director, Interplast Limited; Quality Public Sector Leadership Award 2020, Mrs. Delese A. A. Darko, CEO /Food and Drugs Authority; Best Quality Building
Material Brand of the Year Award 2020, Italkol Ghana (Velo West Africa Limited); and Premium Quality Paper Manufacturing and Printing Brand of the Decade Award, Jay Kay Industries and Investments Ltd. Other winners included Premium Quality Electrical Power Brand of the Year Award 2020, AlphaTND Limited; Premium Quality Agribusiness Brand of the Year Award 2020, Ecom Ghana; Best Quality SUV Brand of the Year Award 2020, Honda CR.V, THP Ghana Ltd; Best Quality Transport & Logistics Brand of the Year Award 2020, Kiteko Ghana Ltd; Best Quality Information Technology Retail Outlet of the Year Award 2020, CompuGhana Ltd and Premium Quality Hospitality Brand of the Decade Award, Movenpick Ambassador Hotel. The award for Premium Quality
Global Airline Brand of the Decade Award went to Emirates Airline; Premium Quality Cosmetics Brand of the Decade Award, Ghandour Cosmetics Ltd.; Premium Quality Professional Services Brand of the Year Award 2020, AB & David Law Firm; Premium Quality Banking Brand of the Year Award 2020, Absa Bank Ghana; Premium Quality Healthcare Brand of the Decade. Award, Rabito Clinic; Quality Plastic Pipe Manufacturing Brand of the Decade Award, Interplast Ltd; and Premium Quality Real Estate Development Brand of the Year Award 2020, JL Properties Ghana. The rest were Premium Quality Life Insurance Brand of the Year Award 2020, StarLife Assurance Co. Ltd; Premium Quality Health Insurance Brand of the Year Award 2020, Premier Health Insurance; Most Popular Electronic Retail Brand of the Year Award 2020, Kab-Fam Ghana Ltd; Premium Quality Foam Manufacturing Brand of the Decade Award, Ashfoam Ghana; Best Quality Fertilizer Brand of the Year Award 2020, Yara Ghana Limited; Premium Quality Plastic Food Packaging Products of the Decade Award, Everpack Limited Ghana; Best Quality Financial Technology Brand of the Year Award 2020, Zeepay Ghana Limited; and Best Quality Solar Energy Brand of the Year Award 2020,Translight Solar Ltd.
ITA, Italian Embassy celebrate Italian cuisine and wine in Accra
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he Italian Embassy in Accra, together with the Italian Trade Agency, has hosted the Italian and Ghanaian business communities, diplomats, top media and music personalities, and wine enthusiasts to have a taste of fine Italian food and wine to mark this year’s Italian Cuisine Week in Accra. Dubbed “Sapori d’Italia” or “Taste of Italy”, the event took place on November 24 at the Italian Ambassador’s Residence in Accra. Guests were treated to the rich and quality culinary taste of Italy whilst enjoying a great ambiance for networking. This year’s edition, which had the theme “Tradition and perspective of Italian cuisine: The awareness and enhanced appreciation of food sustainability”, was an occasion
to showcase Italy’s tradition of high-quality food and wine. Italy’s Ambassador to Ghana, Daniela d’Orlandi, said in her remarks that the Italian Cuisine Week in the World is a flagship event of Italy to promote the best of the Italian agri-food chain from tradition to innovation in the name of sustainability. “We also wish to celebrate the great Italian wines and Mediterranean diets. This evening, we hope to delight you with some of the best Italian wines and buffet,” she told the guests. She added that Italian food and wine reflect the diverse background of Italy and embody the Italian people in the most captivating way. Alessandro Gerbino, Italian Trade Commissioner, thanked
From left to right: ITA Director, Alessandro Gerbino; Italy’s Ambassador to Ghana, Daniela d’Orlandi; and Deputy Minister of Tourism, Culture and Creative Arts, Mark Okraku Mantey.
Ghanaians, especially promoters of Italian brands and cuisine in the country, for their trust and support over the years. “We appreciate very much their help and cooperation. They believe in the potential of Italy and they are bringing Made in Italy to Ghana,” he said. “We are seeing this kind of cooperation in other sectors, and we are grateful to other companies doing same in
their various areas of business,” he added. The celebration of the Italian Cuisine Week was an evening of fine Italian wine and food laced with great music that kept guests excited and asking for more. The event was sponsored by Newco Catering and Logistics, with Imexco Ghana Limited, Say Cheers Ghana, and Africa Wine Club as wine partners.
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Trade
MONDAY NOVEMBER 29, 2021
Global trade projected to grow by 70% to US$30 tn by 2030
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ew research by Standard Chartered has projected that global exports will almost double from US$17.4tn to US$29.7tn over the next decade. The report reveals 13 markets that will drive much of this growth, identifies major corridors, and five trends shaping the future of global trade. The report, commissioned by Standard Chartered and prepared by PwC Singapore, is based on an analysis of historical trade data and projections until 2030, as well as insights from a survey of more than 500 C-suite and senior leaders in global companies. Global trade will be reshaped by five key trends: the wider adoption of sustainable and fair-trade practices; a push for more inclusive participation; greater risk diversification; more digitisation and a rebalancing towards high-growth emerging markets. Almost 90 per cent of the corporate leaders surveyed agreed that these trends will shape the future of trade and will form part of their five to 10-year crossborder expansion strategies. Globalisation will drive the next decade of growth. Despite the recent push towards onshoring, growth corridors of the future will not just be intraregional – they will be global spanning Africa-East Asia; ASEAN-South Asia; East Asia-Europe; East AsiaMiddle East; East Asia-Europe; South Asia-US. Asia, Africa and the Middle
East will see a ramp-up in investment flows, with 82 per cent of respondents saying they are considering new production locations in these regions in the next five to 10 years, supporting the trend towards rebalancing to emerging markets and greater risk diversification of supply chains. Enabling chains
sustainable
supply
The research found a significant trend towards the adoption of sustainable trade practices in response to climate concerns and a rising wave of conscious consumerism. However, while almost 90 per cent of corporate leaders acknowledged the need to implement these practices across their supply chains, only 34 per cent ranked it as a ‘top three’ priority for execution over the next five to 10 years. Standard Chartered, in line with its commitment to help make global trade more sustainable and drive the transition to Net Zero, launched a Sustainable Trade Finance proposition to enable companies to build more sustainable and resilient supply chains. In addition, we offer a suite of sustainable finance solutions to channel capital towards helping companies achieve their Net Zero goals. Simon Cooper, CEO Corporate & Institutional Banking and Europe & the Americas, Standard
Chartered, said: “The predicted doubling of global trade offers strong evidence that globalisation is still working, despite recent dislocation. In addition to the growth of intra-regional trade pathways, the corridors of the future will still cut across continents. He added: “Against this backdrop, we continue to focus on making globalisation
work for more markets and businesses, ranging from micro to multinational, and drive a more sustainable and inclusive model for global trade. This includes growing our range of sustainable finance solutions to help our corporate clients implement sustainable and fair-trade practices across their supply chains.”
Prez charges GIPC to attract investments for post-covid recovery
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resident Nana Addo Dankwa Akufo Addo has urged the Ghana Investment Promotion Centre (GIPC) to canvas for the right investments to support Ghana's post-Covid 19 recovery agenda. “We are emerging from a challenging global situation, the pandemic of COVID-19, and GIPC, the principal investment promotion agency for our country, has an enormous task ahead of it. “ The President made the statement when he swore into office the reconstituted board of the GIPC at the Jubilee House, Accra on Friday. The 10-member board, chaired by Mr Alex Apau Dadey, includes Mr Yofi Grant, CEO of GIPC, Dr Maxwell Opoku-Afar of the Bank of Ghana; Dr Kodjo Esseim
Mensah-Abrampa from the National Development Planning Commission; and Dr John Ampontuah Kumah, Ministry of Finance. The others are Nana Dokua Asiamah-Adjei, Ministry of Trade; Mr Kweku Agyemang-Duah; Mr Robert Ahomka-Lindsay; Nora Bannerman-Abbott and Margaret Ekua Prah. President Akufo-Addo told the governing board that the impact of the coronavirus pandemic on the socio-economics of the country, every step should be taken to ramp up the economic recovery process. He noted that the pandemic had severely impacted the country's economic development, particularly in areas such as tourism, aviation, health, supply chain management, food security
and employment. Fortunately for Ghana, the measures put in place by government to minimise the effect of the pandemic at the onset of the pandemic, the President indicated, had yielded very good results. “The favourably economic outturn evidenced in the GDP growth rate for this year speaks to this “ President Akufo-Addo noted the successful implementation of the ambitious GHS 100 billion Ghana CARES Obaatampa Programme, instituted to revitalise and transform the Ghanaian economy beyond the pre-Covid 19 growth forecast for the country, as one of the positive outcomes of the governments post-covid recovery agenda. The first phase of the
programme which began in March 2020, focused on food security, protecting businesses and workers, strengthening the health system and attracting private investments to support indigenous businesses. The President urged the board to apprise itself with the elements of the second phase of the Programme that sought to revitalise and transform the Ghanaian economy and make the needed impact. President Nana Addo made reference to Foreign Direct Investment inflows in 2020 which amounted to $ 2.65 billion despite the COVID -19 pandemic adding that for the first three quarters of 2021 alone, FDI into Ghana amounted to some $973 million from 173 projects.
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Banking
MONDAY NOVEMBER 29, 2021
Creating long term impact in the community: Absa Bank Ghana’s example
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he image of the ancient relic - built in 1894 – delightfully having its day in the sun in an environment of modernity, is unforgettable. This is the Cathedral Church of the Most Holy Trinity situated in the heart of Ghana’s High Street in Accra. Opposite this ancient wonder is the City Car Park, a reserved parking arena known to house the automobiles of most corporate organizations littered across the business center. Adjacent to this is Absa Bank - a leading financial service organisation with a heritage as old as the Holy Trinity Church itself. If it is true what they say about this cathedral building, then we should be according it more honour than it is currently receiving. It was apparently designed by the legendary Aston Webb - same British Architect who designed the Buckingham Palace and University of Birmingham in the UK. This fine Friday morning November 19, 2021 - a section of employees from the Legal and Compliance department at Absa Bank, have gathered on the compound of the Anglican Church. They are in conversation with teachers at a secondary school (Holy Trinity Cathedral Senior High School) that shares
the same compound with the church. The Absa Bank team is about to interact with the students on a skills training programme instituted by the bank. This is part of a long-term plan by Absa Bank to create impact in the communities where it operates. Multinational organizations like Absa Bank, operate with a focus on high financial performance and a commitment to impacting the communities where it operates. It places great emphasis on initiatives such as youth skills training and development to empower emerging leaders. These are soft skills that complement its core commercial mandate and endears the brand to stakeholders and the society. “We are making progress with the quality and output of our students. It hasn’t been an easy road. Science and Mathematics are still areas we need to tighten,” the Assistant Headmaster of the school tells Edem Ama Sekyi, Absa Bank’s Company Secretary just before the main session begins. Other bank employees join in. Soon the conversation gravitates towards the ongoing National Science and Maths Quiz, which is sponsored by Absa Bank. “Oh, we did well [in the competition] last year. We are
proud of the progress we made. Clearly, we have to do more,” another teacher, who had joined the small gathering, chips in. The conversation is immediately truncated because the team is alerted that the students are ready. Into the church auditorium they strode. Here eager students are gathered– teenagers from different class levels – seated with anticipatory looks strewn on their faces. When the session begins, the intensity and pace lose not a step. Led by Edem, the students are introduced to more than five members of the department, who tell interesting tales about their backgrounds and how they rose, against all odds, to become reputable professionals in the Bank. “I was born in Nima and sold bread as a hawker,” one of the employees began as he readied himself to engage the students. Even behind the masked faces, it was obvious the expressions of shock and disbelief on their faces. Next came Legal Officer, Sophia Haikins-Adarkwa, who outlines the rudimentary steps in becoming a legal and compliant professional. It was refreshing to see how the two parties fed off each other’s energy in the engagement session. In the end,
the impact of the activity was felt during the Q&A session. The students asked a ton of questions, their inquisitive attitudes clearly on display. A bank must stand for something where it operates and Absa Bank clearly leads the way in Ghana when it comes to that. For Managing Director, Abena OseiPoku, Absa Bank’s unique role in society complements its long history in Ghana and highlights a winning strategy. “We bring possibilities to life – for our clients, customers, stakeholders and the society. A big organization like ours believes in operating with a conscience. It is not enough to execute our strategy, experience growth and transformation. We believe it is a higher purpose if we can also demonstrate real impact by what we do in society. Our social responsibility brings this to life in a unique way.” The session is now over. The teaching body and students express profuse appreciation and say their goodbyes. They will now return to their various classrooms for the day’s lessons to begin. The Legal and Compliance team make their way back to their offices. Satisfied and fulfilled.
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Opinion/Analysis
MONDAY NOVEMBER 29, 2021
C-KADD Global’s reflections on 2022 budget
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he 2022 budget is themed ‘Building a Sustainable Entrepreneurial Nation: Fiscal Consolidation and Job Creation’. It is expected to consolidate the macroeconomic gains achieved post Covid-19 and address the economy’s short to medium-term risks.
GH¢ 9.03 billion in 2022. The high import duty is not the only component making Ghana’s port uncompetitive. Government should review all other cost components at the port to make Ghana’s port competitive among the ports in the sub-region. On the other hand, the government should be committed to import substitution industrialisation, which is the surest way to grow the domestic economy. The reduction of withholding tax on sale of unprocessed gold by small-scale miners from 3% to 1.5% will positively impact the industry and to a large extent help to curtail the smuggling of gold.
Fiscals On revenue, the government has projected to raise GH¢ 100.5 billion in total revenue and grants in 2022 compared to GH¢ 72.4 billion projected in 2021. As at the end of September 2021, provisional total revenue estimates stood at GH¢ 47.2 billion compared to the programmed amount of GH¢ 51.3 billion. The revenue target for 2021 is likely to be missed should tax compliance derail. The government envisages increasing total revenue as a percentage of GDP from 16% in 2021 to 20% in 2022. Key revenue measures include the imposition of an Electronic Transaction Levy (e-transaction levy) of 1.75% on the value of digital transactions and exempting daily transactions of a cumulative value of GH¢ 100. Fees and charges are also expected to see an upward adjustment by 15%. The government’s revenue mobilisation drive is not ambitious enough to grow the direct tax-paying population from the current 2.3 million out of a labour force population of 12.9 million. On expenditure, the government expects to spend GH¢ 137.5 billion, including arrears, in 2022 compared to GH¢ 113.7 billion in 2021. As at the end of September 2021, the provisional estimate stood at GH¢ 81 billion compared to GH¢ 83.9 billion programmed. Total financing at the end of September 2021 stood at GH¢ 33.9 billion compared to programmed GH¢ 32.6 billion. In 2022, the budget deficit is expected to reduce to GH¢ 37 billion from GH¢ 41.3 billion in 2021. This is in line with the medium target of achieving the fiscal deficit target of less than 5% to GDP by 2024. Domestic financing estimate for the end of September 2021 reached a provisional figure of GH¢ 20.39 billion compared to a projected estimate of GH¢ 14.06 billion. This trend is worrying as the government is actively in the market crowding out the private sector for credit. Public debt hit GH¢341.76 billion (US$58.24 billion) as at end-September 2021. Ghana’s
public debt is rising steadily. From a nominal public debt stock of GH¢ 122.2 billion in 2016, it rose to GH¢ 291.6 billion by the close of December 2020. With the fiscal challenges posed by the Covid-19 pandemic, financial sector clean-up and energy sector debt, Ghana’s debt and its accompanying high interest rate could trigger macroeconomic instability in the medium term. Interest payment for a second year in a roll leads expenditure allocations. Interest Payment is projected at GH¢37.45 billion (7.5% of GDP) followed by Compensation of Employees projected at GH¢35.84 billion (7.1% of GDP) and Grants to other government units at GH¢26.83 billion. Capital Expenditure (CAPEX) is projected at GH¢16.396 billion (3.3% of GDP). With the infrastructure financing needs of the country, CAPEX allocation should double in the medium term to enhance productivity and make Ghana competitive in attracting investment. Sectorial Developments The Services sector continues to be the main driver of Ghana’s GDP, followed by Industry and Agriculture. The Services sector recorded a growth rate of 7.2% in the first half of 2021 compared to 2.3% last year. Industry, however, contracted by 1.3%, mainly resulting from the significant derailment in growth in the mining and quarrying subsectors, which fell by 11.2% and 18.9%, respectively. A main contributor to the contraction was the -13.4% growth in the oil sub-sector due to low production. To spur growth in the oil and gas sector, the Government must structure policies to ensure maximum economic recovery from
petroleum resources, especially in the wake of the global energy transition agenda. In addition, corporate tussles within the sector like the ENI/Springfield tussle must be resolved quickly to make the sector attractive. E-Levy The e-levy of 1.75% is expected to generate GH¢ 6.96 billion in 2022. According to the government, Ghanaians who transact below GH¢100 a day average 35%; hence it will not negatively affect the poor. Government should further engage with stakeholders to review the levy and explore other revenue generation measures such as curbing illicit financial flows and corruption. There is also evidence from studies conducted in Kenya and Tanzania that suggests a likely reversal to cash transactions by citizens in a bid to avoid taxes that are deemed extortive. The new levy will likely erode the gains made from creating a formal banking system to foster inclusion for persons within the informal sector. We expect that retail transactions that require e-payment methods will experience sharp declines in the coming year. This will be in contravention of the government’s promise to create a cashless economy. Benchmark Valuation In April 2019, the government slashed Benchmark Values by 50% on selected general goods and 30% on vehicles. This policy has been reversed, and it is likely to reduce the competitiveness of Ghana’s port. The 2021 budget is projected to raise the import duty of GH¢6.6 billion. This is expected to increase to roughly
Road Tolls In an effort to reduce travel time and vehicular traffic on roads, the government has removed road tolls. However, it will compensate for the loss in revenue through an imposition of e-levy of 1.75% on electronic transitions. The impact of this levy has been discussed above. ‘YouStart’ Initiative The government’s quest to support youth entrepreneurs with up to GH¢ 10 billion together with its partners in the medium term is commendable. As trading under the African Continental Free Trade Area (AfCFTA) progresses steadily, youth entrepreneurs can take advantage of the market size of 1.2 billion people with a combined GDP of US $ 2.5 trillion. Conclusion The 2022 budget attempts to resolve the structural problem of widening the tax net, but a lot of work remains to be done in this area. Expenditure rationalisation is a prudent option to reduce the budget deficit and high public debt. Going forward, broader stakeholder consultations are needed in the future before arriving at policy options. About: C-KADD GLOBAL is a consultancy firm with over fifteen (15) years of combined experience of partners in economic consulting and general business advisory services. Our primary focus and service lines are;1. Economic Consulting; 2. Energy and Petroleum; 3. Accountancy and Tax Services and 4. General Business Consulting. Contact us on; Email: ckadd@ckaddglobal.com Tel:+233-245683297
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Feature
MONDAY NOVEMBER 29, 2021
Forum to empower youth in mining communities opens on Nov 30
W
orld University Service of Canada (WUSC) a Canadian nongovernmental organization focused on economic empowerment of youth and women, is set to host a regional forum to highlight key results and learnings from one of its consortium projects, the West Africa Governance and Economic Sustainability in Extractive Areas Project (WAGES Project). The WAGES project is coimplemented by the Center for International Studies and Cooperation (CECI) and funded by Global Affairs Canada (GAC). The forum will take place in Accra between November 30 and December 2, hosting a wide array of dignitaries and strategic partners, including: the Canadian High Commission, Chamber of Mines of Burkina Faso, Ghana and Guinea, Ghana Enterprises Agency (GEA) and Mineral Development Fund (MDF) and Ghana Extractive Industry Transparency initiative (GHEITI). On the theme “Maximizing socio-economic benefits from Extractive Areas for Women and Youth Entrepreneurs – Connect, Collaborate, Scaleup” the forum will provide a platform to share knowledge, promote good dialogue between the various regional actors in local governance, sustainable economic development, and the challenges and opportunities for women and youth in the extractive sector. The WAGES Project is a regional project, implemented in Ghana, Guinea, and Burkina Faso, with an aim to break the vicious cycle in which local communities, especially women and youth, are excluded from the benefits of mining investments. Throughout its six years of implementation, the project focused on three pillars of intervention in extractive communities - local economic development, knowledge sharing, and local governance. The WAGES project utilized a community-based approach, in which it partnered directly with local governments across the three countries, to support community needs. In an attempt to keep community members at a forefront, the project supported developing toolkits for local governments and enterprises, establishing women’s and youth
support groups, to help advocate for their economic and social rights. Throughout its five years of implementation, the WAGES Project has boasted some remarkable intervention outcomes through its local economic development interventions, across the three countries. Over 85 per cent of all female and youth beneficiaries surveyed expressed an increase in their ability to make economic occupation decisions themselves. Something that is essential to this segment of society that is often overlooked and marginalized. Moreover, the WAGES project directly supported over 6,000 entrepreneurs in the three countries by partnering with entities such as the Ghana Enterprises Agency (formerly NBSSI) in Ghana to
train entrepreneurs on how to start, manage, and grow their businesses. The same approach was adopted in Guinea and Burkina Faso, partnering with government entities and NGOs to train young entrepreneurs on business development and entrepreneurship. The training gave entrepreneurs the opportunity to learn about business planning, branding, marketing, communications, and even production of green economy products, such as mushroom growing and black soap manufacturing. Providing the necessary tools for business growth and development for entrepreneurs was necessary for the project, and it proved to be essential. In Burkina Faso, 33.8 per cent of businesses supported by WAGES reported growth in sales
and revenue, with higher rates of 56.5 per cent growth and 61.4 per cent growth in Ghana and Guinea respectively. In order to enhance local economic development, and through partnership with Global Affairs Canada, the project was able to disburse over CAD $ 300,000 across the three countries in direct grant support to female and youth entrepreneurs. The regional forum will be looking closely at those results. Mineral royalties and revenues are an essential lifeline of mining communities. Mining companies often pay dividends to local governments as part of their lease agreements and their contributions to communities. These revenues must be held accountable by community members, and thus the project was able to facilitate dialogue between local governments, community members, and administrators of mineral royalty funds to ensure the economic participation of women and youth through these funds. In Guinea, the project worked closely with civil society organization Ami Camara, to reframe the royalty policy of Guinea to at least allocate 30 per cent of mineral royalties to women and youth-led businesses. This was a massive feat for the project. In Burkina Faso, the project pushed for 32 per cent of mineral royalties to be allocated to municipal budgets whiles in Ghana the project supported the Minerals Development Fund to put in place a roadmap for the development of regulations for the MDF Act, 2016 (Act 912) as well as supported capacity building of the Local Management Committees of the Mining Community Development Schemes. Aside from sharing project results and giving a full platform for community members and international organizations to share their experiences and thoughts; the regional forum will also offer an exhibition for entrepreneurs to sell their products at the forum. With over 20 entrepreneurs in attendance from the three countries, there will be a wide array of products displayed, ranging from jewelry, beauty products and creams to nutritional products.
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News
MONDAY NOVEMBER 29, 2021
GCB commits more funds into sports development
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CB Bank Limited has committed almost GHc500,000.00 to the development of sports this year. Of the amount, GHc200,000.00 has been donated towards the development of women sports and establishment of the women sports excellence centre being spearheaded by the Ghana League Clubs Association (GALCA) in collaboration with the First Lady, Mrs Rebecca Akufo-Addo. The Bank also contributed GHc100,000.00 towards the Black Stars’ preparation for the 2022 World Cup and African Cup of Nations tournaments. The bank also announced its headline sponsorship for two key Golf Tournaments in the country with an amount of GH¢20,000.00 and GH¢68,500.00 respectively - the Royal Golf tournament in Kumasi which is under the distinguish patronage of His Royal Majesty Otumfuo Osei-Tutu II,
Asantehene and the Bok Nam Kim Golf Tournament at the Air Force
Officers’ Mess East Cantonments, Accra.
This year’s competitions will be a gathering of the crème de-la crème of golfers and promises to be exciting. The Bank’s contribution towards sports development forms part of the Bank’s five key thematic areas of its Corporate Social Responsibility (CSR) which sports plays a cardinal role. The Managing Director of the Bank, Mr Kofi Adomakoh, noted that GCB’s involvement in sports development is to cement its place as the Bank that celebrates excellence in all facets. He said as the Bank with a rich national heritage, GCB prioritizes sports in its strategic focus in the interest of Ghanaians. Head of Corporate Affairs of GCB Bank, Mr. Emmanuel Kojo Kwarteng, explained that the Bank is contributing to the development of less patronized sporting activities.
More women break into ICT space as Huawei trains 50 with more to come
T
he Huawei Seeds for the Future has trained some 50 women as part of efforts to increase women participation in the digital technology space. There is a long term vision of training about 20,000 females in ICT through a collaboration between the government of Ghana and Huawei. Deputy Communications and Digitization Minister, Ama Pomaa Boateng, congratulating the ladies said “it is time for our women after going through this intensive Digital capacity building program from Huawei to take opportunity to build and establish their businesses. "Women participation in technology is my priority and that of the ministry. It is my aim to contribute to bridging the gender gap in Ghana and beyond," she added. She indicated that “the Ministry of Communications and Digitalization has a plan and is preparing the girl child to compete globally and determination and planning is key in achieving a brighter future," she said. Madam Boateng said they have also
engaged Huawei to offer digital skills training to over 20,000 girls across the country and "we continue to grow that number." Huawei, a world leading telecom giant looks to make ICT accessible to all especially women and younger entrepreneurs. Deputy Managing Director of Huawei Technologies Ghana, Kweku Essuman Quansah, said the Company has been an organization that provides equal
opportunities for all. He said it was for this reason that "we decided to dedicate this year's Seeds of the Future Programme to women in STEM."He noted that this year, through the Ministry some female students from various Universities across the country had the opportunity to experience technologies in ICT and dialogue with experts. "l believe the tour of Huawei’s 5G Exhibition Hall as well as
courses on Huawei’s ICT talent ecosystem has broaden their horizon and their understanding deepen. "As a leading global ICT solutions provider, Huawei is committed to expanding our presence in Ghana and see will offer Ghanaian customers innovative ICT products, services, and solutions and collaborate within the local industry, " he added.
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African Business
MONDAY NOVEMBER 29, 2021
AfDB approves US$36m grant for power scheme that includes refugees and internally displaced persons
T
he Board of Directors of the African Development Bank Group has approved a grant of $36 million to support a power scheme in Mozambique that also covers displaced persons and refugees. The Mozambique Energy for All Project will increase the number of residential connections to the electricity grid, enhance power exports and improve domestic and regional supply quality. The project, in the northern provinces of Zambézia and Nampula, will be executed in collaboration with the United Nations Refugee Agency (UNHCR) to include internally displaced persons and the Maratane refugee settlement as part of efforts to bridge the humanitariandevelopment gap in the southern African country. The project primarily entails updating and constructing a new national control center to boost power exports by the national electricity utility, Electricidade de Moçambique. Overall, it aims to triple energy exports, incorporating more renewable sources, such as solar and wind, and to attract more
investment inflows as domestic power supplies and stability improve. The second component will provide nearly 49,000 new connections. Cesar Augusto Mba Abogo, the Bank’s Country Manager for Mozambique, said the approval of the project by the Board of Directors was a significant milestone. “The African Development Bank and its partners in the Mozambique Energy for All
Project are committed to working collaboratively with the government, local communities and authorities to implement such an important project for the country. This project will contribute to the government’s ambition to provide every Mozambican citizen with electricity by 2030 with particular attention given to residents of Nampula Province, which shelters internally displaced persons who fled
militant attacks in northern Cabo Delgado Province as well as refugees from abroad, and this will encourage additional development partners to support the government initiative,” Mba Abogo said. UNHCR Representative Samuel Chakwera said the project would generate widespread benefits. “Mozambique’s development needs hinge around providing stable electricity for industry while also ensuring the poorest are not left behind,” he said. “Providing affordable electrical connections to displaced persons and refugees, while ensuring that Mozambique’s electrical grid can better support the country and the region’s needs, creates a winwin situation that will improve the lives of forcibly displaced people and the communities that host them,” he added. The project will also support Mozambique’s membership of the Africa Trade Insurance Agency and improve the financial health of the national electricity utility. The project will be co-financed by the governments of Sweden and Germany through the German development bank KfW.
Transforming Africa’s agrifood systems requires coordinated policies across sectors
T
o make them more sustainable, the transformation of agrifood systems across Africa needs a “cross-sectoral, holistic, coherent and coordinated policy environment,” QU Dongyu, Director-General of the Food and Agriculture Organization (FAO) said today at a high-level African Union (AU) event. The Comprehensive Africa Agriculture Development Programme Partnership Platform (CADP PP) is the AU’s main platform for agricultural policy dialogue, lessons-sharing and accountability. This year’s CAADP PP meeting, taking place over three days under the theme ‘Ending hunger in Africa by 2025 through resilient food systems’, brought together representatives from the African Union Commission, Ministers from the 55 AU Member States, and partners. During his participation at the High Level Partners Panel event on Friday, the FAO DirectorGeneral noted that this is an “exciting time for Africa”. The
discussion focused on how to strengthen institutions and increase investments to accelerate agriculture transformation and streamline efforts towards building resilient food systems aimed at ending to hunger on the continent. Qu emphasized three key ways of accelerating change for agricultural transformation in Africa: increasing agricultural productivity; building resilience by addressing water and climate related challenges in agriculture; and increasing the use of data and digitalisation. “FAO is committed to leveraging its expertise and experience to work with key partners and stakeholders to transform Africa’s agrifood systems for a better and brighter future for all,” the Director-General said. The panel also included representatives from the African Development Bank, USAID and the International Institute of Tropical Agriculture. FAO’s work with the African Union
FAO has supported the AU on a number of projects to boost agrifood systems transformation. In 2021, FAO and the AU launched the Framework for Boosting IntraAfrican Trade in Agricultural Commodities and Services, a blueprint for expanding agricultural trade between African countries and unlocking the potential of the agricultural sector to contribute to sustainable
and inclusive growth for Africa. FAO has also worked with the AU on the Africa Open Data for Environment, Agriculture and Land initiative, which has made Africa the first continent to complete the collection of digital land use and land use change data, and in the development of policies and strategies for country-specific plans to reduce post-harvest food losses.
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MONDAY NOVEMBER 29, 2021
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Health
MONDAY NOVEMBER 29, 2021
Building a better global health framework
By Tedros Adhanom Ghebreyesus
I
t is incredible to think that when the last Paris Peace Forum was held, in November 2020, no COVID-19 vaccine had yet been approved. A year later, more than seven billion doses have been administered, preventing countless deaths and helping to turn the tide of the pandemic in many countries. But this scientific triumph is being overshadowed by the failure to ensure that all people benefit from it. At the time of writing, more than one-third of the world’s population is fully vaccinated. But in Africa, that share is just 6.7%. This is unacceptable, and we must urgently change it. Any threat to global solidarity is a threat to global security and stability. All governments have a responsibility to protect their own people. But the failure of some governments to share crucial resources – including information, biological samples, and tools including vaccines, tests, and other supplies – has deprived their counterparts in many low- and lower-middleincome countries of the ability to fulfill that mandate. The COVID-19 pandemic will not be our last. That is why, as we recover and rebuild from this crisis, we must also take steps to ensure that we can meet future disease outbreaks with effective cooperation and collaboration, instead of the kind of chaos and confusion that have exacerbated the current one. The global response to the
COVID-19 pandemic has been the subject of much analysis. And there have been many recommendations for measures that would enable us to detect the next disease outbreak early, and either prevent it from becoming an epidemic – let alone a pandemic – or ensure a rapid and effective response. In all of these reviews and reports, four themes stand out. First, global governance must be made more inclusive, equitable, and accountable. The existing global health-security architecture is complex and fragmented, and voluntary mechanisms have not produced the necessary level of collective action. That is why I advocate the creation of a new international instrument, such as a treaty, to guide pandemic preparedness and response. By providing an overarching framework for global cooperation, including clear rules of the game, such a mechanism could boost solidarity among countries significantly. The World Health Organization’s member states will discuss this initiative this month, at a Special Session of the World Health Assembly. Second, we need more and better financing for pandemic preparedness and response. That includes a substantial increase in domestic investment, as well as far more international financing to support low- and lower-middle-income countries. Crucially, any financing facilities must be built via existing financial institutions; creating new ones would fragment the global health architecture further. Moreover,
such mechanisms should not be funded solely by voluntary development assistance, which would intensify competition for already scarce resources. Rather, we propose a Health Threats Fund to pool additional resources, which could be established at the World Bank as a Financial Intermediary Fund, and financed by countries and regional organizations on a burden-sharing basis. Third, we need to devise and implement better systems and tools for multisectoral health surveillance. Already, the WHO has begun building such tools. On September 1, we inaugurated the new WHO Hub for Pandemic and Epidemic Intelligence in Berlin, which will provide the world with better data and analytics to support the detection of, and response to, public-health emergencies. I then had the honor of joining French President Emmanuel Macron in Lyon to celebrate the groundbreaking ceremony for the WHO Academy, which will use cutting-edge technologies to expand access to high-quality, lifelong learning for the world’s health workers. Other initiatives are in development, such as the WHO BioHub, a facility for storing and sharing pathogens in Switzerland, and the Universal Health and Preparedness Review. Modeled after the Universal Periodic Review used by the United Nations Human Rights Council, the UHPR will make use of peer review to increase accountability and transparency among WHO member states as they identify
gaps and build capacity for pandemic preparedness and response. Finally, we need a strengthened, empowered, and sustainably financed WHO at the center of the global health framework. With 194 member states and 152 country offices, the WHO stands out for its global mandate, reach, and legitimacy. But over the last several decades, it has been progressively weakened by a debilitating imbalance between assessed (compulsory) contributions and voluntary, earmarked contributions. This distorts our budget, thereby constraining our ability to attract and retain top talent and to fulfill our member states’ expectations. The COVID-19 pandemic has highlighted the critical importance of global health security. The further weakening of the WHO, and the further fragmentation of the institutional framework of global health, are among the greatest risks to such security. The world must now invest in an organization that truly represents and works for the health of all countries. In the coming months and years, other crises will inevitably demand our attention. But we must not lose sight of the importance of bolstering global health security. If the world continues down its current path, our health will only deteriorate – with devastating economic and political consequences. But if we embrace new ideas and work together in solidarity, we can build a future that is healthier, safer, fairer, and more peaceful.
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News
MONDAY NOVEMBER 29, 2021
Binance Smart Chain Fund partners CV VC Venture Fund to advance Africa’s blockchain ecosystem
B
inance Smart Chain’s (BSC) US$1 billion Growth Fund has collaborated with CV Labs Global Incubation Program to drive blockchain adoption in Africa and invest in blockchain’s wider applicability to solve problems and create new markets. The accelerator aims to invest in 100 startups from the African continent over the next four years, with a focus on startups that work across the supply chain, healthcare, fintech, government sectors and more, building on the blockchain. CV Labs, the incubator arm of CV VC, has already incubated 22 successful global tech teams’ pathways to success. Binance Smart Chain is a community-driven effort with a global community of developers and investors which recently set up a US$1 billion growth fund to drive blockchain and crypto adoption. To date, BSC’s investment funds have seed-funded over 55+ projects with up to US$1 million, approximately 60 projects have been incubated under the Most Valuable Builder Program and over 200 startups have received a push in terms of funding under hackathons and grant programs. BSC intends to do the same, alongside CV VC to drive blockchain adoption in Africa. In the past year, cryptocurrency adoption in Africa has grown by over 1200%, according to Chainalysis. Although Africa is the fastest continent in terms of adoption, funding, mentorship and incubation of projects in Africa is still at infancy – a challenge the CV VC & BSC collaboration aims to solve. To kick start this, CV VC in collaboration with BSC, hosted a two-day event on November 10 & 11, including discussions on blockchain technologies by world-renowned guest speakers and blockchain workshops. The events took place at the University of Johannesburg and Bandwidth Barn BARN, Khayelitsha, Cape Town (a tech hub in the local township). The team from Binance Africa and BSC also delivered workshops to the entire cohort of over 200 global startups on: how to successfully develop business and partnerships in the blockchain and crypto space, and the benefits and resources available to those projects wishing to build in the BSC ecosystem via
Brenton Naicker of Binance Africa (3rd from left) with some of the participating startups
the US$1 billion fund. “The interest from startups across Africa has been immense, outpacing their global counterparts in terms of applications received for funding. This just reiterates the need for accelerators, incubators and other support structures for the budding African blockchain ecosystem. Africa is the perfect territory where blockchain use-cases can be built from the ground up, enhancing the ways in which Africans can interact and transact," said Brenton Naicker, head of Business Development & Partnerships for Africa at Binance. “The blockchain and crypto scene in Africa has consistently
grown, with an influx of new interest and talent reaching unprecedented heights in recent months. The BSC Fund is keen to match that excitement with a similar level of support and funding to take the African blockchain ecosystem to the next level,” said Alex Odagiu, Investment Manager at BSC Accelerator Fund. Binance Smart Chain (BSC) is a sovereign smart contract blockchain delivering Ethereum Virtual Machine (EVM) compatible programmability. Designed for lightning speed and low transaction fees while adding Smart Contracts functionality for dApps - BSC tops in infrastructure performance as the biggest DeFi
blockchain with 100M+ users in its ecosystem. CV Labs is the heartbeat of Crypto Valley, one of the world’s biggest blockchain hubs. We help global start-ups, corporates, and investors to leverage blockchain technology to transform industries, create better services, and evolve new marketplaces. In short, CV Labs supports those who are driving blockchain technology to build better ways for humanity to live, work, interact and transact. As the International ecosystem builder of blockchain venture capital firm, Crypto Valley Venture Capital (CV VC), CV Labs is an intrinsic driver of the fourth industrial revolution.
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MONDAY NOVEMBER 29, 2021
19
Feature
MONDAY NOVEMBER 29, 2021
Reeling in a deal to save the ocean
T
he ocean covers more than 70% of our planet’s surface, produces half of the oxygen we breathe, feeds billions of people, and provides hundreds of millions of jobs. It also plays a major role in mitigating climate change: over 80% of the global carbon cycle passes through the ocean. But this precious natural resource is not invincible. Despite all the benefits it affords us, the ocean today faces unprecedented man-made crises that threaten its health and its ability to sustain life on Earth. The greatest threat to marine biodiversity is overfishing. More than one-third of global fish stocks are overfished and a further 60% are fully fished. Each year, governments around the world encourage overfishing by providing $22 billion in harmful fisheries subsidies. Although these subsidies are designed to help support coastal communities, they instead prop up unsustainable and unprofitable fishing activity, depleting the very resource on which local populations’ livelihoods depend. This problem is not new. In fact, the World Trade Organization’s members have been trying to negotiate a deal to curb these damaging payments since 2001. World leaders reiterated their commitment to tackling the issue when they agreed in 2015 to the Sustainable Development Goals (SDGs). Under SDG 14, which aims to put a healthy ocean at the heart of the global sustainabledevelopment agenda, leaders promised by 2020 to reach an agreement at the WTO that would reduce fisheries subsidies. But they missed the deadline, as negotiations slowed during the worst of the COVID-19 pandemic. Research shows that if WTO
members were to eliminate all harmful fisheries subsidies – the most ambitious scenario – global fish biomass could increase by 12.5% by 2050. That’s an additional 35 million metric tons of fish, or more than four times North America’s annual fish consumption in 2017. And this is a conservative estimate. Removing destructive subsidies really will mean more fish in the sea. The aim is not to remove support from fishing communities, but rather to redirect it in a more meaningful and less damaging way. Even if a deal does not eliminate all harmful subsidies, it would create a global framework of accountability and transparency for subsidy programs. That, in turn, would spur dialogue between governments, fishing communities, and other stakeholders to spur the development of redesigned policies that better support fisherfolk while protecting our global commons. Moreover, an agreement is within reach – if the political will is there to deliver it. The most recent lapse of the negotiations resulted from differences over how to structure flexibility in subsidy regimes for developing countries, as well as how to define and enforce rules on illegal fishing and sustainable stocks. But after numerous proposals and discussions, the comprehensive draft now on the table combines measures to curb harmful subsidies with specific exceptions for developing countries. With the start of the WTO’s 12th Ministerial Conference in Geneva just days away, now is the moment for a deal. Failure to conclude one would not only harm the ocean and the livelihoods of those who
depend upon it, but also would diminish the global rules-based system and damage the pursuit of the 2030 Agenda for Sustainable Development. In contrast, ending harmful fisheries subsidies would reduce the cumulative pressures on the ocean and increase its resilience in the face of climate change. In the wake of the United Nations Climate Change Conference (COP26) in Glasgow, governments must demonstrate their willingness to use every tool at their disposal to tackle the climate crisis. The stakes at the upcoming WTO Ministerial Conference have perhaps never been higher. The future of multilateral trade cooperation is at risk; but, above all, jobs, food security, and the health of our global commons are on the line. That is why 33 former government leaders and ministers from around the world have joined forces with nearly 400 scientists in urging WTO members to “harness their political mandate to protect the health of the ocean and the wellbeing of society.” Governments have given their word that they will curb destructive fisheries subsidies. Next week’s meeting in Geneva will test the credibility of that pledge. This commentary is also signed by: Axel Addy – Minister of Commerce and Industry of Liberia (2013-18); Mercedes Aráoz – Prime Minister of Peru (2017-18) and Vice President of Peru (20162020); Hakim Ben Hammouda – Minister of Economy and Finance of Tunisia (2014-15); Herminio Blanco – Minister for Trade and Industry of Mexico (1994-2000); Maria Damanaki – European Commissioner for Maritime Affairs and Fisheries
(2010-14); Eduardo Frei RuizTagle – President of Chile (19942000); Michael Froman – US Trade Representative (2013-17); Tim Groser – Minister of Trade of New Zealand (2008-2015); Enrique V. Iglesias – President of the Inter-American Development Bank (1988-2005); Hilda Heine – President of the Marshall Islands (2016-2020); Ban Ki-moon – UN Secretary-General (2007-2016); Ricardo Lagos – President of Chile (2000-06); Pascal Lamy – Director-General of the WTO (2005-2013); Roberto Lavagna – Minister of Economy of Argentina (2002-05); Cecilia Malmström – European Commissioner for Trade (2014-19); Peter Mandelson – European Commissioner for Trade (2004-08); Sergio Marchi – Minister of International Trade of Canada (1997); Heraldo Muñoz – Minister of Foreign Affairs of Chile (2014-18); Pierre Pettigrew – Minister for International Trade of Canada (1999-2003), Minister of Foreign Affairs of Canada (2004-06), Tommy Remengesau, Jr. – President of the Republic of Palau (2001-09, 2013-2021); José Luis Rodríguez Zapatero – Prime Minister of Spain (2004-2011); José Manuel Salazar – Minister of Foreign Trade of Costa Rica (1997-98); Susan Schwab – US Trade Representative (200609); Juan Somavía – DirectorGeneral of International Labour Organization (1999-2012); Alberto Trejos – Minister of Foreign Trade of Costa Rica (2002-04); Allan Wagner – Minister of Foreign Affairs of Peru (1985-88, 2002-03, 2021); Andrés Velasco – Minister of Finance of Chile (2002-06); Ernesto Zedillo Ponce de León – President of Mexico (1994-2000); and Robert Zoellick – US Trade Representative (2001-05). Copyright: Project Syndicate
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BUSINESS24.COM.GH MONDAY NOVEMBER 29, 2021
NO. B24 / 280 | NEWS FOR BUSINESS LEADERS
MONDAY MAY 3, 2021
MONDAY NOVEMBER 29, 2021
UGBS student emerges winner of EY tax competition
M
r. Abraham Glover, a final year student of the University of Ghana Business School (UGBS), has emerged winner of the EY Young Tax Professional of the Year 2021 local competition in Ghana after a series of rigorous assessments of the candidates. He will also represent the country in the international competition, which will begin on Wednesday, 10th November 2021, and will officially end in February 2022. When asked how he felt about the achievement, he said, it is a humbling experience for me. Honestly, I am still amazed that I won. I am very excited as well. The win challenges me to give off my best at the next stage. Speaking about the benefits of the contest, he indicated that “beyond the certificate and cash prize, the competition has opened more networking opportunities and has broadened my understanding of tax topics due to the practical nature of the competition.” His major challenge during the contest dealt with researching the topic and crafting the best
solution. However, he overcame that as he progressed along. He expressed his gratitude to Professor William Coffie, Head of the Accounting Department (UGBS), and Professor Mohammed Amidu of the Accounting and Finance Department (UGBS), for allowing him to participate in the competition. He also thanked Mr. Manfred Adu-Poku and Mr. Kinglsey Owusu for their time, guidance, and assistance during the contest. He finally expressed his appreciation to his team members and family for their support. Abraham is currently
preparing for the international competition, and he is focused on reading relevant tax materials on business and international taxation, in addition to other key areas. He is also trying to get access to materials from previous years to familiarise himself with the nature of the international competition. Mr. Manfred AduPoku is his coordinator. Here is what Abraham has for students who would like to participate in the EY Young Tax Professional of the Year competition in subsequent years: “First, I think you will need to focus on your studies in school
since that equips you with the basic knowledge needed for the competition. Next, you need to also work on your presentation and research skills because they are crucial to your success. Also, students should keep updated on both local and global development in taxation as these help in offering relevant recommendations and solutions as required in the competition. Lastly, don't forget the God factor.” Abraham Glover was the Head of the Audit Board of the Business House Junior Common Room (BHJCR) and the Head of the Audit Chamber of the Accounting Students Association. Abraham believes in living a Christ-centred life, and the need for social impact and collaboration to create a better world. Thus, he looks forward to using his knowledge and experience to make a positive impact in whatever field he finds himself in. UGBS congratulates Mr. Abraham Glover on his remarkable feat and wishes him the very best in the upcoming competition.
GISPA Conference highlights need for data localization, protection and economization
O
perators within the telecommunication and data industry have underscored the need for Ghana to safeguard its data space in order to leverage its predictability to spur economic growth. This emerged at the Ghana Internet Conference 2021, headlined by the Ghana Internet Service Providers’ Association (GISPA) as part of efforts to highlight ways by which Ghana’s data space can be harnessed. The event which assembles seasoned individuals in the telecommunications industry, is the third in succession, following the maiden edition organized in 2019. This year’s conference hosted by the Academic City University College was on the theme; Ghana’s Data space: Localisation, Protection and Economisation. In his address, the President of GISPA, Ing Richard Densu said the increase in the use of the internet for social interaction and business
commerce has occasioned the need for a proper understanding of our data space and how to protect it against exploitation. He added that on average every individual spends 2 hours, 20 minutes surfing the internet daily. The figure he says means in a day, millions of data is shared between people within the internet space. He stated that with the right infrastructure in place, Ghana can tap into its data space, first by ensuring it is well protected against external use then by maximizing its economic use. Delivering his keynote address, the Chief Executive Officer of Afrifanom, Nana Osei KwasiAfrifa said the value of data is essential to today’s world, adding that people who understand the power of mining data have made fortunes overnight as a result of this knowledge. He stated that sadly for Ghana, the lack of trust in Ghanaian ICT firms to undertake ICT projects continues to militate against the
growth and capacity development of our local industry. “The biggest government contracts on tech development are seeded to foreign brands and sadly, of the 20 plus banks in Ghana, none is using a bank software system developed by a Ghanaian”, Nana Afrifa said. He added that the advocacy from several local tech companies led the government to rethink its position on local competencies and owing to that, today several local companies are efficiently producing great results and have developed technological software for projects like the Ghana School Placement system, Mobile Money Interoperability, Ghana Card Registration and Ghana Post GPS. He further called for more support for local technology industries, highlighting that “it is impossible to protect the data we generate if we do not have a stake in where and how it is stored”. The keynote speaker recalled how the technology powerplay
between China and the US led to the proscription of Hauwei from the google platform. He said the hindsight of this should serve as a foundational guide for the reconfiguration of our data protection policy to be locally sovereign. He concluded by saying, a lot must be done to reduce the cost of data hosting as it is a worrying situation for tech businesses. Panellists, including Amerley Ampofo; Advocate - Data as a Force For Good, Ing. Alfred Gaise, Chief Manager for Regulatory - National Communication Authority, Ing Dr. Keneth Ashigbe; CEO - Ghana Chamber of Telecommunication and Dr Patrick Adonoo; Director of Regulatory and Compliance - Data Protection Commission shared their thoughts as well. Dr. Ken Ashigbey argued that personal data is the most valuable data and needs to be protected.