Business24 Newspaper 25th October, 2021 by Business24 Online

MONDAY OCTOBER 25, 2021

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Monday October 25, 2021

Over 200 farmers ready to grow genetically modified cowpea

NO. B24 / 245 | News for Business Leaders

Social engineering as a business risk

See page 7

See page 11

Analysts tip e-currency to boost financial inclusion agenda By Kwame Anamoa

anker and financial sector specialist Donatus Kuuzume has argued that the introduction of a digital currency will boost government’s financial inclusion drive, as it will offer a lot of Ghanaians the chance of operating a bank account, predicting a phenomenon that will be similar to the mobile money wave. Mr. Kuuzume was speaking at a seminar organised by the Business School of the University of Education, Winneba, on the theme, “The role of digital Cont’d on page 2

GNPC aims to become standalone oil company in 15 yrs By Eugene Davis ugendavis@gmail.com

Leverage pension funds to push national dev’t agenda— Asantehene

he Ghana National Petroleum Corporation (GNPC) says continuous support of its ambition to become an operator will ensure that in 15 years’ time, it will become a stand-alone oil company with

he Asantehene, Otumfuo Osei Tutu II, has stressed the need for the National Pensions Regulatory Authority (NPRA) to create an environment that enables pension funds

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Editorial / News

MONDAY OCTOBER 25, 2021

Editorial

Digital currency to set the tone for robust digitalisation

number of financial experts have expressed that the introduction of a digital currency for trade will foster competition in the financial space, advance financial inclusion, and drive the nation towards a cash-lite economy. The central bank has already announced plans to start a threephased pilot of the nation’s first digital currency, called E-Cedi, to determine its feasibility and subsequent circulation. According to its, Dr. Ernest Addison, the e-currency reflects advancements in financial innovation and will promote efficiency and stability of payment systems. To perk up innovations in the financial space, the bank has already set up a regulatory

sandbox that will enable fintechs and financial innovators develop various products and models to address the gaps in the market, and consumer needs in a timely manner, he added. Adding to these developments is the ongoing merging of biometric IDs with other national databases to enhance transparency, facilitate seamless transactions, and reduce cost of doing business. This will broaden the scope of Ghana’s economywide digitalisation process. Much as some people are concerned about the success of the currency, others are of the view that it could fast-track financial inclusion as has been seen with the introduction of mobile money. More significantly, the nation’s

march towards a cash-lite economy, with the steady uptake in digital products and services would demand the roll-out of the digital currency. Digital currencies have recently emerged as a hot topic in the financial space, with banks, institutions and governments conducting a research and analysis on the economic and technical feasibility of introducing a new form of digital money and its impact on monetary and fiscal policy. It is time for us to deepen the discussions on Ghana’s digital currency even as it goes through the trial phase and ensure that it is generally accepted by the public as an easier and convenient mode for payments.

Analysts tip e-currency to boost financial inclusion agenda Continued from cover

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currency in the Ghanaian economy: the way forward”. He advised the public, especially the business world, to take advantage of the opportunities presented by the introduction of a digital currency in Ghana. He explained that digital currencies have recently emerged as a hot topic in the financial space, with banks, institutions and governments conducting research and analysis on the economic and technical feasibility of introducing a new form of digital money and its impact on monetary and fiscal policies. Mr. Kuuzume said just like with the introduction of any service, there might be challenges, but the benefits of digital currencies far exceed the disadvantages. Ghana is in the process of piloting the scheme, whilst countries like The Bahamas, Jamaica and China have already rolled it out. Vice Dean of the School of Business of the University of Education, Winneba, Dr. Joseph Ato Forson, for his part, said Ghana cannot be left out of what he described as the digital

currency revolution. He opined that the introduction of the digital currency will facilitate business transactions, thereby boosting the economy, adding that financial institutions will benefit immensely by reducing the cost of doing business. He noted that a central bank digital currency increases the safety and efficiency of both wholesale and retail payment systems, and could also facilitate a quick settlement of retail payments and improve the efficiency of making payments at

the point of sale or between two parties. Another speaker, Mr. Gad Ocran, a financial transformation analyst, charged students to be abreast with technology in this changing world, as employers seek to engage those with knowledge in technology to boost their businesses and be competitive. The Dean of the School of Business, Prof. Braimah Imurana Awaisu, entreated the students to develop the right attitudes in order to fit into the world of work.

News

MONDAY OCTOBER 25, 2021

GNPC aims to become standalone oil company in 15 yrs Continued from cover minimal government support. The national oil company is bidding to acquire additional stakes in oil blocks operated by Aker Energy and AGM Petroleum, and aims to use these acquisitions to build operatorship capacity. “We have to build the capacity of GNPC to become an operator. If we do that, 15 years from now, we should mature and stand alone,” chief executive Dr. K. K. Sarpong told journalists at a workshop at Peduase, in the Eastern Region. He said no new oil field has been developed since 2017 because of lack of investment for new developments due to the ongoing energy transition. If nothing is done, he added, oil production levels will begin to decrease after 2023. The planned acquisitions will therefore help to bring on stream additional production volumes within a few years, he explained. “It will enable GNPC and Ghana to not only face the emerging energy transition in a wellprepared manner, but also create

significant value for Ghana. Aker Energy [and] AGM present a more immediate, practicable and viable route to operatorship.” Parliament in August gave GNPC approval to borrow up to US$1.1bn to acquire a 37 percent

stake in Deep Water Tano/Cape Three Points (DWT/CTP) block, operated by Aker Energy Ghana, and a 70 percent stake in South Deep Water Tano (SDWT) block, operated by AGM Petroleum Ghana.

Dr. Sarpong said more due diligence, in the form of technical, legal, financial and commercial appraisals, will have to be undertaken before a final purchase price for the two blocks is determined.

Leverage pension funds to push national dev’t agenda—Asantehene Continued from cover to positively impact the Ghanaian economy. He has therefore called on the management of the authority to ensure strict adherence to Pension Funds’ Investment Guidelines not only to help provide satisfactory returns but importantly to safeguard contributions by workers in the country. He was of the view that pension funds could be a stable and reliable source of funding for national development if they are well managed. The Asantehene was interacting with the management of the NPRA when they paid a courtesy call on him at Manhyia Palace, in Kumasi. The visit to Manhyia Palace by the management of the NPRA was to brief the king on the activities of the authority and also to announce to him the observance of the first ever National Pensions Awareness Week in the last week

Asantehene Otumfuo Osei Tutu II with management of the states pensions regulator NPRA

of October. Otumfuo Osei Tutu urged the NPRA to monitor and supervise pension institutions properly. He noted that he was aware of the practical guidelines provided by the authority to guide pension funds’ investments to ensure well-defined standards aimed at achieving safety of assets and fair returns on the pension funds. He said the country had

entrusted the future and destiny of the Ghanaian worker in the hands of the authority, which therefore must work towards realising the goals and also justifying the trust reposed in it. He expressed satisfaction with the skills and ability of the management, some of whom he acknowledged he had known personally. “You cannot fail the workers

of this country. Your abilities and knowledge in the area must be well exhibited in providing a decent retirement package for the Ghanaian worker upon retirement.” He further called on the NPRA to strengthen their sensitisation and education for the populace to understand the urgent need to participate in pensions. The Chief Executive Officer of the NPRA, Mr. Hayford Attah-Krufi, said the authority has embarked on a massive educational drive to help drum home the nation’s pension agenda. To this end, he said, the NPRA has opened two more offices within the last two years and is ready to open another one at Tema soon. He said the management of the authority acknowledges the enormous task before it, but is well poised to build a better pension structure in the country. He expressed his gratitude to the Asantehene for his advice and pledged to abide by it for the benefit of the Ghanaian worker.

MONDAY OCTOBER 25, 2021

News

MONDAY OCTOBER 25, 2021

Ghana’s GDP expected to grow by 4.3% by year end

esearchers at Standard Bank, parent company of Stanbic Bank Ghana, have forecasted a Gross Domestic Product (GDP) growth of 4.3percent for Ghana by year end. This comes after Q2 GDP underwhelmed expectations coming in at 3.9percent. This is contained in the September, 2021 edition of the African Markets Revealed (AMR) report. “As base effects unwind further in Q3:21, to some extent, we expect GDP growth will be numerically boosted for 2021. With growth coming in lower than expected in Q2:21, base effects will probably be favourable in 2022. Thus, we see GDP growth increasing to 6.4percent year-on-year in 2022” the report said. With regard to Foreign Direct Investment, the researchers indicated a more cautious outlook over the coming year given that Oil production subsided to an average of 187.4/bbl in Q1:21, from 194.8/bbl in H2:20. The ongoing delays in the drilling of oil wells may further weigh down oil production in H2:21. “Indeed, the oil and gas subsector contracted by 16.2% in Q1:21, from an average contraction

of 4.9% in H2:20. The mining and quarrying sub-sector too contracted, by an average 11.5% y/y Sep 20 to Mar 21. The outlook for the gold sector still doesn’t look promising over the coming year after a key mine was closed due to an accident in May.” The September edition of the report indicated. Despite the contraction in the extractive and mining sectors, Ghana’s cocoa sector is expected to perform well as

external demand for cocoa has improved. Although there were earlier concerns around the Living Income Differential (LID) premium borne of the Abidjan agreement with the government of Côte d’Ivoire, exports of cocoa over the coming year is expected to be stable. The report however mentioned that, renewed public health restrictions remains the most notable downside risk to our growth outlook for 2021 and 2022.

The African Markets Revealed report is a monthly report issued by the Standard Bank Group, parent company of Stanbic Bank Ghana and focuses on the economic and financial outlook of African countries. The report also reviews current economic situations and makes short to medium-term predictions about the economies of African countries.

Africa Investment Forum: Projects worth US$140m on the table to boost healthcare in West/East Africa

embers of the Africa Investment Forum team showcased two projects during a virtual investor roundtable as the continent looks to boost its healthcare sector and attract much-needed investment in the wake of the Covid-19 pandemic. The projects, jointly worth around $140 million and located in East and West Africa, were previewed for potential investors. The roundtable, held 21 October, is part of a series of events organized by the Africa Investment Forum and hosted by the Atlantic Council to drum up interest in the Forum’s upcoming Market Days, where a range of investment opportunities will be unveiled. The invited participants represented the pharmaceutical and healthcare sectors. The first opportunity, with a project cost of US$96 million, is for the development of a 250-bed specialist hospital offering worldclass healthcare services in a West African country. Feasibility studies have been undertaken

and the land has been secured. The second, entails the construction of a $45 million WHO-prequalified vaccine production plant in East Africa that will be capable of routine production of three vaccines, including for Covid-19. After the presentations, a panel of investors provided their insight on investing in Africa’s healthcare sector. The panelists were Rhulani Nhlaniki, sub-Saharan Africa Cluster Lead at Pfizer; Jean-Philippe Syed, Principal with private equity firm Development Partners International; Afsane Jetha, Managing Partner & CEO at private equity firm Alta Semper Capital; Stavros Nicolaou, Senior Executive – Strategic Trade at Aspen Pharmacare; and Dr. Dumani Kula, Chief Operating Officer for Africa with Evercare

Group, a healthcare company. Aubrey Hruby, a Senior Fellow with the Atlantic Council’s Africa Center, moderated. Syed said the African hospital sector, and in particular health tourism, had suffered as a result of pandemic-related travel restrictions. Nicolaou said Africa’s disease burden—the highest of any continent—made preventive care, including vaccines, all the more important for Africans. The need for pharmaceuticals will increase the requirements for partnerships that can overcome constraints such as research & development. Other challenges mentioned by the participants include overcoming cold chain and lastmile-delivery issues, and ways to scale up pilot technologies, such as the use of drones to facilitate

vaccine delivery. Health is one of five priority investment sectors under the Africa Investment Forum’s Unified Response to Covid-19(link is external) pillars. The others are agribusiness, energy and climate change, ICT/Telecoms, and industrialization and trade. At a panel discussion organised by the University of Edinburgh last week, Africa Investment Forum Senior Director Chinelo Anohu referenced the East Africa vaccine plant project in the context of Africa’s current limited access to Covid-19 vaccines. Through trade and investment, particularly in its pharmaceutical sector, the continent can avoid vaccine inequity, Anohu said. “What we’re looking to provide with the Africa Investment Forum is a co-investment platform where you mobilize domestic investors, mobilize project sponsors for the continent, and then mobilize international investors, those who are looking to make an investment and get a profit,” Anohu said.

MONDAY OCTOBER 25, 2021

News

MONDAY OCTOBER 25, 2021

Take advantage of sustainable financing mechanisms to grow your business - GCB MD

r Kofi Adomakoh, the Managing Director of GCB Bank, has called on entrepreneurs to take advantage of sustainable financing mechanisms available locally to grow their businesses. He said Green Climate Funds, in partnership with local Banks, had disbursed about 82.4million dollars so far to businesses. Mr Adomakoh made the call at the 4th Standford Seed Transformation Network's (STN), Ghana Conference on Business Transformation in Accra. The event was on the theme:" Transformation Continuum." He said, "Companies operating in Ghana can take advantage of the sustainable financing opportunities immediately." The Managing Director said with the Climate Investment Fund about 115million dollars had been disbursed with a mix of programmes focusing on agriculture and energy. Mr Adomakoh said even though these fundings were long-term, businesses must get their projects right. "We are looking forward to working with businesses to make sure we build climate friendly and sustainable projects," he added. He said sustainability did not mean businesses sacrificing their projects or putting their successes

on the backburner. "Instead, it has become a crucial element to any organisation's success strategy," he said. Madam Stephanie Sullivan, US Ambassador to Ghana, said innovation could mean combining pre-existing ideas and technologies in novel ways. She said, "as we plan our own personal and business transformations, it’s also important to look at the big picture: the business environment in Ghana and globally." "We all know the importance of infrastructure to support inclusive economic development and, more broadly, human development," she said. Madam Sullivan said robust infrastructure could transform an

able local provider into a global supplier. The US Ambassador said private sector leadership in climate, health and health security, digital technology, and gender equity and equality was the key to success, both globally and in Ghana. She said a network was only as good as the connections that hold it together, urging them to leverage the power of the Network and direct their energies towards developing Ghana’s economy considering these four focus areas. Mrs Linda Yaa Ampah, the President for STN, Ghana Chapter said the conference sought to empower businesses to scale up. She said the business world was

becoming more challenging by the day and there was always a cliché such as "Funding challenges”, “rising cost of doing business as result of high taxes, high interest rates, high cost of energy". She said 2020 brought with it a lot of challenges but at the same time it created a lot of opportunities, and "we are grateful to God that we are all here to continue to pursue initiatives and activities that would contribute to developing Ghana's economy." She said additionally, the African Continental Free Trade Area (AfCFTA) represented an important milestone in achieving an economically integrated Africa which provided opportunities for businesses. She encouraged the regulators of the business environment to closely follow the discussions and provide the services that would enable businesses thrive and contribute even better to Ghana's GDP. "This is because our member companies made up of over 120 Ghanaian SMEs spread across 15 sectors are contributing immensely to Ghana's development and national agenda aligned with the SDGs," she added. GNA

Over 200 farmers ready to grow genetically modified cowpea By Reuben Quainoo

ore than 200 Ghanaian farmers have expressed their readiness to grow genetically modified cowpea, Ghana’s first genetically modified food crop. The cowpea variety, which was developed by Ghanaian scientists, has been genetically modified to resist the destructive pod-borer insect pest. As a result, farmers will significantly reduce the use of pesticides from the usual 8 – 10 times to only 2 times per a season. The new cowpea variety could potentially increase yield by 20 times more and also support the nation’s economic development and food security while improving farmers’ livelihoods. Farmers from the Atebubu Amantin Municipality of the Bono East Region of Ghana are very excited about the technology. They have asked the scientists

at CSIR to ensure farmers get the genetically modified seeds as soon as possible. The farmers expressed optimism in the new “Bt cowpea” at a day’s workshop organized by Open Forum on Agricultural Biotechnology, Ghana Chapter in the Bono Region. The theme was exemplary journalism, credible science reporting and better public understanding of science technology and innovation and its benefits for the country. Mr. Stephen Aidoo, the Municipal Agric Director for the Bono Region, entreated the farmers and extension officers present to take the knowledge they will acquire seriously since technology drives agriculture. He encouraged the farmers to pay more attention to the issues of biotechnology and share knowledge acquired with their fellow farmers. Dr. Daniel Osei Ofosu, National

Coordinator Program for Biosafety Systems, explained that biotechnology is very necessary since they provide solutions that conventional breeding cannot achieve. “GM technology has been with us for years and its application in agriculture is just to develop new crop varieties with traits that solve problems of pests, diseases, and drought” he mentioned. Dr. Richard Ampadu-Ameyaw, National Coordinator OFAB Ghana explained that the GM

cowpea will reduce the use of pesticides by 80percent. He indicated that the reduction in spraying will put more money in the farmers pocket and also help him take good care of his family. “Scientists at the state-owned Savannah Agricultural Research Institute (SARI) of the CSIR have officially requested approval from the National Biosafety Authority (NBA) to give farmers access to the GM cowpea seeds,” he revealed.

News

MONDAY OCTOBER 25, 2021

AIDEC Consultancies International launches Africa Technovate Awards and Fair

frica Integrated Development and Communications Consultancies (AIDEC) has launched its maiden Africa Technovate Awards and Fair to appreciate and reward players of the technological space. The technology and innovations awards/fair will recognize and reward African Technology companies working across the continent to deliver top notch creativity and innovations in technology, and have also achieved incredible successes for their companies, clients and countries. It also seeks to expose, challenge, and motivate tech companies driving digital solutions and helping Africa stay competitive especially under a fast and transforming digital world. The award and fair are slated for Friday November 26 to Saturday, November 27, 2021, at the University of Professional Studies (UPSA), auditorium in Accra, where there will be an exhibition of technological products from Friday to Saturday 12noon and the awards ceremony at 6pm. Speaking at the launch, the Managing Director (MD) of AIDEC, Ambrose Yennah, noted that it has become necessary to recognize these ICT companies and the individuals who are practicing

in the sector to encourage them innovate and develop digital products and solutions capable of reducing the dependency on the developed countries. “There are a lot of creative people in Ghana and in Africa especially the young ones but most of them are limited because of capital. That is why this program have included young tech innovators and creators as part of the categories in order to recognize them with Plaques and some cash to help them kick start. These individuals, companies and organizations have blazed the trail for several years as well as budding young and innovative tech companies or individuals charting a path for Africa's digital transformation agenda,” he said. Entries are therefore open to

all organizations and individuals within the Information Technology space across Africa and submission of entries; starts from Wednesday, October 20, 2021 to ends on November 3, 2021. The platform to enter nominations or entries is africatechnovateawards. tech or send an email to afric atechnovateawards. 21@ gmail.com. He also said the event will hold discussions on strategies and tech/digital solutions that will help Africa stay competitive in this technological world. Topics will include 'Exploring the Nexus Between Blockchain Technology and Digital Transformation', 'Unlocking the Digital Economy in Africa, the Role of E-Commerce', and 'Benchmarking the Digital Transformation Agenda for

Africa, the Way Forward'. Award Categories The awards have been divided into three categories, including the Sector Awards which covers; Outstanding EdTech Institution of the year, FinTech Company of the year, MedTech company of the year, Digital Agri-Business of the year, and Tech Insurance Company of the year. The second category which is the Regional Awards includes; Digital Innovation and Creativity Award, Digital Business Transformation Award, Tech Startup Company of the year Award, Young Tech startup company of the year Award, Blossoming tech company of the year Award, Mature tech company of the year Award, and Ambitious tech company of the year Award. The Africa Awards also include: outstanding digital entrepreneur of the decade (10 year), Life time achievers award, Quality standards award, Digital excellence award and Long standing service engagement award. Awards Criteria On awards criteria, the nominated company must be a registered business entity, organization or institution with license to operate in the ICT sector and must show a track record of performance in the tech. space.

Vodafone 64th Asantehene Open Championship held

he Vodafone 64th Asantehene Open Golf Championship has kicked off with a ceremonial tee-off at the Royal Golf Club in Kumasi last Friday. The three-day event, which is the official open golf tournament of His Royal Majesty, Otumfuo

Osei Tutu II, brought together selected high-profile golfers across the country to compete in age-related categories. His Royal Majesty Otumfuo Osei-Tutu II, the Chief Executive Officer of Vodafone Ghana, Patricia Obo-Nai, and other dignitaries, including

government officials, corporate executives, business leaders, as well as professional and amateur golfers across the country and the sub-region, participated in the majestic ceremonial tee-off. Speaking ahead of the event, Patricia Obo-Nai, Chief Executive of Vodafone Ghana, expressed Vodafone’s commitment to supporting the advancement and development of Asanteman. "We are excited to be associated with the Otumfuo at 64th Golf Tournament. We have had a fruitful relationship with His Majesty, Otumfuo Osei Tutu II, and the entire people of Asanteman for all these years and we deem this a great privilege. Our partnership is in its fifth year and we are excited that our various initiatives have had a great impact on the lives of the people within this region.’’ Vodafone has outlined various socially impactful initiatives, including Healthfest, a free health

screening activity for residents in Asokore Mampong; a digital education awareness campaign in various schools under its Instant Schools umbrella; a clean-up and donation exercise at the Agogo Hospital. The telecommunications giant, led by its senior management team, will also be visiting, engaging and rewarding customers within the region. The various customer rewards include dinner at the Golden Tulip Hotel with key and loyal customers; and special discounts at selected restaurants and pubs for customers who use Vodafone Cash. The enterprise arm of Vodafone, Vodafone Business, will also run a number of activations in a number of locations to introduce small and medium businesses to the number one SME product, Too Much Business, while helping them establish their brands online with Your Business Online.

News

MONDAY OCTOBER 25, 2021

FBNBank supports efforts to eradicate polio

BNBank has announced that as part of the World Polio Day celebrations, it is providing support to the National Polio Plus Committee and selected Rotary Clubs in Ghana towards the effort to keep polio at zero in Ghana. Over the years, the FBNBank has supported the efforts of public and social organisations in the fight against polio with the National Polio Committee and Rotary Ghana being its regular partners. This year’s support of GHS20,000 will support the National Polio Plus Committee and five other Rotary Clubs namely Winneba, Cape Coast, Takoradi, Anarji and Tarkwa. Commenting on the Bank’s contribution to the fight against polio, Mr. Victor Asante, FBNBank’s Managing Director said, “Polio poses a serious threat to people and communities, with the ability to disrupt progress and shatter dreams in the process limiting development. FBNBank considers the fight to keep polio at zero an imperative. Over the years we have seen the commitment shown by partners and this has given us the needed assurance that together we can succeed at keeping polio at zero. We are further strengthened in our determination by the passion of our staff who remain committed to contribute in diverse ways. As a Bank our stake in this fight is to

Nana Yaa Siriboe of the National Polio Plus Committee and other Rotarians receiving FBNBank Ghana’s donation from Victor Yaw Asante, Managing Director of FBNBank Ghana

ensure that our communities are inhabited by people who are not threatened by issues like polio. In many ways, our dedication to this cause bears ample testimony to our brand promise which enjoins us to put our stakeholders first. In this case we are putting the people in our communities at the heart of what we do because it means more than an annual event to us.” Over the years, World Polio Day has been observed on the 24th of October of every year. World Polio Day is an annually celebrated event to increase awareness of issues around polio and take measures towards eradicating this disease. These celebrations are primarily by healthcare

workers, front-line staff and nongovernmental or not-for-profit organisations whose efforts have helped to contain the disease and has brought the world to near zero status. This year’s celebration of World Polio Day is under the theme “One day; One focus. Ending Polio” and the day will be used for activities across the globe aimed at fighting the menace of polio. In Ghana, the celebrations will be at the Legon Botanical Gardens and would be largely driven by the National Polio Plus Committee and Rotary International; two entities who have led the way in the country. FBNBank has in its 25 years of operating in Ghana remained

focused on putting its customers and communities first. This, it has sought to do through the rich value and excellence of what the Bank contributes to the relationship with its stakeholders as a whole, particularly the customers. FBNBank Ghana is a member of the First Bank of Nigeria Limited Group which is renowned for its great customer service and general stakeholder engagement garnered over its 127 years of operation. FBNBank Ghana has 20 branches and two agencies across the country with close to 500 staff. FBNBank offers universal banking services to individuals and businesses in Ghana.

EBID appoints Dr Ashimolowo as Vice-President Operations

he Board of Directors of the ECOWAS Bank for Investment and Development (EBID) has unanimously appointed Dr. Olagunju M. O. Ashimolowo

as Vice-President in charge of Operations. The decision was taken at the board’s 75th meeting held on October 1, 2021, at the bank's headquarters.

“Dr. Ashimolowo brings on board a wealth of relevant experience which will further strengthen and consolidate the Bank’s operations and governance framework,” a

statement announcing the decision said. Before his appointment, Dr. Ashimolowo was Director, Internal Audit and Evaluation of Operations for over four years at the Bank. He had previously held the position of Group Office Auditor at Ecobank Transnational Incorporated (ETI) for nine years. Dr. Olagunju Ashimolowo, a fellow of the Institute of Chartered Accountants of Nigeria (ICAN), is an international banking and finance executive with more than 30 years of experience in Financial Management, Governance Risk Management, Compliance and Internal Controls. He holds MBA (Finance) from the University of Lagos, Master of Applied Business Research (MABR), and Doctor of Business Administration (DBA) from SBS Swiss Business School, Zurich, Switzerland.

News

MONDAY OCTOBER 25, 2021

Go forth and shape Africa’s destiny – Akufo-Addo challenges Africa’s youth

resident Nana Addo Dankwa Akufo-Addo has challenged Africa’s youth to take mental, physical and economic lead roles in positioning Africa as the giant of the future. In a speech read on his behalf by the Vice President, Dr Mahamudu Bawumia, at the YouthConnekt Africa Summit taking place in Accra, President Akufo-Addo maintained that the African could be as successful as any other, and urged the youth, who make up a very large proportion of Africa’s population, to take their rightful place in shaping the continent’s destiny. “I do not accept that Africa has a DNA that dooms us to failure. Africans can, like all the other peoples that have succeeded, make life meaningful and worth living for their own people. We must cultivate an irrepressible desire to do right by the citizen. “There is an abundance of dynamic, entrepreneurial talent on our continent struggling to express itself and take advantage of such conditions. We have to encourage this expression with full force, and ensure that we can stand on our own feet, and make it impossible for the systematic looting and plundering of our human and material resources, that have characterized much of

our modern history, to continue. This is the significance of the concept of Ghana Beyond Aid, indeed, of Africa Beyond Aid.” The President continued: “Simply put, I just want us to have more self-confidence and accept that we shall never reach the level of development we aspire to by relying on aid or external assistance, no matter how generous. It is a mindset that I wish Africans to discard, a mindset of living on charity and handouts. “To get to a situation Beyond Aid, we will have to harness effectively our own resources, and deploy them creatively and efficiently for rapid economic and social transformation.” Youthful Population

Noting that a youthful population has always had a major impact on the growth of economies across the world, President Akufo-Addo said Africa, despite having the largest generation of young people in history, must take active steps to make the opportunities inherent in having such a demographic advantage a reality. “The population opportunity will not automatically guarantee us a future of growth and prosperity. Demographic dividends do not come automatically. They have to be earned. “With over forty percent (40%) of Africa’s working population between the ages of fifteen (15) and twenty-four (24), Africa is the youngest continent in the world… Yet, too many of our young people are trapped in poverty, with few

opportunities to learn or to earn a decent living. According to the World Bank, youth account for sixty percent (60%) of all African unemployed. “No one needs to tell us that mass unemployment in Africa, especially amongst her youth, is a ticking time bomb. The so-called Arab Spring showed clearly that lack of employment opportunities can undermine social cohesion and political stability. With between ten (10) to twelve (12) million youths joining the labour force every year, Africa has to pay maximum attention to job creation,” he warned. Investment Increasing investment in young people is key, the President noted. This includes promoting diverse, quality education that prepares them for a future of opportunities. “For young people to be able to exploit the economic opportunities that abound in Africa, they must have the skills and training necessary to take advantage of them. In doing this, Africa must fashion an education policy that is also gender sensitive, for women are a slight majority of Africa’s youth.

Insurance awareness week underway

wo firms have set aside a week to create the needed awareness on insurance penetration in the country. The firms, Hollard Ghana and Melcom Limited, dedicated the week between October 18 and 24, this year to help increase access to insurance in the country. As a result, the two firms intensified insurance education to enable customers to learn about products such as life and nonlife insurance products including motor insurance, home appliance plan, cell phone insurance, travel insurance, life, accident and saving policies. Some of the Melcom shops in Weija, Afienya, Spintex, Tema, Opera Square, Bibiani, Santasi, Adum, East Legon, North Industry Area (LFS), Takoradi, Frafraha, Sunyani, Ashiaman, Haatso, Ahodwo, Ablekuma, Suame, and Tamale have been selected to support the education. Speaking on the motivation for

the initiative, the Group Head in charge of Marketing and Corporate Affairs at Hollard Ghana, Ms Cynthia Ofori-Dwumfuo, said “this initiative affirms the goal of our unconventional partnership to increase insurance penetration through a diversified distribution model. "As a purposeful company, we are committed to enabling more people to create and secure a better future. “As promised during our partnership announcement last year, we will continue to put our customers first in everything we do, while bringing them worldclass services and products. "Our dedicated sales executives will be available to treat them with utmost care at our Hollard on-the-go booths. Customers are encouraged to pass by any of the select shops and learn about how to secure a better future," she added. Melcom in a statement said

that “as a leading retailer and a corporate partner to Hollard Ghana we are happy to participate in this drive for financial inclusion via creating awareness for basic insurance needs.

"With insurance penetration around one per cent in Ghana, we believe this activity will not only increase insurance accessibility but impact the society positively by the time all is done.”

Feature

MONDAY OCTOBER 25, 2021

Social engineering as a business risk

n information security, social engineering is the use of deception to manipulate individuals into disclosing confidential or personal information that may be used for fraudulent purposes. It refers to the methods cybercriminals use to get victims to take some sort of questionable action (defying common sense), often involving a breach of security, the sending of money, or giving up private information. “If cybercriminals use malware and viruses to hack our computers, then social engineering is how they hack our minds.” There are dozens of stories about successful social engineering attacks, and a significant threat to businesses. Although social engineering attacks are not technically cybercrime by themselves, most cyberattacks involve social engineering tactics. While a business may spend money on firewalls, cameras, locks, and other security systems, it cannot ignore the human element. Without addressing the human component of the security system, a business may be at significant risk of cybercrime. Businesses of all sizes are affected. Previously, it used to be that only larger businesses had to deal with cyber-crime, but this is no longer the case. Small businesses are being attacked and at a growing rate. Social engineering is always part of a larger con, taking advantage of the fact that the perpetrators and their victims never have to meet face to face. The main objective usually involves getting the victims to give up usernames and passwords; install malware on their device; send money via electronic fund transfer, money order, or gift cards; authorize a malicious software plugin, extension, or third-party app; act as a money mule for the purpose of laundering and transferring illicit funds. Examples of social engineering range from phishing attacks where victims are tricked into providing confidential information through fraudulent emails, claiming to be from a reputable and trusted source; vishing attacks where an urgent and official-sounding voice mail convinces victims to act quickly or suffer severe consequences; or physical tailgating attacks that rely on trust to gain physical access to a building. Many have suffered some form of social engineering over the period through phone calls, lured to end up transferring

National Cyber Security Awareness Month 2021

funds from their mobile money or bank accounts. The one common thread linking these social engineering techniques is the human element. Cybercriminals know that taking advantage of human emotions is the best way to steal. As companies focus on the technical aspects of cybersecurity, it is time to take a people-centric approach to cyber security awareness. Social engineering happens because of the human instinct of trust. Cybercriminals have learned that a carefully worded email, voicemail, or text message can convince people to transfer money, provide confidential information, or download a file that installs malware on the company network. Since 2020, the number of scams, threats, and malware campaigns taking advantage of public concern over the coronavirus has been increasing. There are many instances of phishing campaigns that impersonate organizations such as the World Health Organization (WHO) and promise the latest on "corona-virus." The incorrect use of a hyphen in “coronavirus” in the subject line should alert users with a critical eye for grammar. However, since WHO is often touted as a trustworthy resource, many will be tempted to open such emails. In such a campaign, for instance, threat actors use the fake e-book as a lure, claiming the "My Health E-book" includes complete research on the global pandemic, as well as guidance on how to protect children and businesses. The criminals behind this scheme try to trick victims into opening the attachment, contained in a zip file, by offering appealing content within the body of the email. The email content tells readers they can

download and access the e-book from Windows computers only. As soon as they execute the file inside the “MyHealthEbook.zip” archive, malware will be downloaded onto their computers–this act successfully steals information. Businesses need to understand the risk posed by social engineering attacks. Business email compromise (BEC) can expose an organization to ransomware, email spoofing, and related threats, as mentioned in the above paragraph. It is important therefore that, C-level employees and executives get to understand the nature and extent of such risks to their businesses, and need to be more vigilant than regular employees, as executives are valuable targets since their accounts are more likely to hold sensitive information. In most cases of BEC, cybercriminals would find critical/confidential data inside the emails of C-level victims. C-level employees and executives are not regular employees; they are the most prominent employees, and they are supposed to be the most protected individuals in the company. They may need more reminders to lead the cyber security initiatives by example and not to be the exception. However, executives sometimes take security shortcuts, putting themselves (and their organizations) at risk. They are more likely to change technology and more likely to insist on breaking the rules. Hence, they require in-depth strategy, training, and education about these risks, essential for preventing these attacks. Besides training employees to be on the lookout for social engineering attacks, organizations

should also require multi-factor authentication (MFA) in case an attacker gets their hands on a password. Complementing that with technical controls, implementing things like MFA on email prevents or restricts attackers from authenticating if they get credentials. To protect against social engineering attacks requires a focus on changing behavior. When company employees understand how easy it is to be tricked or scammed by a social engineering attack, they are more likely to be vigilant and suspicious of emails, voicemails, texts, or other cyberattack approaches. Executives and boards understand business risk. Cyber threats that operate through social engineering can be considered as matters of personal risk. However, they represent a clear business risk, and often the business risks that an organization's leaders are wellpositioned to manage. Framing the risk of social engineering as a business risk is an important first step in managing that risk. While the threat actors are improving on the campaign’s sophistication by building reputable-sounding content within the body of the email, cybersecurity awareness training for executives and businesses will help avoid falling for targeted social engineering attacks, and actively monitoring emails to flag threats and making sure other users are protected are equally important control measures. Author: Richard Kafui Amanfu– (Director of Operations, Institute of ICT Professionals, Ghana) For comments, contact richard. amanfu@iipgh.org or Mobile: +233244357006

News

MONDAY OCTOBER 25, 2021

President launches ‘Clean Your Frontage’ campaign

n initiative by the Greater Accra Regional Coordinating Council (GARCC), “Clean Your Frontage,” has been launched with the aim to ensure that all households and organisations clean and beautify their frontages to complement the government’s vision of making Accra the cleanest city in Africa. The initiative will also see to the training of some 3,000 civilians under the City Responses Team,” and will be mandated to enforce the bye-law to govern the initiative. Waste management company, Zoomlion Ghana Limited, has been contracted to create refuse collection points in all the twentynine (29) Metropolitan, Municipal and District Assemblies (MMDAs) in the Greater Accra Region. Launching the Clean Your Frontage campaign at the Independence Square on Friday, President Nana Addo Dankwa Akufo-Addo was upbeat the initiative will change the mindset of Ghanaians towards the environment. “This campaign is a good step in achieving the vision of making Accra the cleanest city in Africa,” he said. However, he noted that over the years, the challenges with sanitation had had to do with logistics, enforcement of bye-laws and attitudes of the citizenry.

The President commended stakeholders in the sanitation sector, especially the collaborating ministries, various political parties as well as the Greater Accra Parliamentary Select Committee and the contribution of Zoomlion. He reiterated: “I will do my possible best to make Accra the cleanest city in Africa.” While describing the “Clean Your Frontage” initiative as very laudable, the Executive Chairman of Jospong Group of Companies ( JGC), Dr Joseph Siaw Agyepong, pledged the support of all private sector waste management players to the success of the project. He assured further that they will continue to offer their support to the Greater Accra regional minister in his efforts to make Accra the cleanest city.

He said this initiative will make Ghanaians more responsible in ensuring that their immediate surroundings were always clean. This, he said, will also offer service providers more space to take care of domestic waste collection at public places and street cleaning. According to Dr Siaw Agyepong, since the inception of Zoomlion, a subsidiary of JGC, in 2006, it has made tireless effort to help improve the country’s sanitation. However, he pointed out that after several years of his company’s operations in the sanitation space, negative attitudes of citizens towards the environment and the lack enforcing sanitation bye-laws were two key challenges inhibiting a sustainable clean and healthy environment. “It is therefore very

heartwarming that upon assumption of office, the Greater Accra Regional Minster, Henry Quartey, launched the "Accra Must Work Campaign” and the "Clean Accra Project, by the immediate past Mayor of Accra and his colleagues to make Accra Clean. Zoomlion, he said, was also making relevant contribution to support the regional’s minister’s quest to make Accra one of the cleanest capitals in Africa, “as well as the nation Ghana as a whole.” In this regard, he said, Zoomlion has been releasing logistics and equipment to support the Accra Must Work campaign to achieve maximum impact aside from the already deployed logistics for its regular operations. In addition to providing personnel, Zoomlion is providing about 85 compactors and 1,000 tricycles to support the campaign, the executive chairman of JGC stated. “It will interest you to know that the company has come out with a new tricycle model and system of operation that will unionise and assist the informal waste collection sector to contribute to the waste management processes in a more formal and organised manner to improve waste collection in slums and poorly planned areas,” he disclosed.

UNDP to support shea butter producers with GH¢1m

he United Nations Development Programme (UNDP) has pledged an additional GH¢ to some women shea butter producers in the Kumbungu District to acquire more machinery to make their operations easier. Ms. Ahunna Eziakonwa, UNDP Assistant Administrator and Director, Regional Bureau for Africa, who made the commitment, observed that it was tedious using bare hands in most stages of shea butter production, hence the commitment to support the women to acquire more machinery to make things easier for them. She made the commitment after touring the production site of the Women in Certified Shea Butter Production Value Chain at Gumo in the Kumbungu District of the Northern Region, to learn about the steps involved in the shea production value chain and the role of women in the shea production value chain.

The Women in Certified Shea Butter Production Value Chain at Gumo in the Kumbungu District of the Northern Region, led by Ripples Ghana, a civil society organisation, were supported by the UNDP to acquire Organic and Fairtrade Certification to export their shea butter under a project dubbed: “Women in Fair Trade Certification and Sustainable Shea Butter Production.” The project, implemented from 2019 to 2021, sought to provide women with technical training in sustainable shea butter production to help them earn a living and provide for their families, while providing a product that met international quality standards. Currently, there are 244 women involved in the processing of shea butter and 3,000 others are involved in the collection of nuts, and they have been able to increase their income by 120 to 200 per cent. Through the project, the

women are now able to export shea butter to Saudi Arabia, Germany, Canada, and the United Kingdom, and with Fairtrade Certification, the focus is now on the United States and European markets, which constitute about 80% of the market. Ms. Eziakonwa said “One observation I made during my tour was how you have combined tradition with appropriate technology in the shea business. You are promoting inclusive and sustainable economic growth for

rural economies. That is the best way for Africa to achieve decent work.” Alhaji Shani Alhassan Saibu, Northern Regional Minister, lauded the UNDP’s support for the women saying, there was need to build on it to break the cycle of poverty in the region. He also commended the UNDP on its pledge to commit additional funds to the project, saying it would further improve the capacity of the women to do more to increase their incomes.

News

MONDAY OCTOBER 25, 2021

‘Confidence gap’ holding back affluent consumers from meeting their goals

tandard Chartered’s latest survey into affluent consumers in 12 markets revealed that 82 per cent of them have reset their life goals following the pandemic. At the same time, for 42 per cent of the respondents, COVID-19 has diminished their confidence in their finances, preventing them from taking the actions necessary to achieve their new goals. The survey, which covered the wealth spectrum from the emerging affluent to high net worth (HNW) consumers, shows that COVID-19 has prompted the affluent to become more futurefocused, with reset priorities. The top three goals uncovered were improving personal health (44 per cent), setting aside more money for their children’s futures (39 per cent) and ensuring a more comfortable retirement (38 per cent). To meet these new goals, the affluent need new strategies to grow their wealth, which often involves more proactive investment rather than just saving cash. However, their current ‘confidence gap’ has made many increasingly averse to risk, potentially stopping them from putting their money to work through investing or making use of digital tools that simplify wealth management. Overall, almost all the affluent

who had set new goals see at least one factor holding them back from achieving them. These are largely driven by a lack of confidence: for more than a third it’s market volatility (34 per cent) and for almost as many, the fear of poor returns (29 per cent). The ‘confidence gap’ is greater for the emerging affluent The emerging affluent have disproportionately suffered a loss of confidence, with almost half (47 per cent) reporting less confidence compared with 30 per cent of HNW individuals. That means those lower down the wealth spectrum, still establishing their finances, stand to lose out more if they do not get support to

rebuild their confidence. Retirement is at risk A late start to retirement planning, combined with the pandemic-induced confidence gap, leaves a significant proportion of affluent consumers at risk of a shortfall for their retirement. The survey found that 35 per cent of respondents who are not yet retired have not started saving for retirement – yet almost two-fifths (38 per cent) of them anticipate depending on investment income in retirement, suggesting a significant gap between current actions and future expectations. The affluent can benefit from a more proactive approach

Almost all (94 per cent) of investors who had tried more than five new investments or investment strategies reported being happy with their finances. Whether it is diversifying into new asset classes, rebalancing their portfolios, or exploring sustainable investing, the survey revealed that more hands-on investors are happier with their finances. Marc Van de Walle, Global Head of Wealth Management, Standard Chartered, said: “Saving in cash will not cover longer lifespans and new priorities, so it is essential for the affluent to invest for the long term. They need to take charge of their finances and build diversified investment portfolios to meet their new goals, including a comfortable and timely retirement. If they do not act now, they may stand to miss out.” He added: “Affluent consumers across the wealth spectrum can benefit from professional advice to help them manage their finances. We hope this report raises awareness to the risks posed by the confidence gap and are committed to help by offering personalised advice and convenient digital access to the wealth management solutions most suited to their goals.”

EBID board approves over US$68m funding for regional projects

he Board of Directors of the ECOWAS Bank for Investment and Development (EBID) has approved US$68million for the funding of public and private sector projects. The bank in a statement said the approval was given during its 75th meeting held in Lomé, Togo. The President and Chairman of the Board of Directors of EBID, Dr. George Agyekum Donkor, reiterated that the funding, which further heightens the bank’s commitment to achieve the objectives of its strategy 2021-2025, would address infrastructure gaps in key sectors such as health, industry, agribusiness and trade in four member states of ECOWAS. The beneficiary countries are Togo, Cote D’ivoirie, Ghana and Senegal. Among the projects approved

was the construction of a 60bed specialised state of the art medical referral facility valued at US$12.2million at Camp General Gnassingbe Eyadema in Togo. This will ensure world-class healthcare delivery and access to quality health care services in addition to the creation of an estimated 435 jobs among other benefits. In Issia, Côte d'Ivoire, the board approved the construction of a semi-industrial processing plant (crushing plant and washing line) to the tune of US$8.3million, which is intended to exploit and add value to the Coltan mining potential. There was a further approval of two lines of credit to the Universal Merchant Bank Limited (UMB) based in Accra, Ghana, for the sum of US$30 million and "Banque Nationale pour le Développement Economique (BNDE)" in the

Republic of Senegal, for the sum of US$17.6million. The approved credit lines will provide the respective Banks with stable resources to improve the coverage rate of their long and medium-term commitments with specific reference to SMEs/SMIs and effectively enhance their intervention capacities. The focus will be the funding of activities related to the development and promotion of SMEs/SMIs through the provision of financing for processing

and industrialisation in the agribusiness, health, services, and infrastructure sectors. The board also gave approval for a twenty-million-united states dollar (US$20,000,000.00) line of credit, which will be made available to companies in the ECOWAS sub-region to source goods and services from the United Arab Emirates (UAE) or UAE related companies to boost commence and trade.

MONDAY OCTOBER 25, 2021

Opinion/ Analysis

MONDAY OCTOBER 25, 2021

The revenge of supply By John H. Cochrane, a senior fellow at the Hoover Institution

urging inflation, skyrocketing energy prices, production bottlenecks, shortages, plumbers who won’t return your calls – economic orthodoxy has just run smack into a wall of reality called “supply.” Demand matters too, of course. If people wanted to buy half as much as they do, today’s bottlenecks and shortages would not be happening. But the US Federal Reserve and Treasury have printed trillions of new dollars and sent checks to just about every American. Inflation should not have been terribly hard to foresee; and yet it has caught the Fed completely by surprise. The Fed’s excuse is that the supply shocks are transient symptoms of pent-up demand. But the Fed’s job is – or at least should be – to calibrate how much supply the economy can offer, and then adjust demand to that level and no more. Being surprised by a supply issue is like the Army being surprised by an invasion. The current crunch should change ideas. Renewed respect may come to the real-businesscycle school, which focuses precisely on supply constraints and warns against death by a thousand cuts from supply inefficiencies. Arthur Laffer, whose eponymous curve announced that lower marginal tax rates stimulate growth, ought to be chuckling at the recordbreaking revenues that corporate taxes are bringing in this year. Equally, one hopes that we will hear no more from Modern Monetary Theory, whose proponents advocate that the government print money and send it to people. They proclaimed that inflation would not follow, because, as Stephanie Kelton puts it in The Deficit Myth, “there is always slack” in our economy. It is hard to ask for a clearer test. But the US shouldn’t be in a supply crunch. Real (inflationadjusted) per capita US GDP just barely passed its pre-pandemic level this last quarter, and overall employment is still five million below its previous peak. Why is the supply capacity of the US economy so low? Evidently, there is a lot of sand in the gears. Consequently, the economicpolicy task has been upended – or, rather, reoriented to where

it should have been all along: focused on reducing supply-side inefficiencies. One underlying problem today is the intersection of labor shortages and Americans who are not even looking for jobs. Although there are more than ten million listed job openings – three million more than the prepandemic peak – only six million people are looking for work. All told, the number of people working or looking for work has fallen by three million, from a steady 63% of the working-age population to just 61.6%. We know two things about human behavior: First, if people have more money, they work less. Lottery winners tend to quit their jobs. Second, if the rewards of working are greater, people work more. Our current policies offer a double whammy: more money, but much of it will be taken away if one works. Last summer, it became clear to everyone that people receiving more benefits while unemployed than they would earn from working would not return to the labor market. That problem remains with us and is getting worse. Remember when commentators warned a few years ago that we would need to send basic-income checks to truck drivers whose jobs would soon be eliminated by artificial intelligence? Well, we started sending people checks, and now we are surprised to find that there is a truck driver shortage. Practically every policy on the current agenda compounds this disincentive, adding to the supply constraints. Consider childcare as one tiny example among thousands. Childcare costs have been proclaimed the latest “crisis,” and the “Build

Back Better” bill proposes a new open-ended entitlement. Yes, entitlement: “every family who applies for assistance … shall be offered child care assistance” no matter the cost. The bill explodes costs and disincentives. It stipulates that childcare workers must be paid at least as much as elementary school teachers ($63,930), rather than the current average ($25,510). Providers must be licensed. Families pay a fixed and rising fraction of family income. If families earn more money, benefits are reduced. If a couple marries, they pay a higher rate, based on combined income. With payments proclaimed as a fraction of income and the government picking up the rest, either prices will explode or price controls must swiftly follow. Adding to the absurdity, the proposed legislation requires states to implement a “tiered system” of “quality,” but grants everyone the right to a top-tier placement. And this is just one tiny element of a huge bill. Or consider climate policy, which is heading for a rude awakening this winter. This, too, was foreseeable. The current policy focus is on killing off fossil-fuel supply before reliable alternatives are ready at scale. Quiz: If you reduce supply, do prices go up or go down? Europeans facing surging energy prices this fall have just found out. In the United States, policymakers have devised a “whole-of-government” approach to strangle fossil fuels, while repeating the mantra that “climate risk” is threatening fossil-fuel companies with bankruptcy due to low prices. We shall see if the facts shame

anyone here. Pleading for OPEC and Russia to open the spigots that we have closed will only go so far. Last week, the International Energy Agency declared that current climate pledges will “create” 13 million new jobs, and that this figure would double in a “Net-Zero Scenario.” But we’re in a labor shortage. If you can’t hire truckers to unload ships, where are these 13 million new workers going to come from, and who is going to do the jobs that they were previously doing? Sooner or later, we have to realize it’s not 1933 anymore, and using more workers to provide the same energy is a cost, not a benefit. It is time to unlock the supply shackles that our governments have created. Government policy prevents people from building more housing. Occupational licenses reduce supply. Labor legislation reduces supply and opportunity, for example, laws requiring that Uber drivers be categorized as employees rather than independent contractors. The infrastructure problem is not money, it is that law and regulation have made infrastructure absurdly expensive, if it can be built at all. Subways now cost more than a billion dollars per mile. Contracting rules, mandates to pay union wages, “buy American” provisions, and suits filed under environmental pretexts gum up the works and reduce supply. We bemoan a labor shortage, yet thousands of would-be immigrants are desperate to come to our shores to work, pay taxes, and get our economy going. A supply crunch with inflation is a great wake-up call. Supply, and efficiency, must now top our economic-policy priorities.

MONDAY OCTOBER 25, 2021

Feature

MONDAY OCTOBER 25, 2021

A new vision for global cooperation

By María Fernanda Espinosa, Danilo Türk

he world faces a range of serious threats – from exclusionary nationalism to great-power competition to growing inequality – that are preventing the international community from working together to solve other complex challenges, such as the distribution of COVID-19 vaccines and the accelerating pace of climate change. But global crises require global solutions, and with his highly anticipated report, Our Common Agenda, UN Secretary-General António Guterres has outlined a new vision for multilateral cooperation. Written in response to the commitments endorsed at last year’s 75th UN General Assembly, Our Common Agenda is a clarion call for better and more inclusive global governance – the kind needed to build a greener, more equitable, and more secure future. Unusual in length, substance, and scope for a UN report, it offers a set of promising ideas for a bold, yet pragmatic, strategy for transformation. Guterres’s recommendations place a premium on accelerating the implementation of existing international agreements, beginning with the 2015 Paris climate agreement and the 2030 Agenda for Sustainable Development. Beyond these important initiatives to protect our global commons, establishing a new forum for managing them

has become a moral and practical imperative. Guterres breaks new ground here by calling for the all-but-defunct UN Trusteeship Council to be repurposed to oversee the governance of the ocean, atmosphere, and outer space. This revitalized body also would be responsible for improving the delivery of public goods and responding to global threats. Moreover, Guterres has endorsed Club de Madrid’s proposal for a World Social Summit in 2025 to examine the causes of rising poverty, take stock of the developments that have contributed to income disparity, and encourage policies needed to ensure a more equitable society. The discussions at the summit should build momentum for the full implementation of the Sustainable Development Goals and ensure that post-COVID economic development is broadbased and green. A new global social contract to address poverty, growing inequality, and the worsening climate crisis will require the involvement of civil society, and Guterres is right to emphasize its role in achieving greater international solidarity. He also notes the need to support the growing contribution of citizens to collective action within and across borders. It is encouraging that Our Common Agenda proposes dedicated civil-society focal points within all UN entities. But more is needed. Two recent civil-society initiatives – We The Peoples Call for Inclusive Global

Governance and Together First – proposed a senior-level UN Civil Society Envoy, reporting directly to Guterres. Such a position would ensure harmonization, high-level reporting, and even greater system-wide access for civil-society organizations in UN decision-making and programming. Realizing Guterres’s ambitious agenda for more inclusive, networked, and effective multilateralism requires an orchestrated strategy. The goal must be to rebuild and enhance citizens’ confidence in their common institutions, so that the global system can act more effectively on the major issues confronting the international community. Guterres’s initiative to convene a Summit of the Future at the start of the 78th General Assembly in September 2023 is a good start toward upgrading the global-governance architecture. As part of the preparations for the summit, we support the secretary-general’s call for a high-level advisory board led by former heads of state or government. The goal of this body would be to identify the global public goods most in need of governance improvements. The advisory board would also bring a balanced political perspective to the preparations. At the same time, consultations leading up to the summit could help refine Guterres’s proposals on an Agenda for Peace, a Global Digital Compact, a Declaration on Future Generations, and a

new Emergency Platform for convening key actors worldwide to respond to complex crises. Each of these – as well as the related, far-reaching globalgovernance innovation proposals that we have been supporting – merit serious consideration by UN member states and together form the basis for an ambitious, two-year multi-stakeholder undertaking, culminating in the 2023 summit. We urge world leaders to pay attention to the secretarygeneral’s vision for the future and the related recommendation of 50 former government ministers and senior UN officials for “a dedicated intergovernmental process” to “strengthen and reform the legal and institutional machinery of the UN system.” By mobilizing diverse actors worldwide – including policymakers, activists, academics, and businesspeople – the international community can ensure that the mandate to collectively shape “the future we want” adopted at last year’s General Assembly becomes a reality. María Fernanda Espinosa, a former president of the UN General Assembly, is Co-Chair of the Coalition for the UN We Need steering committee. Danilo Türk, a former president of Slovenia, is President of the Club de Madrid, an organization of more than a hundred former democratically elected presidents and prime ministers.

MONDAY OCTOBER 25, 2021

African Business

MONDAY OCTOBER 25, 2021

Africa must close science and technology gap to take full advantage of the AfCFTA says Ameenah Gurib-Fakim

rofessor Ameenah Gurib-Fakim, the former President of Mauritius and Laureate of the 2007 L’OréalUNESCO Prize for Women in Science, delivered a trenchant address at the African ExportImport Bank’s (Afreximbank) fifth annual Babacar Ndiaye Lecture on “the importance of science, technology and innovation in the transformation of African economies”. She called on African leaders to close the region’s science and technology gap to take full advantage of the African Continental Free Trade Area (AfCFTA). Professor Gurib-Fakim, delivered the keynote speech at the Bank’s annual flagship event and laid bare a raft of statistics that showed that Africa is falling well behind the rest of the world in science, technology, and innovation (STI). Only 0.1% of all patent applications are registered in Africa, compared to 65% in Asia and 25% in North America. Africa is also responsible for only 2% of the world’s research output and 1% of research spending. Furthermore, the laggards in Africa have 11 researchers per million people whilst the best performing countries in the world, such as South Korea and Denmark had between 7,0008,000 scientists and researchers per million people. “How can a continent with the largest share of arable land, a continent with the youngest population, a continent that has fueled all of the world’s industrial revolution, a continent that has helped drive the mobile phone industry, a continent that is at the cusp of supporting the world’s energy transition to greener technology with a large store of rare earth deposits accept such dismal statistics?” she asked. She blamed “chronic neglect”, the statistics demonstrating that the chronic deficit of researchers and scientists has undoubtedly contributed to the poverty trap that the continent finds itself in. “The deficit of investment in science and technology and absence of economic and scientific infrastructure has undermined the process of economic transformation both at the structural level and at the sectoral level. The consequences of that deficit have been significant and include continued reliance on the colonial model of resource extraction largely responsible for the debilitating poverty trap and

aid dependence trap.” The former President remarked that Africa’s failure to advance in science and technology has been compounded by the fragmentation of its markets. She praised the establishment of AfCFTA for overcoming this hurdle and creating the largest single market in the world by membership. However, the economic transformation anticipated by the free-trade market hinges on Africa “closing its scientific and technological gap with the rest of the world” and “sustainably producing the right set of skills to expand both extra and intra African trade.” This will require collaboration and partnerships to create the right conditions to develop centres of excellence on the continent. Academia, governments and the private sector, she argued, would have to collaborate much more closely to ensure the funding is provided and that the conditions for science to thrive are put in place. In this regard, she praised the leadership role played by Afreximbank in the medical field where the Bank is supporting the growth of pharmaceutical industries and establishment of medical center of excellence. Professor Gurib-Fakim reminded the audience that the increasing role of technology that was permeating all sectors and industries and driving growth was irreversible. She praised Africa’s successes in certain areas like mobile money, giving the example of M-Pesa which has been adopted in the rest of Africa after being created in Kenya. She equally praised Afreximbank’s Pan-African Payment and Settlement System (PAPSS) which is set to facilitate payments for cross-border trade

in African currencies and assuage the liquidity constraints. One of the major challenges, she said, is the continued brain drain of Africa’s brightest and best scientific minds. The former President encouraged the private and public sector to invest much more in education and research and development. “Every young African has the potential to be a great scientist, to innovate and become globally competitive,” she said. Professor Benedict Oramah, the President and Chairman of the Board of Directors of Afreximbank, introduced the lecture by observing that although Africa gained independence six decades ago it has nonetheless failed to achieve economic emancipation. Professor Oramah said that the failure of Africa to secure Covid19-related equipment such as face masks and ventilators shows that the continent must start manufacturing its own technological goods. The President of the Bank further pointed out that “while the AfCFTA was a necessary condition for the transformation of African economies, it was not a sufficient one, especially in a world where trade has been largely driven by manufactured goods with increasing technological content.” Among the set of constraints undermining the capacity of the AfCFTA to deliver on its full potential none was as critical as closing the region’s scientific and technological gap. He said: “The most competitive countries in the world are also the ones leading in ICT, innovation, scientific research and development. Africa cannot be kept at the back of the queue.” He also stressed the need to foster the collaboration between research and industry to

further enhance the growth and development impact of scientific discovery across the region. The President of the Bank remarked that Africa once boasted some of the most wealthy and industrious city-states and kingdoms – something that has been forgotten by the rest of the world. He quoted the Portuguese explorer Pedro Alvares Cabral who in the 1500s landed on the coast of Tanzania and found a land full of rich merchants. He also referenced Lourenco Pinto, a Portuguese merchant, who noted that the capital city of the Kingdom of Benin, in modern day Nigeria, was larger than Lisbon and both industrious and wealthy. Professor Sarah Anyang Agbor, Commissioner of Human Resources, Science and Technology at the African Union Commission (AUC), spoke about continental plans to boost science and technology in Africa. The AUC has set in place its Science, Technology, and Innovation Strategy for Africa 2024 (STISA-2024) that aims to promote the building and upgrading of research institutions, amongst other things. The plan fits within the African Union’s (AU) Agenda 2063, she said. Dr Hippolyte Fofack, Afreximbank’s Chief Economist, wrapped up the event by echoing Professor Oramah’s statements that “Africa was the epicentre of and the birthplace of astronomy and mathematics”. He referenced the Dogon community in Mali who for centuries has been fully aware of an invisible star, Sirius B, long before it was discovered by Western astronomers in 1970. “Africa’s current scientific and technological gap with the rest of the world was a historical anomaly”, he added.

Markets

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MONDAY MAY 3, 2021

MONDAY OCTOBER 25, 2021

Young people call for more conducive and inclusive prosperity of Africa

he 2021 Youth Connekt Summit closed with a resounding call to ensure that, formulation and implementation of policies are more inclusive and representative of Africa’s largest population – young people. Eminent panelists, including youth leaders from various sectors across the continent, pointed out that for Africa to emerge stronger from the COVID-19 crisis and leapfrog its socio-economic trajectory, policies that support the emerging opportunities through the AfCFTA must be reflective of the needs and contexts of young people. Alhaji Dr. Mahamudu Bawumia, Vice President of Ghana, acknowledged the role of young people and their contribution towards building stronger African economies, he noted “within the continent, there is much to offer, and African youth are an inspiration as demonstrated through the illustrious stories of impact experienced by their communities. The AfCFTA presents enormous opportunities, it is your knowledge, creativity that will contribute significantly to its realization.” The youth challenged African

leaders to move beyond commitments to implementation in a deliberate way that natures the potential of young people, enabling them to harness their creativity, innovation, and unique entrepreneurship spirit, for the continent's prosperity. Ms Ahunna Eziakonwa, Assistant Secretary-General, Assistant Administrator and Director of the Regional Bureau for Africa (UNDP), expressed confidence that the One African Market will transform the continent and break those vicious cycles of poverty that it will take collaborating young people to succeed. “Through our collective

resolve to move the continent to a place of empowered lives – for people and nations, we can truly commence a journey that manifests an Africa Beyond Aid. The Youth Connekt Africa 2021 Summit reminded us that it is possible to change the reality and destiny of this vibrant continent – through engaging with each other in a new way," she added. Participants at the 2021 Summit further called for the streamlining regulations that can support the free movement of goods and people, potentially turning trade barriers faced by young people into accelerators of favourable market conditions. In addition, governments,

development partners and the private sector were urged to create opportunities to educate young people on how the Free Trade Area works and prepare them to leverage the benefits of AfCFTA. “We have the most committed, agile generation and this is a major asset to the transformation of our continent. Our youth are a driving force and with concerted efforts of the private sector, civil society, development partners, state agencies, Africa will thrive with the youth taking lead", noted Rosemary Mbabazi, Minister of Youth and Culture and Chairperson of YouthConnekt Africa.

Bliss GVS Pharma continues its initiative in the fight against malaria in Ghana

liss GVS Pharma, a global pharmaceutical company providing quality medicines, in their quest of making medicines easily accessible to the people of Ghana has continued its donation of antimalarial and other essential medicines in Accra, to help enhance their fight against the disease in the country. Today Bliss GVS Pharma has donated medicines of One Hundred and Fifty Thousand Ghana Cedis to the 37 military hospital and the Police hospital in Accra. The Institutional Manager of Bliss GVS Pharma Ghana, Mr. Joshua Affram, presented the medicines to the Commander of the 37 Military Hospital, Brigadier General Adja Obodai, while at the Police Hospital, they were

received by the Chief Pharmacist, Assistant Commissioner of Police (ACP) Ellen Sam. The commander of the 37 military hospital, Brigadier General Adja Obodai said, the hospital is appreciative of the efforts of Bliss GVS Pharma for donating medicines to the facility and has assured that the medicines will be given free of charge to the patients in need. The Chief Pharmacist at the police hospital ACP Ellen Sam said that Malaria constitutes more than 20% of OPD cases. The donated antimalarial medicines especially LONART will be useful in the fight against malaria. He thanked Bliss GVS Pharma for their initiative. Mr. Henry Safori from MOH, Ms. Frederica from Ghana Health

Services and Mr. Harry Okyere from PSGH were present for this program. They appreciated the initiative of Bliss GVS pharma in eradicating malaria in Ghana through their campaign “ACT FOR AFRICA-MALARIA FREE CONTINENT” The medicines donation came on the back of similar supports extended to the Korle Bu Teaching and RIDGE hospital in April this year on World Malaria Day. The Institutional Manager of Bliss GVS Pharma Ghana, Mr. Joshua Affram, said the company aimed to help eradicate malaria in Ghana and Africa as a whole. He explained that the support formed part of the company’s commitment to help resource health facilities with antimalarial and other essentials to rid Ghana

of the disease. He bemoaned the deadly nature of malaria called for increased efforts to help rid from the country, especially among children and women. Africa since decades is struggling to fight the battle of Malaria. Data shows that malaria cases and deaths in the country account for two per cent and three per cent of the global cases, making Ghana one of the 15 countries in the world with the highest malaria burdens.