Business24 Newspaper 17th February, 2021 by Business24 Online

WEDNESDAY FEBRUARY 17, 2021

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NO. B24 / 160 | NEWS FOR BUSINESS LEADERS

WEDNESDAY FEBRUARY 17, 2021

Gov’t to consider new financing model for urban roads—Amoako-Attah

Power sector may collapse over debt, warns ministerdesignate By Benson AFFUL affulbenson@gmail.com

nergy Minister-designate Dr. Matthew Opoku Prempeh has warned that the energy sector might collapse if reforms are not agreed upon between the government and independent power producers (IPPs) to help reduce the sector’s indebtedness. Cont’d on page 3

New WTO boss calls for wideranging reforms

Ngozi Okonjo-Iweala is the first female and first African to head the global trade regulatory body.

By Patrick Paintsil p_paintsil@hotmail.com

By Eugene Davis ugendavis@gmail.com

he Minister-designate for Roads, Kwasi Amoako-Attah, has indicated that government will explore the possibility of having a new financial arrangement with district assemblies to bill the cost of

roads into property rates to ensure the quick construction of inner roads in urban centres. He said if his nomination was approved, he would ensure a national dialogue on whether Ghanaians would welcome such an innovation. His comments were on the back of a suggestion by

ECONOMIC INDICATORS EXCHANGE RATE (INT. RATE)

POLICY RATE

14.5% 14.77%

OVERALL FISCAL DEFICIT

11.4% OF GDP

AVERAGE PETROL & DIESEL PRICE:

4.2% GHC 5.13

ewly appointed DirectorGeneral of the World Trade Organisation (WTO) Ngozi Okonjo-Iweala has called for deep-rooted and wide-ranging reforms that would modernise and match the rules of the global trade regulator to the needs and issues of the 21st century. Cont’d on page 3

Cont’d on page 2 INTERNATIONAL MARKET

US$1 = GHC 5.7606

GHANA REFERENCE RATE PROJECTED GDP GROWTH RATE

a member of Parliament’s Appointments Committee, Mahama Ayariga, for government to consider a financing arrangement for urban roads together with the assemblies in view of funding constraints in the road sector.

BRENT CRUDE $/BARREL NATURAL GAS $/MILLION BTUS GOLD $/TROY OUNCE

CORN $/BUSHEL

$543.75

COCOA $/METRIC TON

$123.55

COFFEE $/POUND:

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Editorial / News

WEDNESDAY FEBRUARY 17, 2021

Editorial

Consensus needed on energy sector debt

ebt from uncompetitive power contracts with independent power producers could collapse the nation’s energy sector with dire implication to every facet of the economy if nothing is done about it. Most of the contracts were signed at a defining moment in the sector when a sustained period of the power crisis nearly brought the economy to its knees and threatened livelihoods. Although the independent power producers served a peculiar need of the time, the cost of the power they produced then and now has become a huge albatross hanging over the sector especially with no immediate need for the excess

power they generate. Government is locked in talks with them to renegotiate their contracts hoping that a successful outcome would ease the burden on both the sector and the public purse. Energy Minister-designate, Mathew Opoku Prempeh said at his vetting in Parliament that the willingness of the IPPs to play ball would inure to the benefit of all stakeholders. Emphatically, he said “if we don’t reform and agree on certain parameters, we [the industry and its players] will collapse”. We do not expect the government and IPPs to force the sector to cross that catastrophic bridge as the consequence will

be too chaotic. Take or pay contracts have led to excess power generation which costs the state over US$500million annually. Government has already doled out over GHS21billion over the last three years of servicing the debt with more yet to be cleared and the IPPs yet contracted to produce power that is not used. Business24 urges consensus in ongoing deliberations between both parties; one that secures the investment of the IPPs and saves cost to national kitty as well. We cannot allow the piling debt to collapse the energy sector, it is the least thing one could ever think of.

Gov’t to consider new financing model for urban roads—Amoako-Attah Continued from cover

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“Estate developers are responsible for the internal roads of their estates, and during their pricing and costing, I believe they take into consideration the cost of road construction. If city authorities take it up, then at the end of the day it would be good for us,” he said during his vetting at Parliament House on Tuesday. “If city authorities send you annual property rates, then the amount is added, then all of us would have voluntarily accepted it. It is something that can be given a trial and taken up going forward.” He said the government has in the last four years embarked on about 55 road projects to improve the country’s poor road network. This translates into about 25,000 kilometres of roads constructed in President Nana Akufo-Addo’s first term. “For the past four years generally, and last year especially, aggressive work was done in the road sector. This is being appreciated and seen

across the country. We have done almost 1,200 kilometres of asphalt overlays. In terms of surface dressing, we have done about 50 to 55 different road projects, which add up to not less than 25,000 kilometres.” Mr. Amoako-Attah however admitted that more development is needed in the sector.

According to him, before his assumption of office in 2017, only 39 percent of the roads in the country were in good shape. He said at the time, 23 percent of the total 80,000 kilometres of roads in Ghana had been paved or seen bitumen, with the remaining 77 percent at gravel or earth stage.

WEDNESDAY FEBRUARY 17, 2021

Power sector may collapse over debt, warns minister-designate Continued from cover Speaking before the Appointments Committee of Parliament on Friday, he said the take-or-pay contracts between the government and IPPs have led to excess power generation, which costs the country over US$500m annually. “Frankly, by 2023, if nothing is done dramatically about the energy debt situation, it would hit US$12.5bn. We can’t produce energy that we can’t take,” he told members of the committee. “We need to sit down with everybody, unbundle everything and expose ourselves to the IPPs, the transmitters, and say, ‘if we don’t reform and agree on certain parameters, we will all collapse.’” Last November, the IPPs threatened to shut down their power plants due to unpaid government liabilities. However, more than half of the debts have now been cleared, according to Elikplim Komla Apetorgbor, head

of the chamber of IPPs. The debt outstanding has fallen to about US$750m, he said. The government says it has been paying for unused power in

the last three years due to excess electricity contracted on a takeor-pay basis with the IPPs. Take-or-pay power generation contracts are common in the

energy industry and oblige the off-taker (government, in this case) to pay for power supplied by the producer irrespective of available demand. Most of the contracts were signed during the previous administration amid a protracted power crisis that the then government was keen to resolve. According to the Ministry of Finance, the tariffs agreed in those agreements were not competitive and have contributed significantly to the build-up of debt and oversupply of power in the energy sector. The payments over the last three years, which were financed with proceeds from loans, have compounded the country’s debt problems, coming on the back of an expensive financial system rescue that has so far cost the state more than GH₵21bn. The government has been holding talks with the IPPs to renegotiate the expensive power purchase contracts, hoping that a successful outcome would ease the debt burden in the sect

New WTO boss calls for wide-ranging reforms Continued from cover Addressing a press conference on Monday, she said the WTO was currently facing some challenges that would require those reforms. She said: “By this, I mean we have to look at the digital economy, which has become so prominent during the pandemic. E-commerce is key, and it’s going to grow in leaps and bounds as we move on. The WTO currently does not have rules that underpin e-commerce, so how to put those rules in place and completing negotiations [on them] will be very important.” Mrs. Okonjo-Iweala also made a strong case for gender mainstreaming in global trade, urging specific action for women and women-led small and medium-sized businesses. “Trade is about people and we have to constantly put that ahead of us. How do we bring those who have been excluded

or marginalised, like women and owners of micro, small and medium enterprises, into the mainstream?” The WTO’s dispute settlement system, according to its new boss, was another area that must be reformed. She said she was going to work with members to tease out the challenges to the system and the reforms they would like to see.

“There have been some proposals in the past that could be built on; I will flesh out the reforms, try to systematise and put them together, get members to agree on them, and once that’s done, we put together a work programme to implement those reforms.” Mrs. Okonjo-Iweala further highlighted the pivotal role of global trade in restoring the

economic and health losses— which she described as the twin shocks—of the coronavirus pandemic. “Trade is important in helping to come out of the global pandemic, both in terms of helping in the freer flow of medical goods and supplies to deal with public health emergencies and also economic revival and sustainability.”

WEDNESDAY FEBRUARY 17, 2021

News

WEDNESDAY FEBRUARY 17, 2021

Silver Star launches new Landtrek, reveals plans for Peugeot plant By Eugene Davis ugendavis@gmail.com

sad Nazir, the Chief Executive Officer of Silver Star Auto, the vehicle dealership, has disclosed that his company in partnership with Peugeot, the French carmaker, will set up an assembly plant in the country this year to serve the ever-growing Ghanaian automobile market. According to him, his company’s goal is to make the Peugeot brand a household name in the country, which the establishment of an assembly plant will support. “We want to be one of the major firms in Ghana and to make Peugeot the old name that it was. The assembly plant will come up very soon this year, hopefully by [the] second quarter,” he told Business24 in an interview during the virtual launch of the all-new Peugeot Landtrek. The establishment of an assembly plant seeks to take advantage of the government’s automotive policy, which aims to

Asad Nazir (in jacket) is hopeful of recording good sales with the Peugeot Landtrek despite the pandemic.

make Ghana an automotive hub in Africa by providing incentives to investors to build assembly plants in the country. Mr. Nazir lauded the policy, saying his company was “looking forward to getting on board”. On the new Peugeot Landtrek, he said the vehicle, which is a pickup, is expected to arrive in the country in a couple of months, adding that the specifications and design have been purposely made for the African terrain. The Landtrek joins other recent

Peugeot releases for the global and, particularly, the African market. Despite the economic problems caused by Covid-19, Mr. Nazir was upbeat that the new Landtrek would enjoy good sales in the months ahead. “Last year was the best year, and we already sold 100 of them. Although the pandemic is giving us challenges, we are still all out to get new customers, so we hope the success story will be there.” The salient features of the

Landtrek include a suspended screen and steering wheel and piano keys dash control buttons similar to the Peugeot 3008 and 5008 SUVs. The Landtrek’s standard load is 1,000kg. The vehicle has a 2L turbocharged engine and offers a six-speed manual or six-speed automatic four-wheel drive (4WD) transmission. It has racked up an impressive 2 million kilometres (1.24m miles) of testing on all types of surface and weather during the development phase.

Esther Cobbah on the Board of International Public Relations Association

he founder of Strategic Communications Africa Limited (Stratcomm Africa), Ghana’s premier total communications agency, Esther Amba Numaba Cobbah, has been voted to the Board of the globally respected International Public Relations Association to serve a two-year term. This follows her previous term

as a co-opted member of the Board between 2019 and 2020. In 2019, the multi-awardwinning Communication Specialist became the first Ghanaian to serve on the board of this prestigious organization. She has also been a judge on the Association’s globally acclaimed Golden World Awards since 2015. Peter Agbeko, a member of

IPRA in Ghana says, “I feel really proud to see a fellow Ghanaian serving on the Board of an Association whose membership is drawn from the world over. Esther will, without a doubt, fly the flag of Ghana high with her exceptional capabilities in communications. Esther says, “it is indeed an honor to have the opportunity to

serve on this Board and to help advance the positive impact that public relations can have in wellbeing globally. I look forward, particularly, to joining hands with other Communications professionals in Africa and globally in helping stimulate development, peace, good health, and well-being on the Continent using communication as a vital tool. I will be challenging the membership with an insistence that Africa matters!” Phillipe Borremaus, President of IPRA says, “We are delighted to have Esther voted on to the Board after her service as a coopted member. We will continue to be enriched and inspired by her impressive contributions to our work. At IPRA, our global reach is something we celebrate. We aim to use this to be of benefit to the countries from which our membership is derived and to the world at large. We know that ethical, open, and trustworthy communications can save and improve lives, bring peace and break down walls of ignorance, especially during this period of the Covid-19 pandemic.”

WEDNESDAY FEBRUARY 17, 2021

Feature

WEDNESDAY FEBRUARY 17, 2021

The hypercar maker who was told to give up his dream

ate Rimac runs an electric car company that sells some of the most exotic machines on the planet - but it all started out with a decidedly unexotic old banger. Using parts from a forklift truck truck he converted an elderly BMW saloon - dubbed the Green Monster - into a testbed for the electric technology he was developing. The converted BMW then went on to compete in motorsport events - and win against conventionally-powered machines. For a time it was the world’s fastest electric vehicle. Two years later in 2009 he set up his company. “I wanted to build a car, that’s all I wanted to do,” he says. It’s fair to say that Mr Rimac is not your average motor industry executive The bearded, sharply dressed 33-year-old might fit in better among the start-up glitterati of Silicon Valley. In fact, he regularly attracts comparisons with Tesla’s Elon Musk. However, he has turned his back on California in favour of his native Croatia. His company Rimac Automobili is based in Sveta Nedelja, a small town outside the capital Zagreb. Yet the technology and knowhow developed there is rapidly finding favour with established manufacturers. Rimac Automobili is best known for building ultra-exclusive electric hypercars. The Concept One, first unveiled in 2011, had a top speed of 354km/h (220mph). Only eight were ever made - and one was famously destroyed when the TV presenter Richard Hammond

careered off the road during a competition in Switzerland. Its successor the C_Two is even more extreme with a claimed top speed of 415km/h (258mph); able to accelerate from 0-97km/h (60mph) in 1.85 seconds. Due to go on sale this year, it’s expected to have a price tag of €2m ($2.4m; £1.8m). The cars are by any normal measure extraordinary. But they form only one part of Rimac’s business model. Increasingly the company is setting itself up as a technology supplier to other manufacturers, to help them build their own high-performance electric cars. “Because we didn’t have the investors on board we had to make revenue from day one,” he explains. “That’s when when we realised people don’t want to invest in a boutique hypercar company, they want to invest in a scaleable business.” By supplying technology and expertise to other manufacturers, he says, he was able to create a source of funding that could sustain itself and grow. One thing Mate Rimac has in common with many of the entrepreneurs of Silicon Valley is that he started out working in his garage. In his case though, rather than developing a website he built his electric Green Monster. The next step was to design a brand new car. But establishing an automotive business in Croatia was to prove a steep challenge. “I couldn’t hire anyone who did anything with cars,” he remembers. “I went to the University of Zagreb and told them I wanted to build a car.

“They told me it wasn’t possible to build a car in Croatia and said ‘the sooner you give up the fewer people will go under with you’.” Nor was he able to tap into the funding networks of Silicon Valley. “I went to Silicon Valley only once to ask for money, to talk with investors,” he says. “They were totally uninterested. This was eight years ago when electric cars were not hot. They were just investing in social media, they didn’t want to touch electric cars. “Today it’s totally the other way round. All of them are investing huge amounts of money into electric cars based on the success of Tesla.” Nevertheless, he did find powerful backing. In early 2018 the German sportscar manufacturer Porsche took a 10% stake, which it later increased to 15.5%. This came at a time when Porsche’s parent company, the Volkswagen Group, had already begun ploughing tens of billions of euros into its own electric car technology. But Porsche, which was developing its own electric sportscar, wanted to tap into Rimac’s specific expertise in designing high-performance battery and drive systems. “He started developing electric vehicles years before we did,” explains Porsche’s deputy chairman and finance director, Lutz Meschke. “Our investment has proven to be the right one. The value of the company has increased many times over since we joined. In addition, [it] has developed very well in terms of technology.”

Two other car companies have also come on board. In May 2019 the Korean manufacturer Hyundai and sister firm Kia together agreed to invest €80m. For their money, they acquired an unspecified stake in Rimac - as well as a technical partnership. It is now working with both companies to help them develop new electric vehicles. According to independent automotive analyst Matthias Schmidt, the way in which governments are trying to phase out conventional petrol and diesel cars presents a big opportunity for the Croatian firm. “Car companies are effectively being forced to develop electric cars,” he explains. “The really big ones like Volkswagen and Stellantis can do it. But the middle-ranking ones just don’t have the funds to do it themselves, so they have little option but to buy the technology from elsewhere.” Meanwhile, David Bailey professor of industrial strategy at Birmingham University, believes the car making business itself could still make money. “Mate Rimac is seen as a real disruptor,” he explains. “His company has come from absolutely no where, their products are really exciting - and they’ve developed a brand round the hypercars.” He believes that brand could now be used to sell electric supercars - machines that can sell for hundreds of thousands of dollars, rather than millions. “The technology is developing so fast, I think there’s a real role for Rimac to play here. “I think that could prove quite lucrative.”

WEDNESDAY FEBRUARY 17, 2021

Feature/News

WEDNESDAY FEBRUARY 17, 2021

How e-Government Services Can Pay Dividends By Ali Al-Sadiq The ability to renew your passport or driver’s license, pay a tax bill, or access government data with the click of a button or swipe of a screen, anytime and anywhere, has grown more important during the COVID-19 pandemic to prevent the spread of the virus. Beyond the obvious efficiency and transparency gains that digital government services provide, “e-government” can actually make an economy more attractive to foreign investors. Recent IMF staff research has linked-for the first timethe accessibility of government information and services online to the volume of foreign direct investment a country receives. For many countries, this positive impact is likely to be stronger as the pandemic pushes governments to provide even more services and information online. A review of foreign direct investment inflows in 178 host countries over a period of roughly 16 years finds that the presence of e-government services appears to stimulate the inflow of foreign direct investment. Specifically, countries that implement and adopt strong information and

Figure 1

communication technologies, regardless of their level of development, are found to attract more inflows compared to countries with weaker internet access. As our chart of the week shows, the positive connection between e-government and foreign direct investment is clear. The findings, at the same time, expose yet another potential point of divergence, namely the

still vast global digital divide and technological disparities between higher and lower income economies. Many people worldwide still do not have access to the internet. According to the 2020 United Nations’ E-Government Development Index about half of the 193 countries covered by the index score below the world average of 0.60, while the average index

score for countries in Africa is almost one-third lower than the index average. Denmark, the Republic of Korea, and Estonia lead the world in providing e-government services and electronic dissemination of information. Still, a number of developing countries such as Bhutan, Bangladesh, and Cambodia have become leaders in the development of e-government infrastructure. Those nations advanced from the middle group of countries in the index to become some of the highest ranked among developing countries in 2020. This research suggests that countries should focus on the development of e-government services as part of their strategy for attracting more foreign direct investment. But in order to reduce the divide between higher- and lower-income economies and provide digital services to all people, governments need to push for better information and communications technology infrastructure. This is a critical component for effective e-government services. In tandem, governments should work to make the internet accessible, affordable, and secure to all.

GSS organises Census Seminar for Research and Academia

hana Statistical Service organised a census seminar for stakeholders from research and academia on 11th February 2021. The theme for the seminar was: “Modernisation of data generation systems to increase data quality, timeliness and utilisation for decisionmaking: The Case of Ghana 2021 PHC,” This seminar is a key part of the results advocacy strategy for the 2021 PHC. The aim of the results advocacy strategy is to engage with data users before data collection and not after data analyses as is usually the norm. The Census Seminar with research and academia is the first of several planned engagements of the census data producers with data users ahead of the data collection. The mandate of the Ghana Statistical Service as the National Statistical Office is to produce relevant, quality, and timely data for the National Statistical System. To produce relevant data, it is important that the users of the data have the chance to share their views on what they want

from the data. The census is estimated to produce over 2 million disaggregated indicators to be used in more than 100 ways to solve the nation’s development challenges. The seminar featured presentations in the following three thematic sessions: use of geospatial resources and techniques to improve census and survey data collection, analysis, and dissemination; use of technology to transform census data analysis; and use of innovative methodologies to enhance census data dissemination. The presentations highlighted the benefits of conducting the census and the need for all stakeholders to support the conduct of a successful census. The seminar which was chaired by Professor Emerita Takyiwaa Manuh featured an address by the Government Statistician, Professor Samuel Kobina Annim and presentations from the Chair of the National Technical Advisory Committee; UNFPA Chief Technical Advisor to the 2021 PHC and Curriculum

Professor Samuel Kobina Annim, Government Statistician

Reviewers for the 2021 PHC, There was also a walkthrough exhibit that displayed the innovative methodologies and outputs from the 2021 PHC implementation process including the computer assisted personal interviewing software to be used for data capture, products from census mapping work (such as static and interactive maps). The exhibit also featured the

questionnaires to be used for the census and the training manual for field officers that outlines the census methodology and enumeration procedures. There were also key informational materials developed for census publicity, education, and advocacy included the 100 uses of census brochure and copies of the quarterly census newsletter.

WEDNESDAY FEBRUARY 17, 2021

Maritime

WEDNESDAY FEBRUARY 17, 2021

GPHA, Customs dismiss alleged container theft at Tema Port

he Ghana Ports and Harbours Authority (GPHA) and the Customs Division of the Ghana Revenue Authority (GRA) have jointly debunked assertions that laden containers could be stolen at the country’s ports. This follows an assertion by an importer that his container had been stolen at the Tema Port even though he had paid duties twice on the consignment. The said importer told broadcast journalist Kofi Adoma’s Kofi TV in an interview that he was holding the Port Authority culpable for his alleged missing container. Speaking on Eye on Port, the Chief Revenue Officer in Charge of State Warehouse at the Customs Division of the Ghana Revenue Authority, Mr. George Tettey, rejected the claim stating that it is virtually impossible for containers to be stolen at the port under the circumstances described by the importer. According to him, robust and rigorous procedures are deployed at the country’s ports by his outfit in collaboration with key institutions, hence, making it impossible for such an attempt to

Marketing and Public Affairs Manager, Tema Port, Abena Serwaa Opoku-Fosu

be feasible. “We have Customs Preventive presence at that terminal, we have GPHA security presence at that terminal so to say that containers get stolen at the port it is just below belt,” he said. Though he empathised with the importer and many others in similar predicaments, Mr. Tettey said the assertions are a clear indication of the lack of proper understanding of customs processes and regulations.

According to the Marketing and Public Affairs Manager of the Port of Tema, Abena Serwaa Opoku Fosu, the said container of goods was not under the supervision of the GPHA because it was enlisted under the Uncleared Cargo List (UCL) after it was not cleared by the importer within the stipulated time. Section 53 of the Customs Act 891 states that an importer forfeits his/her goods after non-payment of duties within the stipulated

21 days grace period given for general goods and 60 days for vehicles. Such uncleared cargoes are confiscated by the state and they are subsequently auctioned, in most cases, at a cheaper rate for the state to recoup the duties on them. Some of the auction money is allotted to the Port Authority as recompense to make up for rent charges and other terminal fees lost to the uncleared cargo.

Tema Port GPHA senior staff union donate to deprived children in Dawa

he Senior Staff Union of the Ghana Ports and Harbours Authority at the Port of Tema, has donated to the Shekinah Home, an orphanage in Dawa, in the Greater Accra Region. The union donated food items like bags of rice, maize and gari,

toiletries, detergents, sanitizers among others as their token of love to the children’s home in the month of February. The Secretary of the GPHA Senior Staff Union in Tema Port, Benjamin Narh said the donation forms part of their commitment to alleviate poverty and relieve

the distress of the homeless. “This donation is in line with the Millennium Development Goals 1, 2 and 3 which talk about alleviating poverty, zero hunger and good health and wellbeing respectively,” he said. The Chairman of the GPHA Senior Staff Union in Tema, Henry

Kuivi said they are inspired to make such donations as a means of helping create decent livelihoods for the underprivileged in Ghana. “It is our intention to bless the children so that whatever purpose the owner of this orphanage has we support her to achieve that. He called on other corporate entities to emulate such gestures which would go a long way to help alleviate streetism and delinquency among the youth of the country. “I will advise other corporate entities that they should also take up this challenge to locate other orphanage home and extend support to them,” he said. The Chief Executive Officer of the Shekinah Home, Ellen Annan, expressed gratitude for the helping hand lent by the Senior Staff Union of GPHA which would reduce her burden in efforts to give the children quality care. She also affirmed her commitment to ensure such contributions do not go to waste but instead push her outfit to develop these children towards reaching their full potential. “From where we get these children which is the street it’s not an ideal place for any child to be. So, our expectation is for them to come here and grow to reach their full potentials,” she said.

WEDNESDAY FEBRUARY 17, 2021

Technology

WEDNESDAY FEBRUARY 17, 2021

Telecoms Chamber denies claims of revenue under declaration

he Ghana Chamber of Te l e c o m mu n i c a t i o n s Chamber has denied allegations made by Communications Ministerdesignate, Ursula Owusu Ekuful, that mobile telecoms operators are under declaring revenue. Mrs. Owusu-Ekuful responding to a question posed to her on the rationale behind government’s engagement of a third party to conduct revenue assurance among telcos said she has no regrets regarding the contract. “If I have to do it all over again, I would. Earlier I started talking about all the benefits that this country has got from the KelniGvG deal and I didn’t even go through half of it. In addition to the monthly savings that this platform provides, the broad management components have, from the inception date, raked in tax savings of GH¢565.7 million.” “Over the life of the contract,

Derek Laryea

the common platform is expected to deliver tax savings of approximately GH¢800 million.” But the Head of Research and Communications at the Ghana Chamber of Telecommunications,

Derek Laryea disagreed with the Minister arguing that there is no valid basis for the underdeclaration allegation against telecom operators. Speaking to Accra-based Starr

FM, he said: “Last year, we highlighted that we were able to pay taxes in excess of GH¢25 million to government. I heard from the discussion on Monday that even when we buy data with mobile money, we make a profit and that’s not true. We have requested from GRA the findings that some members are underdeclaring revenue. “You want to declare the right kind of revenue because that assures key shareholders and investors. So, there should be no cause to under-declare revenue. We were worried when we heard that our members are engaged in revenue under declaration. We are asking that the findings be shared with us,” he added. The KelniGVG deal, valued at $89 million, was heavily criticised when it was announced because of its similarity with controversial agreements the state entered into with Subah Infosolutions and Afriwave Telcom Ltd in 2010 and 2016 respectively.

Facebook appoints Jane Egerton-Idehen to top Middle East & Africa role

acebook has appointed Jane Egerton-Idehen as its Head of Sales Middle East and Africa effective February 15, 2021. Mrs. Egerton-Idehen, who comes to the role with vast managerial experience spanning companies such as Ericsson, Avanti among others, will be based in Dublin, Ireland. Until her move to Facebook, she served as the Country Manager and Regional Sales Director for Avanti Communications Group where, among other things, she contributed to helping the company achieve its set objectives, maximizing regional contribution through exploiting sales and aggressively but judiciously managing operational costs. Mrs. Egerton-Idehen, who is a telecommunications executive, also spent time in Ghana where she was the Key Account Manager for Ericsson. Commenting on her move in a post on social media, Mrs. Egerton-Idehen said: “I really want to share this good news with you because I know a lot of us have been seriously challenged this past year due to the global pandemic. I hope my story can inspire you to keep dreaming, and aspiring with all the changes happening in the world today. I am looking

forward to an awesome journey working with an amazing team as we build communities and create impact!” Recently she was celebrated as one of Nigeria’s “50 Leading Ladies in Corporate Nigeria”

by Leading Ladies Africa. She has an MBA from the University of Warwick and an Executive Education from Havard Business School. She is also the author of ‘Be Fearless’ which draws from her

over 15 years of experience as a telecommunication executive in West Africa to help women build lasting careers, especially in the male-dominated STEM industries.

WEDNESDAY FEBRUARY 17, 2021

World

WEDNESDAY FEBRUARY 17, 2021

New WTO boss warns against vaccine nationalism

he newly-appointed head of the World Trade Organization (WTO) has told the BBC that vaccine protectionism must be overcome to solve the pandemic. Ngozi Okonjo-Iweala said “a phenomenon where rich countries are vaccinating their populations and poor countries have to wait” must be avoided. In recent weeks, several countries have tried to prevent the export of vaccines made within their borders. But Dr Okonjo-Iweala said protectionism would hinder a global recovery. “The nature of the pandemic and the mutation of many variants makes this such that no one country can feel safe until every country has taken precautions to vaccinate its population,” she said. Vaccine boss Until the end of last year Dr Okonjo-Iweala chaired the global vaccine alliance, GAVI, which aims to increase access to vaccines around the world and she now says the WTO has crucial work to do in this area. There is an ongoing debate about relaxing WTO rules on intellectual property so that

more drug manufacturers can make the jabs. Dr Okonjo-Iweala acknowledged that whilst “some developing countries are asking for waivers, developed countries feel that this might impinge on intellectual property”. But she argues for “a third way, in which we can licence manufacturing to countries so that you can have adequate supplies while still making sure that intellectual property issues are taken care of ”. That is already happening with the Oxford-Astra Zeneca vaccine, which has been licenced to the Serum Institute of India. While the pandemic is the most pressing challenge facing the WTO’s new leader, it is not the only one. The organisation is in a fight for relevance in the eyes of many countries that consider its rules outdated and believe that the organisation itself has been slow to adapt to changes in the global economy. After a selection process which was dragged out by a lack of support from the administration of former US President Donald Trump, Dr Okonjo-Iweala is mindful of what her victory represents. “I’m proud to be the first woman and the first African,”

she said. The reformer However, she is keen to get to work as a reformer, a reputation she earned when she was second in command at the World Bank, and as Nigeria’s Finance Minister, where she won significant reductions in her country’s international debt obligations. She said: “There is an issue of broken trust between members and a lot of work [to be done] to update the rules of the WTO to [meet] 21st century realities.” If the challenges of coronavirus can be tackled, those “small steps, early wins and successes can then help create the trust and allow you to do the bigger reforms”, she said. Among those challenges is an elusive deal on fishing subsidies. “From there, we can go on to reform the dispute settlement system, which is moribund at the moment, but which is needed, because that’s the only place in the world where members can bring trade disputes.” It was brought to a halt by President Trump vetoing the appointment of new judges to the body tasked with solving those disagreements. “From there, we can go on

to update the rules on areas like the digital economy and e-commerce,” she said, adding that she also wanted to change the way women are served by the WTO and how climate change and trade are thought about. US-China trade war The US-China trade war is another area where the WTO has struggled to have an impact, given its lack of enforcement mechanisms. And that is despite a ruling last year that US tariffs were “inconsistent” with international trade rules. Dr Okonjo-Iweala said: “We can be very helpful to both the US and China to help bring them together to solve these problems.” One reason the WTO has struggled to make progress in many areas is because of the insistence that decisions be made by the consensus of all 164 members. When asked if decisions should be taken on a majority, rather than consensus basis, Dr Okonjo-Iweala said: “It should not be such that this manner of decision making gets in the way of welfare enhancing innovations or measures for the membership.”

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WEEKLY MARKET REVIEW FOR WEEK ENDING FEBRUARY 12, 2021