Business24 Newspaper - July 8, 2020 by Business24 Online

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WEDNESDAY JULY 8, 2020

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Large-scale miners accrue US$4.5bn in 2019 export earnings Think tank blames energy sector debt on shoddy procurement BY BENSON AFFUL

MORE ON PG 3

ECONOMIC INDICATORS *EXCHANGE RATE (INT. RATE)

USD$1 =GHC 5.6230*

*POLICY RATE

14.5%*

GHANA REFERENCE RATE

15.12%

OVERALL FISCAL DEFICIT

6.6 % OF GDP

PROJECTED GDP GROWTH RATE PRIMARY BALANCE.

1.5% -1.1% OF GDP

AVERAGE PETROL & DIESEL PRICE:

GHc 5.13*

INTERNATIONAL MARKET BRENT CRUDE $/BARREL

42.30

NATURAL GAS $/MILLION BTUS

1.78

GOLD $/TROY OUNCE

1,685.06

CORN $/BUSHEL

329.50

COCOA $/METRIC TON

2,384.00

COFFEE $/POUND:

+5.70 ($108.30)

COPPER USD/T OZ.

220.15

SILVER $/TROY OUNCE:

editor@thebsuiness24online.net

17.07

NEWS/EDITORIAL

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EDITORIAL

Wash your hands 2

Cover your cough 3

Wear a mask Brought to you by

LIMITED Copyright @ 2019 Business24 Limited. All Rights Reserved. Editorial Team Dominic Andoh: Editor Eugene Kwabena Davis (Head of Parliamentary Business & Commodities) Benson Afful (Head of Energy & Education) Patrick Paintsil (Head of Maritime & Banking) Nii Annerquaye Abbey (Online Editor) Marketing Alexander Lartey Agyemang (Business Development Manager) Ruth Fosua Tetteh (Dept. Business Development Manager) Gifty Mensah (Marketing Manager) Irene Mottey (Sales Manager) Edna Eyram Swatson (Special Projects Manager ) Events Evelyn Kanyoke (Snr. Events Consultant) Finance/Administration Joseph Ackon Bissue (Accountant)

Energy sector deals must be transparent Opaque energy sector deals signed by successive governments have led to consumers paying more for power than they ordinarily should have.

As at January 2019, the net power sector debts totalled US$2.7bn, according to the Ministry of Finance.

Indeed, this is down to what energy think tank, Institute for Energy Security (IES), has attributed to shoddy procurement processes, which often give way to non-transparency and political interventions.

We join calls by the policy think tank for a transparent, objective, fair, time and cost-effective decision-making in all procurement procedures, for a proper economic system in which prices are determined by unrestricted competition.

Over the last two years, nearly US$1bn have been paid by the tax payer for unused power due to excess electricity contracted on a take-or-pay basis from independent power producers (IPPs) These agreements are inimical to the financial sustainability of the energy sector. The IES argued that the manner in which IPPs were engaged to shore up Ghana’s installed power capacity, particularly during the 2012-2016 power crises, has contributed to the power sector debts.

During a procurement process, once the conditions of the competition are set, the one issuing the bid and the bidders are required by law to keep to the rules to deliver a fair and transparent ranking, the IES said, adding that any opportunistic behaviour may only seek to “game the system”. “Because there would constantly be the need for investments in the power and petroleum sectors via varied projects, to ensure sustainable and costeffective supply of these essential

commodities, policy and decision makers must make it a point to improve on current processes to derive value for money at all times,” it added. The payments to IPPs over the last two 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 close to GH₵18bn. The government has consequently been holding talks with the IPPs to restructure the expensive power purchase contracts, hoping that a successful outcome would ease the debt burden in the energy sector. All these challenges should serve as warning signals and move government to be transparent in all future energy deals.

Large-scale miners accrue US$4.5bn in 2019 export earnings (…CONTINUED FROM COVER )

The chamber’s producing member companies expended US$2.54bn on purchases of goods and services, inclusive of electricity and diesel, from resident manufacturers and suppliers in 2019. Relative to mineral receipts, the expenditure on locally-sourced nonlabour inputs amounted to 55.6 percent. In addition, the companies spent US$24.45m on a variety of projects that were aimed at improving socioeconomic infrastructure and services in their respective host communities. Ghana is one of the world’s top-10 gold producers and the largest in Africa. As such, the mining industry is a major economic driving force: it is the biggest single contributor to government revenues and a leading source of export earnings. A wave of investments in recent years has boosted production and improved cost efficiency in gold and manganese mining. Meanwhile, the government has acted firmly to improve industry regulation, tackling long-term issues of illegal activity, known as galamsey, and environmental damage, in addition to strengthening assaying capacity.

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Think tank blames energy sector debt on shoddy procurement BY BENSON AFFUL

Energy think tank Institute for Energy Security (IES) has attributed the country’s energy sector debt largely to shoddy procurement processes, which often give way to non-transparency and political interventions. In an analysis of the sector, the IES said the energy sector is trapped in debt because procurement processes are mostly not transparent. The government has bemoaned the situation where it paid nearly US$1bn for unused power in the last two years due to excess electricity contracted on a takeor-pay basis from independent power producers (IPPs) Take-or-pay power generation contracts are common in the energy industry and oblige the offtaker (government, in this case)

to pay for power supplied by the producer irrespective of available demand. The IES argued that the manner in which IPPs were engaged to shore up Ghana’s installed power capacity, particularly during the 2012-2016 power crises, has contributed to the power sector debts. As at January 2019, the net power sector debts totalled US$2.7bn, according to the Ministry of Finance. “Also, the process by which Ghana’s Energy Ministry sought to contract a third party to take over the operation of the AMERI power plant in July 2018 is known to have nearly caused the country over US$1bn for needless work. The lack of due diligence characterising the re-negotiated agreement would have overburdened the Ghanaian with a high cost of electricity, had the take-over been allowed to

pass,” said the IES. The think tank said procurement must be seen as a strategic function, aimed at improving organisational profitability, minimising costs, and identifying better supply sources. It added: “Transparency, objectivity, fairness, time and cost-effective decision-making are essential ingredients in procurement procedures, for a proper economic system in which prices are determined by unrestricted competition.” During a procurement process, once the conditions of the competition are set, the one issuing the bid and the bidders are required by law to keep to the rules to deliver a fair and transparent ranking, the IES said, adding that any opportunistic behaviour may only seek to “game the system”. “Because there would constantly

be the need for investments in the power and petroleum sectors via varied projects, to ensure sustainable and costeffective supply of these essential commodities, policy and decision makers must make it a point to improve on current processes to derive value for money at all times,” it added. The payments to IPPs over the last two 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 close to GH¢18bn. The government has consequently been holding talks with the IPPs to restructure the expensive power purchase contracts, hoping that a successful outcome would ease the debt burden in the energy sector.

Stakeholders to peruse TAV-Summa-GACL alliance BY DOMINICK ANDOH

The Aviation Ministry is to meet all stakeholders next week to discuss the choice of a Turkish strategic partner for the stateowned Ghana Airports Company Limited. The choice of TAV-SUMMA Consortium—made up of two large companies with expertise in airport construction and management—follows the receipt of many unsolicited Expressions of Interest from local and foreign companies seeking to be a strategic partner to the GACL. Though this has been brewing for over a year and is opposed by the GACL Union, the impact of the COVID-19 pandemic on the finances of the airports company has led to the decision by government to invite private participation in the management and operation of the country’s airports. With Ghana’s borders closed since March 22 to contain the novel coronavirus outbreak, the GACL’s revenues have fallen to a trickle amid a halt to international passenger flights to the Kotoka

International Airport (KIA). Aviation Minister Joseph Kofi Adda, who confirmed the upcoming meeting to Business24, said: “GACL must explore more non-aeronautical sources of revenue. Strategic partners are what we [GACL] need for a winwin situation.” The key details of the proposal to be discussed include the buying of GACL’s debt and injection of fresh capital by the consortium to enable the expansion of aviation infrastructure in the country. Business24 sources say the likely projects to be executed, if the TAV-SUMMA Consortium deal should go through, include a multi-purpose car park and office complex at the present site of the Terminal 3 car park, additional airside developments, investment in systems and technology, and a dedicated airport city transport system. GACL’s financial situation The country’s airports operator had been posting strong financial performance until 2017. In what has been described as the golden decade of Ghanaian aviation (2007-2016), when there was an unexpected surge in demand for domestic and

international air travel, the company’s revenue grew from GH¢21m in 2007 to GH¢363m in 2016. Its assets also increased from GH¢130m to GH¢5.8bn within the same period, leading to it being described as a model state-owned enterprise (SOE) worth emulating. Following the promulgation of the Airport Tax Amendment Act in 2013—which allowed the GACL to retain 100 percent of its revenues—the company turned to private capital to improve aviation infrastructure in the country. Prior to amendment, 60 percent of all airport taxes went directly to the Ghana Revenue Authority to support the national budget while GACL retained just 40 percent. Given its revenue growth and the strength of its balance sheet, the company was able to secure private capital to fund the construction of the flagship international terminal, Terminal 3, at the Kotoka International Airport and the expansion of the Kumasi and Tamale airports. However, increased overhead costs and servicing of debt secured for the flagship projects have served to constrain the company financially, although managers

and analysts are optimistic of huge gains once the loans secured for the infrastructural investments are paid off. TAV-SUMMA Consortium The debt secured for the construction of Terminal 3 was at an interest of 8.5 percent per annum. The current administration has, however, renegotiated the rate down to 5 percent. Nevertheless, the debt has constrained the GACL from taking on any new major projects. The Aviation Minister has said bringing in a strategic partner to take over the company’s debt will give it a fresh start. Summa, a member of the consortium, carries out top-quality operations in 14 countries around the globe. It is currently partnering the Senegalese government to complete the construction of the stalled AIBD international airport and jointly operate it for 25 years. TAV, on the other hand, operates airports in Turkey, Tunisia, Saudi Arabia, and Croatia, and manages the duty-free areas of the George Bush Intercontinental Airport, USA. The company is partly owned by French airports group Aéroports de Paris.

WEDNESDAY JULY 8, 2020

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President congratulates Valentina Mintah on ICC appointment President Nana Addo Dankwa Akufo-Addo has congratulated Ms. Valentina Mintah, founder and former Chief Executive of West Blue Consulting for her appointment as a member of the International Chamber of Commerce (ICC) Executive Board, assuring her of government’s full support. Ms. Mintah’s appointment makes her the first black female to be elected to the ICC Executive Board in the organisation’s 100 years of existence. ICC is the world’s largest business organisation representing 45 million companies and 1 billion employees from all sectors and company sizes in over 130 countries. President Akufo-Addo in a letter addressed to the West Blue Founder lauded her achievement, promising her of government’s support and urging her not to hesitate to contact any agency of the government for any assistance she may require. “I write to congratulate you warmly, on behalf of the Government of the people of Ghana, and my behalf, on this outstanding achievement. It is a tribute to black women the world over, particularly to Ghanaians and African women. “I am glad to note that your

personal mandate for this role will be to use ICT platform to drive the promotion of trade between Ghana and international economies, further cementing Ghana’s economic potential among global partners. “This is very laudable, and you can be assured of the full support of Government to this end. Do not hesitate to contact any agency of the government for any assistance you may require. I wish you the best of luck and God’s blessings,” Portions of the President’s letter read Ms. Mintah, joins the ICC

Executive Board, responsible for developing and implementing ICC’s strategy, policy and program of action, and for overseeing the financial affairs of the world business organisation. ICC Secretary General, John W.H. Denton AO in his congratulations message said: “ICC is delighted to welcome Valentina Mintah to its global Executive Board. Throughout her career, Valentina has championed international trade facilitation both in her home region of West Africa and in several transitional economies across the world.

“With her additional role as Vice-Chair of ICC Ghana, she is uniquely placed to support the strengthening of commercial and trade ties between several key, high growth global markets.” ICC Ghana Secretary-General, Emmanuel Doni-Kwame said: “ICC Ghana has one of its own on the Executive Board, this is not only well deserved by a qualified professional but an honour to a blessed nation and a continent whose time has come. Valentina’s experience in Africa is an asset to the new Board as we strive to make the business work for everyone, everyday and everywhere.” 7-Member ICC Executive Board The seven-member Executive Board was announced at the 2020 meeting of the ICC World Council and Ms. Mintah would be on the board with some of the world’s most renowned giants including Sheikh Khalifa bin Jassim bin Mohammad Al-Thani from Qatar, Sebastian Escarrer from Spain, Dario Gallina from Italy, Shinta Kamdani from Indonesia, Takeshi Niinami from Japan and Jane Sun from China. The 2020 meeting of the ICC World Council also announced that it has elected MasterCard Chief Executive, Ajay Banga, as ICC Chairman and confirmed Maria Fernanda Garza, Chief Executive

Abiola Bawuah is EMY Africa Awards’ “Woman Of The Year” The Exclusive Men of the Year Africa Awards (EMY Africa Awards) has named Mrs. Abiola Marufatu Bawuah, the Regional CEO West Africa of the United Bank for Africa as the Woman of the Year at the 5th Annual EMY Africa Awards held over the weekend. The EMY Africa Awards is a Father’s Day related event that celebrates distinguished gentlemen in diverse fields to inspire greatness in the younger generation. It also gives complementary awards to women who have made an impact in Society. The EMY Awards this year gave honors to Mrs. Abiola Bawuah for her progress and impact which has been remarkable over the years. She has inspired many young women, rising through the ranks and breaking gender barriers. She recently launched the Abiola Bawuah Foundation (ABF); a non-profit organization poised to positively impact the lives of deprived young girls. Her foundation has among other things, provided underprivileged girls who hitherto had no hope of getting an education talk of quality

education. Abiola Bawuah thanked the organisers and dedicated the award to the struggles of all women. She also noted that her desire and drive to support young girls is due to a similar support she received from a kind-hearted unnamed person who helped pay her Senior High School fees during her days at Achimota School. “This is the reason I have dedicated 100% of the proceeds from my book “Chosen” to support the young enterprising girls to have access to quality education.” She advised all ladies to set targets and work hard at achieving them. Mrs. Bawuah is not only a great influence and role model for women in society but also a motivation for future generations to come. She climbed the corporate ladder to occupy executive positions in different Financial Institutions before moving to UBA Ghana, were she was made Managing Director/ Chief Executive Officer (MD/CEO) by working hard. She is now in-charge of managing UBA’s operations in the West Africa subregion.

WEDNESDAY JULY 8, 2020

Energy

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Africa’s petroleum industry must not be frightened by renewables: The pie is big enough to share

BY INSTITUTE FOR ENERGY SECURITY (IES)

frica’s petroleum industry must not be frightened by the advancements being made by renewable energy. Aside the fact that fossil fuels would continue to play a key role in the global energy equation, the petroleum industry can still take a bite at renewables; the new kid on the block. Africa’s petroleum handlers must not be seen to be against or be threatened by renewables, whose costs and consumption have seen positive changes in recent times. Whilst they seek to guard against devaluation of their petroleum resource with the inroads made by particularly solar and wind, they must identify with the value that stands to be added to the continent’s abundant wind and solar resources. The transition to renewables is a global one because they have been found as cost-effective, and sustainable source of new energy that insulates power markets and consumers from volatility, spurs economic stability, and stimulates sustainable growth. Diversification

to renewables is therefore a panacea to the daunting electricity supply challenges that Africans have had to grapple with due to an under-developed power sector that require a huge expansion in its generation and grid capacity. If Africa policy makers are ever serious to provide universal and secured electricity access to its growing population, then the time to focus on resource diversification, the time to diversify to greener and least-cost fuels, is now. While the price of oil and natural gas keeps dropping, the price of power generated by solar and wind in particular is falling too. Policy makers and petroleum industry players in Africa must be prepared to embrace both fossil (nonrenewable) and renewable fuels. They must recognize the degree to which the energy transition can deliver positive outcomes for the continent. Running away from the reality, rather has a huge consequence not only for the industry, but for the continent as a whole. Efforts should therefore be channeled to harnessing both resources which are significantly huge in reserves. Africa’s oil and gas producers must

demonstrate that they are aware of the risks and opportunities that come with renewables, and rather take steps to manage the situation. To see the diversification to renewables as counter-productive because of the continent’s vast petroleum reserves, and tag it as a Western solution, is to be ready to be out-played in the next big game. Oil and gas majors are in recent times showing interest in declaring a net zero goals to decarbonize by 2050. First, because it was an agreement reached to at the United Nation’s (UN’s) climate conference in Paris by governments around the world, which mandates countries to align with. Second, energy investors have become increasingly nervous about the role of the fossil fuel industry in a low carbon dioxide (CO󠇯2) emissions climate future. Third, environmentally aligned investors have decided to opt out of companies and industries not perceived to be sustainable. And finally, hydrogen which could easily be derived from renewable generated electricity have been established to burn cleanly, making it an attractive alternative fuel source. The majors are progressively positioning themselves for the

proclaimed energy transition, pursuing strategies to move from oil to energy companies. Hydrogen that is derived from water (H2O) through a process that runs on renewable electricity, is seen as an attractive fuel source for oil companies that are trying to ensure their continued relevance. Investing in hydrogen has taken on a new urgency, with majors such as British Petroleum (BP) and Shell, spending millions of dollars on pilot projects. According to Bloomberg Green, supplying hydrogen could potentially become a huge market that oil and gas companies could dominate quickly, thanks to their existing expertise in transporting and marketing gas. In the face of record low oil prices, some oil and gas companies see hydrogen as a lifeline, and are therefore throwing their dollars at cheap electricity generated from renewables, to share in the renewable boon. If you can’t beat them, you join them. Smart, isn’t it? Contact IES on +233 50 987 5998 +233 24 459 9591 Email: info@iesgh.org Website: www.iesgh.org

WEDNESDAY JULY 8, 2020

Feature

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Leading in difficult times- the perspective of the Chartered Institute of Bankers Ghana give employees that purpose, according to Grant, is to have them meet the very people they are helping and serving, even if just for a few minutes.

BY CHARTERED INSTITUTE OF BANKERS GHANA

Leadership today is altruism: self-sacrifice, love for humanity, selflessness and philanthropy.

2.6. Help them develop new skills.

Leaders ‘catch people doing things right’.

Although important, I’m not so much talking about putting them through another required technical or safety training program to keep them or the business compliant, but actually giving them meaningful new skills or knowledge in other areas that they can use to leverage their natural strengths for future roles, whether with their current company or another company. The point is to serve and value them so exceptionally well as people and workers that they have no reason to leave but use their newfound skills for new projects.

Mark Twain (Samuel Langhorne Clemens - November 30, 1835 – April 21, 1910, known by his pen name Mark Twain, an American writer, humorist, entrepreneur, publisher, and lecturer) once said: “My mother had a great deal of trouble with me, but I think she enjoyed it. – Mark Twain As Mark Twain pithily points out, leaders today have to handle constant pressure well and need to allow their people the room to grow by making remediable mistakes and learning from them. Perfectly close proximity role models for this new more empathetic type of leader are ‘mothers at home’. They excel at home because they can be who they want to be. Mothers instinctively know how to connect and engage, communicate and support, nurture and develop those they are responsible for, all the time and simultaneously. They are also effective at setting boundaries and are there to deliver appropriate sanctions and consequences for inappropriate behaviour. They tend to do this with no hierarchy, and only implicit authority. Today, being the leader doesn’t have to mean behaving like the ‘boss’. How different could our world be if we accepted that todays’ contemporary leaders need to focus far more on their ability to influence and persuade rather than barking a set of instructions or commands. The trick is to identify those with the spikes of emotional intelligence and empathy. By constantly preferring to ‘catch people doing things right’ the culture will move away from a ‘fear of failure’ and towards a ‘desire for success’. Mothers do this at home without thinking – the essential Spike for today’s progressive leaders. Extraordinary times demand extraordinary leadership, this must become the era where we universally accept and look for “mothers” as leaders. 1.Why is inspiring necessary in leadership?

others

Inspiring leaders want their people to develop. They invest in them, and they encourage activities that foster physical, intellectual, emotional, and

3.How can a leader help others achieve a purpose?

Rev Mrs. Patricia Sappor, President of CIB Ghana

spiritual growth & well-being. Honesty builds trust and gets others to believe in your inspiration. The ability to inspire others is an important skill, one that will help you achieve the success you desire. Keep your message authentic and human to amplify your results, inspire others, and excel in your work life. 2.How can a leader inspire others? 2.1. Start with scheduling more one on one sessions. Get off on the right track by making consistent clear goals and expectations an operational reality. You do that through the lost art of one-on-one conversations a great motivational tool. Leaders thrive when they strengthen relationships with their people by spending more one-on-one sessions with them to hear their suggestions, ideas, problems and issues. But first, you need to know how to structure these meetings so that they work to your advantage. 2.2. Find out what motivates them. Do you know what gets your team members out of bed in the morning? What they’re passionate about - their goals, aspirations, and interests? In other words, do you really know your team members? Great leaders show an interest in their people’s jobs and career aspirations in order to motivate them the right way. Once that’s been established, they look into the future to create learning and development opportunities for their people. They find out what motivates their best people by getting to know what desires

will drive each team member. This is about emotional engagement. 2.3. Provide the resources they need to do their work exceptionally well. It’s a simple question, but you’d be surprised how often it is not asked: “What do you need right now to do your job better?” You may be surprised, or even shocked at the answer; it could be that they need access to more information to make the right decisions, better equipment or even another work space. Acting on what you find out will be a huge motivational booster. 2.4. Praise and compliment them often. “I don’t like to be recognized,” said no human being, ever. Leaders have to get into the habit of praising and complimenting their people for their good qualities and work. Successful leaders use recognition and praise as a powerful motivator to get their team commitments. They find that employees who receive such recognition on a regular basis increase their individual productivity, receive higher loyalty and satisfaction scores from customers, and are more likely to stay with their organization. How regular are we talking? 2.5. Help co-create purposeful work. People want meaning and purpose in their work. In the book Give and Take, Wharton professor Adam Grant says that when a person finds purpose in their work, it not only improves that person’s happiness, it also boosts productivity. One way to

The best leaders delegate often and give their employees responsibility for delivering challenging work. If this doesn’t happen in your workplace, consider two hard questions: Do you trust your knowledge workers to do what they’ve been hired to do? Do they have the right competence for the job to carry out the work with confidence? Focus on making others successful. Communicate a powerful vision. Deliver positive results. Build alliances via strategic networking. Increase selfawareness and self-monitoring. 4. What roles does empowerment play in leadership development? Empowerment is a means to include the team in decision making, to give them a participatory role which capitalizes on their own expertise and judgment, and that increases their sense of both individual worth and commitment to the organization. When planning to empower employees, the leader needs to first examine the organization as a whole, including the company’s mission, goals, financial state, and employee training needs. Then the leader would give employees some decision-making responsibilities and provide coaching as needed. 5.Can a leader be selective amongst who to Inspire? A leader must lead all, essentially pulling everybody along because the strength of a chain lies in its weakest link. It is only natural CONTINUED ON PAGE 11

WEDNESDAY JULY 8, 2020

Feature So – here’s one thing you need to know.

CONTINUED FROM PAGE 9

that in any group a leader will find some inner circle among the group members. But this should not create disdain for others outside that inner circle. 6. How can a leader help others to actualise their personal visions/ goals? 6.1 Regularly discuss performance objectives. 6.2 Include a way to measure personal growth. 6.3 Offer opportunities employee development.

for

6.4 Support employees who want to pursue new roles in the company. 6.5 Offer career coaching to help employees achieve their goals. 7. How should a leader handle or deal with a difficult follower? No matter how long you’ve been in post, the challenges of a tough team member never go away. Maybe it’s one person, or maybe it’s a small group, either way, there will be a potential headache for you. One thing I’ve noticed among clients is that a difficult team member(s) often becomes the focus for the leader – to the exclusion of all else it seems. That person becomes their Achilles heel and absorbs time and attention in a disproportionate amount compared to the challenges that team member actually presents.

One effective way to handle a difficult person, is to strengthen the team around that person so that his negative influence is diluted. It’s hard to gossip if no-one will listen to you. It’s impossible to spread rumors if everyone around you already knows the truth. It’s tough to spread negativity if everyone is highly motivated and positive. It’s a challenge to bad-mouth others if the others are liked and respected. It’s uncomfortable attempting to be snide if your colleagues are ready to call you out on your behaviour. Do you see the idea here? Instead of fixing the behaviour you don’t want, encourage the ones you do. Strongly, passionately and relentlessly. You could also consider appropriate sanctions as a way of reforming this person. 8. Is role model or mentoring relevant for leadership development? Because a role model sets an example that others try to follow, a role model is thus a leader. They use this self-awareness to better themselves and develop positive qualities associated with good role models, such as optimism, support, and empathy to develop their employees. The leadership behavior, modeling the way, is simply the leader doing what he or she expects the followers to do or to become. If you expect people to speak respectfully to each other, you speak respectfully to them.

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9. You have inspired a lot of leaders. Please share what has worked for you? More and more people feel stuck at work and are looking for validation. Not only do they want to be heard, but more importantly they want to know that their contributions are being noticed and not taken for granted. Not for the sake of attention, but more so because they want to know that their skill sets are still relevant and useful and that they are making a difference to advance the organizations they serve. Tell people exactly what you want them to do; motivate them enough to share in any sacrifices necessary. Appeal to their emotions; Give people multiple reasons for doing what you want them to do; Be the change you want to inspire and Finally appeal to people’s value system. 10. How can a leader avoid costly mistakes? Leadership also comes with its share of challenges, especially if you’re new to it. How do you earn your team’s respect? What do you do when you have to supervise friends? How can you lead a staff and still get your own work done? 10.1 Doing everything yourself New leaders often feel they can’t ask for help without undermining their authority. Worse, they believe if they don’t take on everything, their boss and staff will think they aren’t up to the challenge. Simply put: You can’t do it all.

10.2 Being on the same terms with former peers No one said it would be easy to supervise people you used to work side by side with. It’s tempting to keep things the same as they’ve always been, but this is a mistake. Trying to be both a friend and a boss sets you up for bad decision making, awkward conflicts and accusations of favoritism. Set boundaries quickly rather than seeing how things develop, or else you may cause confusion and foster resentment. 10.3 Nit-picking your team While you want to prove to senior management that they didn’t make a mistake by promoting you, resist the temptation to helicopter over staff to make sure everything gets done just right. Doing so sabotages employee motivation and leads to disgruntlement, not respect. Strong leaders empower their team to make smart decisions, take wise risks and manage their own workflow. Bad bosses cause good employees to quit. 10.4 Trying to make your mark right away To show the team you’re now in charge, you should make a series of sweeping changes immediately. Right? Wrong. You first need to adjust to your new role and learn more about your team’s dynamics. Listen to your staff. Seek your boss’s advice. Read books on leadership. Then, start with small, incremental changes. There’ll be plenty of time for major overhauls

UBA Group announces appointment of Deputy Managing Directors for Nigeria and Africa United Bank for Africa Plc (UBA), the leading pan-African financial services group, is pleased to announce the appointments of Ayoku Liadi and Oliver Alawuba as Deputy Managing Directors in charge of UBA’s Nigeria and Africa businesses, respectively. The creation of the new positions, reporting to Group CEO, Kennedy Uzoka, represents further strategic recognition of the growth of UBA’s pan-African business, now representing in excess of 40% of Group revenue, and the critical importance of Nigeria, the Group’s largest market. Combined with UBA’s unique International Business, operating from New York, London and Paris, UBA Africa and Nigeria, offer an unparalleled service offering to clients across Africa and globally. Commenting on the appointments, Group Chairman Tony O. Elumelu said: “In 2005, we set out our pan-African vision. Fifteen years later, we are present in 20 African countries,

serving over 20 million clients, leveraging our service culture and technology platform, to provide an integrated and seamless customer offering across the continent. In Africa, we lead in innovation and service, whilst our International Business, operating from New York, Paris and London, provides global and African clients access to treasury, trade finance and corporate banking products, uniquely tailored to the African opportunity. These senior appointments represent our commitment to optimise our management structure to best serve our clients and drive our business success.” Oliver Alawuba has worked with the UBA Group for almost 20 years and was appointed in January 2020, CEO for the Group’s Africa operations. Oliver’s knowledge of UBA’s business in Africa is unrivalled. He previously held the role as CEO of UBA in Ghana and more recently, as Regional CEO for UBA in Anglophone Africa. Ayo Liadi joined the UBA Group

in 2014 and was appointed the Executive Director of Lagos and West bank in Nigeria, two years later. Ayo is widely recognised for his innovation in driving business development. Also announced today by the UBA Group Board, was the retirement from the Board with effect from August 01, 2020, of Dan Okeke who has been with the UBA Group for 22 years. Dan served on the board as an Executive Director for three terms and a total of nine years. According to the Group Chairman, ‘Dan was born for UBA. He has worked tirelessly for the Group and achieved so much in the past two decades. We will miss him, but he will still be very much around us’. UBA is one of the largest employers in the financial sector on the African continent, with approximately 20,000 employees group wide and serving over 20 million customers. Operating in 20 African countries and globally in the United Kingdom, the United States and France, UBA

provides retail, commercial and institutional banking services, leading financial inclusion and implementing cutting edge products such as the first ever banking chat bot in Africa, LEO.

WEDNESDAY JULY 8, 2020

Education

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Will universities learn from lockdowns?

BY KENNETH ROGOFF

ill COVID-19 finally trigger a long-overdue technological disruption of higher education? Throughout the world, sudden mid-semester lockdowns aimed at combating the pandemic forced universities to switch to distance learning almost overnight. But while this rapid transition has been tough for faculty and students alike, some good might yet come of it. Like many businesses, universities are struggling with how to reopen and are adopting a range of strategies. For example, the University of Cambridge in the United Kingdom has announced that its lectures will be onlineonly until at least the summer of 2021. Others, including Stanford University, are offering a mix of inperson and online classes, as well as spreading out their academic year so that fewer students will be on campus at any time. Make no mistake: COVID-19 represents a massive economic hit to higher education. Dorm rooms are unoccupied, sports stadiums remain empty, and students push back against paying full tuition fees. For many colleges and universities, the drop in revenue from foreign students, especially Chinese, is likely to be painful; numerous smaller and lessendowed schools may close. Even top universities face challenges. The University of Michigan anticipates a pandemicinduced loss of up to $1 billion by the end of 2020, while Harvard University is projecting a $750 million revenue shortfall for next year. But will the COVID-19 shock

ultimately help to bring about better education for more people at lower cost? The answer will depend partly on whether universities push technology aside as the pandemic fades, or instead look for the best ways to harness it. This is not an easy challenge, given the importance of interactions among professors, graduate students, and undergraduates, both inside and outside of class. When I was a graduate student 40 years ago, I was convinced that video learning (the technology of the day) would reshape university teaching. After all, I thought, why shouldnâ&#x20AC;&#x2122;t students around the world have access to the best lecturers and materials, particularly given that on-campus lectures to 200 students or more offer extremely limited scope for personal interaction anyway? To be sure, in-class teaching would still have an important role to play. Professors would still curate materials and answer questions. And I did not envisage recorded lectures substituting for smaller classes (although taped materials can of course work in that setting, too). But while it is thrilling to watch a great class in person, surely a good taped lecture is better than a mediocre in-person one. Fast forward four decades, however, and progress has been limited. One likely reason is university governance: faculty run these institutions, and few are inclined to go down a path that would reduce demand for their services. Professors are no doubt also worried that taped classes would make it harder for their graduate students to find jobs. And graduate students, with their energy and fresh ideas, are key drivers of research. Demographic shifts have long

been putting downward pressure on college enrollments. Even if faculty in some fields (such as computer science) still see robust demand, for many others, declining student numbers surely amplifies resistance to laborsaving new technologies. But perhaps the biggest obstacle is the high cost of producing highquality taped lectures that satisfy students as much as in-person classes. Producing even a single lecture for mass consumption is a risky and time-consuming proposition. And because recorded lectures are so easily cloned, it may be difficult to charge a high enough price to cover the costs. A plethora of education startups (including many in and around the Boston area, where I live) are trying to solve these problems, but so far have not had a major impact on the system. It therefore seems reasonable to ask whether the United States government should take on the costs of creating basic pre-taped or online college lecture materials in certain fields. (The same could be done for adult education courses.) In particular, introductory online course materials in apolitical subjects such as mathematics, computer science, physics, and accounting should be prime candidates for federal funding. Many other academic disciplines, certainly including my own field of economics, also have great online potential. Democratic US presidential candidate Joe Biden now supports making college free, which thrills some professors. But, rather than expanding the existing US university system, wouldnâ&#x20AC;&#x2122;t federal funding for online learning be a fairer and more efficient way forward, especially given that it can help adults of all ages? Higher education endows

students with an array of important life skills and understanding, helps them to lead richer and fuller lives, and, one hopes, makes them better citizens. But it is far from obvious that all of higher educationâ&#x20AC;&#x2122;s different aspects, including skills acquisition and social and intellectual development, need to be bundled together in the way they are now. Students need to gather, but not necessarily all the time. Virtually everyone agrees that broadening access to higher education is one of the best ways to mitigate inequality, and that it can help to make society fairer and more productive. It is also essential in a world where technology and globalization (or nowadays perhaps deglobalization) require greater adaptability and possibly retraining to meet shifting labormarket demand. The COVID-19 crisis is likely to bring about further rapid and farreaching shifts in the economic ground beneath us. But we need not view these changes with dread if the pandemic also propels a transition to better and more universal higher education.

Kenneth Rogoff, a former chief economist of the IMF, is Professor of Economics and Public Policy at Harvard University. Copyright: Project Syndicate, 2020. www.project-syndicate.org

WEDNESDAY JULY 8, 2020

Maritime

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GARSC sensitises members on ICUMS Members of the Greater Accra Regional Shipper Committee (GARSC) have been sensitised on the newly introduced Integrated Customs Management System (ICUMS) by the Ghana Revenue Authority (GRA)-Customs Division. The sensitisation event was held at the Ghana Shippers’ House during the second quarter meeting of the GARSC. A Senior Revenue Officer of the GRA-Customs and a member of the ICUMS Task Force Team, Mrs. Esther Amekudzi, said the new system provides a single login with one user account which gives access to Unique Consignment Reference, Ministries Departments and Agencies (MDAs) and Bill of Entry (BOE) creation. She said ICUMS also makes room for easy correction of minor errors such as typos on submitted BOEs thereby saving shippers from unnecessary post entries which was replete with the old system. Additionally, a change in the rate of exchange will also not result in

post entries because it is managed under the payment bills. Mrs. Amekudzi mentioned among others an improved feedback system and expanded payment options as some of the advantages ICUMS has over the old system. She, however, admitted that even though the new customs management system was developed to reduce clearance costs and time in line with the World Customs Organisation (WCO) Trade Facilitation Agreement, it is experiencing some technical challenges. She appealed for calm as GRACustoms and all stakeholders work around the clock to address the challenges to enable users enjoy the full complement and benefits of ICUMS. On his part, the Chairman of the GARSC, Nana Barima Dr. Ofori Ameyaw I, said GRA-Customs should have been more responsive to the concerns of shippers when the new platform started

Rwanda: Reprieve for Rwandan importers as cargo leaves Dar Port A number of Rwandan containers that overstayed at Tanzania’s Dar es Salaam were allowed to leave after the port’s authority agreed to waive charges and penalties associated with delays in cargo clearance. The delays were caused by Covid-19 pandemic restrictions. Rwanda Private Sector Federation (PSF) Chief Executive Officer Stephen Ruzibiza told The EastAfrican that more than 2,000 containers had been released in the past week. “At least 250 to 300 of the affected containers have been cleared to leave the port on daily basis ever since the port authority responded to our request to waive the charges, and asked for supporting documentation,” he said. Mr Ruzibiza added they were reconciling figures from their members to know exactly how many containers are still stuck at the port so they can work towards securing their clearance. “We are talking to the importers and the cargo owners, and we have given them the whole of next week to indicate to us how many of the containers are remaining,” he said. Initially, the chamber of commerce and services put the

figure of overstayed containers at 2,067 with Dar es Salaam port accounting for 2,000 while another 64 were stuck at Kenya ports of Mombasa and Naivasha ICD. In addition to the waiver of customs warehouse rent, demurrage and port storage charges and penalties, PSF had requested a 120-day window for evacuation of the containers, indicating that they expected the current delays in movement and clearance of cargo to go back to normal by mid-July. The Kenya Maritime Authority also extended the penalty-free period containers in transit at the port of Mombasa and along the Northern Corridor in its notice dated July 3. According to the notice, all cargo currently held at the ports will enjoy extra seven days of free demurrage penalties effective July 1. “The decision will be valid until the Covid-19 pandemic challenges subside,” it reads. Region’s importers said Covid-19 measures introduced by respective EAC member states have significantly slowed movement and clearance of cargo in and out of the countries with a likely bearing on the cost of some goods.

experiencing challenges. He called for continuous engagement with shippers and other stakeholders on the way forward to addressing their concerns. Over 70 representatives from companies, trade associations, MDAs and other stakeholders partook in the two-day sensitisation forum. The GARSC is one of the ten Regional Shipper

Committees established by the Ghana Shippers’ Authority (GSA) across the country to bring together shippers, shipping service providers, state agencies involved in trade facilitation and other stakeholders in the shipping and logistics industry to discuss pertinent issues affecting the industry and find solutions to them.

Maersk to acquire Swedish customs service specialist A.P. Moller – Maersk has reached an agreement with Bridgepoint Development Capital to acquire KGH Customs Services (KGH), a Swedenbased specialist in trade and customs management services in Europe. The move is aimed at bolstering Maersk’s capabilities as an integrated container logistics company. Maersk plans to acquire KGH for a consideration of $ 279 million on a cash and debt-free basis equivalent. “There are no end-to-end solutions without customs clearance. With KGH, we will not only be able to strengthen our capabilities within customs services and related consultancy, but also reach more of our customers in Europe through a larger geographical footprint and digital solutions that will enhance our ability to meet our customers´ endto-end supply chain needs. We achieve all this in one go instead of having to build our expertise through multiple acquisitions,” says Vincent Clerc, CEO of Ocean & Logistics at A.P. Moller – Maersk. Based in Gothenburg, Sweden, KGH has acted as an advisor to various authorities in the EU and the UK, providing

consulting services and insight. The company’s strategy is focused on digital solutions and technology, which corresponds to Maersk’s digital transformation. KGH has in the past years achieved a revenue of approximately SEK 890 million in 2019 ($ 95.5 million), recurring EBITDA of approximately SEK 160 million ($ 17.2 million), and an EBITDA margin of approximately 18 percent. KGH has 775 employees and a yearly business of 1.98 million clearances. “By joining forces, we will be able to continue to build on the great success our teams have achieved, and at the same time play a key role in a combined entity providing a range of different services within the transportation and logistics industry,” says Lars Börjesson, CEO of KGH Customs Services. worldmaritimenews.com

WEDNESDAY JULY 8, 2020

Feature

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The Ghana Power Compact: Providing vital power infrastructure to meet Ghana’s development needs

ery few people across the world expected to begin the year 2020 locked up in their homes, and faced with restrictions on some of their social freedoms. While many heard the news about the soaring coronavirus infections in China in December 2019 and the early months of 2020, there was little expectation that the disease, named COVID-19 will turn out to be a pandemic. Even prior to the time when the World Health Organization (WHO) had recognised more than 11 million confirmed cases and over 500,000 deaths in 216 countries as at July 6, lockdowns and restrictions on social activities, especially movements across borders had become a common global feature. Ghana was not an exception. Ghana’s confirmed case count reported by the Ghana Health Service as of July 6, 2020, shows over 20,000 infections, more than 14,000 recovered and 122 deaths. As part of the measures to fight the spread of the COVID-19 disease, people all over the world have been strongly advised by the WHO and their Governments to observe certain protocols, including social distancing, washing their hands or cleaning them with alcohol-based sanitizers, and wearing face and nose masks. Additionally, the protocols advise on covering the mouth and nose when coughing or sneezing, self-isolating if one develops symptoms or is asymptomatic, while persons who contract the disease are quarantined and given emergency care. While the global search for a vaccine to conquer coronavirus lingers, many discussions fail to include a critical factor which enables most of the measures deployed to combat the disease to be effective. The availability of adequate, quality and reliable electric power is this critical factor. It is required to ensure that ‘lockdown’ directives are successful and to give people infected with the virus, a better chance to go through prescribed treatments and achieve recovery. It is Power that ensures that potable water flows through taps, to use for the regular handwashing exercises needed to fight the disease. Health facilities, emergency care centres, factories that produce sanitizers and PPEs, etc, need sustainable electricity supply, while electricity in homes makes people comfortable enough to stay at home and curtail non-critical outdoor activities.

Like oxygen, it is easy to forget the worth of electricity when it is available. The unavailability of quality and sustainable electricity breeds poverty, poses security threats and stunts economic growth. Indeed, global access to electricity is envisioned as critical for the World’s sustainable development and is underscored in SDG 7, among the United Nations’ 17 Sustainable Development Goals (SDGs). It is for these reasons that the Ghana Power Compact, signed between the Governments of Ghana and the United States, through its Agency the Millennium Challenge Corporation (MCC), is providing Ghana with funding of US$308 million for investments in her electricity distribution system, and thereby make it reliable and available for use, not only to propel economic growth but also to equip and make Ghana ready to meet challenges like those posed by the COVID-19 pandemic and other natural disasters. The five-year Compact Program, which became operational in September 2016, was developed at a time when Ghana suffered an unprecedented power availability crisis. Funds under the Compact Program are being disbursed across four key Projects to build infrastructure that will improve the quality and reliability of electricity supplied to homes, factories, businesses, markets, economic enclaves, institutions and health facilities among others. The major infrastructural interventions include the construction of two large Bulk Supply Points (BSP) at Kasoa and Pokuase, to forestall overloads at the distribution service points in ECG’s Southern Region and to meet the high projections for electricity demand in future. On completion, communities and towns in and around Kasoa

and Pokuase will experience significant improvements in the adequacy, quality and reliability of supply, as well as reductions in power outages. The construction of two vital Primary Substations at Kanda and in the University of Ghana, Legon, all close to three critical health facilities - the 37 Military Hospital, the Greater Accra Regional Hospital, the new University of Ghana Teaching Hospital and the Noguchi Memorial Institute for Medical Research, a major testing Centre for COVID-19, will be helpful in meeting the power supply needs of these facilities. These are the frontline health facilities supporting the fight against this deadly pandemic as inputs into the resources needed in the effective management of Ghana’ health delivery infrastructure. These prioritized Projects also highlight the Compact’s objective of improving the quality of life in all the beneficiary communities and ensuring that power is always available at the beneficiary Institutions to allow all to have access to quality health care at all times. “The Compact’s flagship Projects, now under construction, will fill an infrastructure gap with assets that will contribute to the resolution of the perennial power supply challenges experienced by the beneficiary health facilities, enabling these critical facilitates to fulfil their full obligations as lifesaving facilities”, said Martin EsonBenjamin, Chief Executive Officer of the Millennium Development Authority (MiDA), the Accountable Entity for the implementation of the Power Compact Program. Besides, the provision of some vital power supply assets, the Power Compact’s Race to Retrofit Program, is also helping some

public Institutions to reduce their energy costs by an estimated 30 per cent. The intervention is replacing high energy-consuming appliances such as refrigerators, air-conditioners, fans and lighting systems in these Institutions with energy-efficient types, at an estimated cost of US$3.0 million. The Korle-Bu Teaching Hospital, the Adabraka Polyclinic and the Ministry of Health are the primary beneficiaries of the Race to Retrofit Activities, together with three others, namely; the Ministry of Education, the Department of Urban Roads, the University of Ghana and the Ghana Education Service’s Head Office Building. Ms Esther Tetteh, Administrator for the Child Health Department at Korle-Bu, lauds the Compact’s intervention and confirms that most of their electrical appliances were obsolete, consequently the cost of maintaining them was high. The retrofitting initiative by MiDA would therefore significantly reduce the Department’s maintenance costs and their energy consumption. The intervention carried out in four blocks of Korle Bu, the nation’s premier hospital, will also reduce the Hospital’s electricity consumption, estimated at 2.8 million kilowatt/hour per year, by 40 per cent. Collectively, the three Health Institutions could save over GHS 2million of their annual energy costs. As Ghana makes progress in its fight against the COVID-19 pandemic, the importance of electricity in providing access to quality health care for Ghanaians cannot be overlooked. Through the Ghana Power Compact Program, it is expected that the investments now being made into the country’s power distribution infrastructure, shall result in a resilient and brighter Ghana.

WEDNESDAY JULY 8, 2020

Mining

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Copper poised to maintain its upward price trajectory In April, copper was trading below USD 5,000/t and most analysts were reaching newfound levels of bearishness. Fast-forward to the end of June, and prices have just experienced six consecutive weeks of increase and are now knocking on the USD 6,000/t door. Visible copper inventories are down by an astounding 33% YoY, copper concentrate treatment and refining charges (TC/RCs) have narrowed to the lowest level since 2012 and CIF Shanghai cathode premiums hit a two-year peak last month. The evidence points to a tight market, which justifies the current price level. To date, 0.7 Mt of mined copper output has been lost, with further disruptions looming in South America. Notably, Chile, the world’s largest mined copper producer, is contending with the third highest level of coronavirus cases per capita globally. However, perhaps even more significant are the losses on the copper scrap supply side, which have largely evaded media attention. The extensive lockdown measures across the world have stalled the scrap generation machine. Trade data available for the top

scrap exporting nations indicates a more than 50% YoY contraction in April shipments. To put a sense of scale around this, scrap accounts for around a third of total copper consumption (including direct-use scrap). Looking ahead the supply impact of the coronavirus will extend far beyond this year. 2020 has already seen capex guidance cuts from copper miners and the mine project pipeline is shrinking due to lockdown-related delays. Turning to the demand side of the market, the pace of recovery has surpassed our expectations, especially in China. For example, China’s automotive sales surged by 14.5% YoY in May, highlighting that demand was not destroyed, but merely delayed. I expect such pent-up demand to drive a similarly sharp recovery in the rest of the world during 2H20. Moreover, the unprecedented levels of stimulus across the world are set to sustain this recovery in the longer term, especially from the copper-hungry green energy and digital economy sectors, which have been singled out for investment by many governments. Electric vehicles are 3-4 times more copperintensive than their combustion engine equivalents.

For copper, during the next decade, we expect the electric vehicle sector alone to add 1.5 Mt of cumulative demand. Renewable power generation is also copperhungry and on the rise as countries seek to meet Net Zero commitments. Another often-overlooked growth sector is the new digital economy. China’s State Grid plans to invest US$3.5 billion in digital infrastructure in 2020, and we expect these power-intensive data centres and 5G networks to drive a growing need to expand grid capacity. Copper’s disinfectant powers have long been known and its antibacterial, anti-viral and anti-

fungal properties have been supported by scientific studies. As companies, governments and organisations look for ways to try and protect people from epidemics, copper-coated surfaces may prove effective and drive demand. To conclude, the latest developments in the copper market lead to believe that we have just entered a prolonged period of structural undersupply. This will of course be hugely supportive to prices, and while the next US$1,000/t upward leg may take a little longer than three months, we believe that we may be seeing prices starting with a seven at some point in 2021. miningreview

Endeavour begins mining at Kari pump deposit at Houndé gold mine

3D Model reveals extended gold mineralisation at Kubi

Endeavour Mining has been granted a mining permit extension by the Burkina Faso Government, covering the full Kari Area at its Houndé gold mine. The Kari Area hosts the previously announced Kari Pump, Kari West and Kari Center discoveries, in addition to the recently discovered Kari Gap and Kari South targets. The Kari Area has been permitted as an extension of the main Houndé gold mining permit, thereby allowing the area to benefit from Burkina Faso’s 2003 Mining Code which includes a corporate income tax rate of 17.5%, a 10% free-carried State interest, and a royalty based on a 3% to 5% sliding scale linked to prevailing gold prices. Endeavour completed over 60,000 m of grade control drilling in Q22020 in anticipation of receipt of the permit while the haulage road was built last year to service the Bouéré gold deposit. As a result, gold mining activities have commenced, which is expected to increase H2-2020 average feed grade and position the mine to achieve the upper end of its production guidance range of 230250koz. Sébastien de Montessus, CEO of Endeavour, said: “We are pleased to have received consent to start mining in the Kari Area, beginning with the Kari Pump deposit, and we are grateful to the Burkina Faso Government for its extraordinary

Results of 3D magnetic modelling show extended gold mineralisation at TSX-listed Asante Gold Corporation’s Kubi project in Ghana. The results show that the Kubi Main Zone gold resource is intimately associated with, and interfingers, the western sheared contact of a magnetic high feature that plunges to more than 2km in depth. In Ghana, Africa’s largest gold producer, many big mines are located along north east trending regional shear systems that exceed 250km in length. Studies indicate that the hydrothermal gold mineralising system that generated the Ashanti Gold belt deposits was gigantic and extended to a least 10km to 15km in depth. The Ashanti shear zone hosts the largest single gold resource in Ghana, the 66 Moz Obuasi mine. This major shear zone cuts Kubi 15km south west of Obuasi. At Obuasi a typical ore shoot contains 3 Moz at head grades of 10 to 15g/t gold and plunges to more than 2km in depth. Fine refractory gold occurs in arsenopyrite disseminated with pyrrhotite and pyrite, with free milling coarse gold in late quartz veins. Resource bigger than original estimates At Kubi the gold is free milling and occurs within a 1km long by

efforts to finalize this permit in spite of the unusual challenges resulting from the ongoing COVID-19 crisis. “Endeavour has been keenly focused on creating value through the drill bit. Our success in moving Kari Pump from discovery to production in under three years underscores our aggressive exploration strategy and the value of our strong established government partnerships in West Africa. “Getting the Kari Area permit was a key 2020 milestone and will positions us to achieve the upper end of our production target at Houndé as we benefit from mining higher grade ore at Kari Pump. “The Kari Area continues to hold exciting upside potential and we will be providing an updated resource estimate for the entire area in the coming weeks.” Source: miningreview

1 m to 15 m thick shear bounded ‘garnet’ zone. Gold is associated with up to 30% garnet and 15% sulfide mineralisation including pyrite, pyrrhotite and arsenopyrite, and also occurs as coarse gold in late quartz veins. In the 66 312 metres of diamond core drilling from 226 drill holes used for the Kubi Main Zone mineral resource estimate, there were 83 drill core assays greater than 10.0 g/t and ranging to 98.1 g/t, highlighting the high-grade potential of the mineralising fluids. Asante’s CEO, Douglas MacQuarrie, CEO stated, “Magnetic modelling has shown that the structure that hosts the Kubi deposit extends more than 2 km below the Kubi pit and could represent a feeder zone to the mineralisation. “This interpretation suggests that Kubi may be much larger than previously thought, with an exploration potential of 2 Moz to a depth of 2 km. Further 3D modelling to incorporate additional geophysical and geological information is underway to refine the interpretation.” Kubi Main Zone has a current NI 43101 resource estimate comprising: Measured resources 0.66 million tonnes @ 5.30g/t for 112 000 ounces; indicated resources 0.66 million tonnes @ 5.65g/t for 121 000 oz; and inferred resources 0.67 million tonnes @ 5.31g/t for 115 000 oz.

WEDNESDAY JULY 8, 2020

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News

Republic Bank records impressive growth in 2019 BY PATRICK PAINSTIL

Republic Bank Ghana, the publicly listed lender, posted a strong performance in 2019, recording significant growth in assets, profits, net operating income and mobilised deposits, according to its annual report released to the Ghana Stock Exchange on July 3. Improvements in interest income and impairment charges boosted the bank’s profit after tax for 2019 by 67 percent to GH¢62.5m, from the previous year’s figure of GH¢37.4m. The bank’s net interest income grew year-on-year by 24.8 percent to GH¢220.5m, whereas impairment charges dwindled by 25 percent to GH¢32m compared with the GH¢42.7m recorded in 2018. The bank recorded a 16.4 percent increase in total assets from the GH¢2.9bn in 2018 to GH¢3.3bn as at year-end 2019. Deposits from customers improved from the GH¢2.2bn reported in 2018 to GH¢2.5bn for the period under review,

representing a 16.8 percent growth. This was underpinned by a robust mobilisation effort from the bank to get dormant accounts reactivated as well as enhance its visibility. Board Chairman Charles Williams Zwennes attributed the strong performance to the bank’s relentless efforts over the years, which had laid the foundation blocks for sustainable growth. According to him, the adoption of effective liquidity risk practices by management has kept the bank in a healthy liquidity position for normal banking operations amid the pandemic. “Going forward, the impact of the COVID-19 pandemic on economic activity will play a major role in the operations and profitability of our bank. We are therefore compelled to find new and effective ways of doing business while optimising returns,” he said. With the threat of the pandemic staring at all banks this year, the bank said it will pursue initiatives that will suit the dynamics of the market, to remain relevant and solidify its gains in an increasingly competitive industry.

Mr. Farid Antar, Managing Director of Republic Bank Ghana

“The COVID-19 pandemic has brought with it new and unique challenges. We continue to monitor the environment closely and take the necessary actions to limit any potential negative impact on the bank’s operations and profitability,” Managing Director Farid Antar said. He also emphasised the bank’s unabated resolve towards

improved customer service excellence, employee satisfaction and ultimately in growing shareholder wealth. He said: “The bank continues to pursue key strategic initiatives, with a suite of deposit and digital products in the works that should establish the bank in the digital banking space and broaden the bank’s deposit sources.”

Noguchi gets ATC Ghana’s US$100,000 support to fight COVID-19 ATC Ghana, a leading provider of telecoms infrastructure, has together with the American Tower Foundation donated an amount of US$100,000 to the Noguchi Memorial Institute for Medical Research to assist in the fight against the COVID-19 pandemic. The company’s Chief Executive Officer, Yahaya Yunusa, speaking at the presentation ceremony at the Institute, stated that Noguchi – where tests are conducted for COVID-19 – is very strategic to the fight against the virus. According to Mr. Yunusa, the institute deserves all the support it can garner and the gesture by ATC Ghana and the American Tower Foundation is their way of supporting the research institute to continue to execute their mandate during the period of the pandemic. “We have seen that they made a tremendous impact and progress with regard to fight the pandemic in Ghana. We expect that we should be able to get the maximum impact of our donation through this channel because we have seen that they are into research, testing and at the forefront of fighting the pandemic. As the leading biomedical

research centre in Ghana, we applaud your leadership and the key role you have played, and continue to play - in testing, research and training of frontline workers during this Covid-19 pandemic,” the chief executive officer added. Prof. Abraham Kwabena Annan, Director, Noguchi Memorial Institute for Medical Research, who received the donation on behalf on the institute praised ATC Ghana and American Tower Foundation for their gesture. He argued that the fight against the pandemic has reached a stage where the support of corporate entities will be crucial in attaining the institute’s mandate. “This donation is a highly welcome one because it has been planned strategically to advance the mandate of the institute. Our plan for this donation, is to use some of the funds directly on COVID-19 response through testing and detecting infections in vulnerable people. This is to ensure early detection so that people who are infected and have the potential of spreading the disease are identified while

ATC Ghana Chief Executive Officer, Yahaya Yunusa (left) presenting the dummy cheque to Prof. Abraham Annan (right), Director of Noguchi Memorial Institute for Medical Research.

isolation measures are put in place to augment the infection prevention control protocol,” Prof. Annan said. According to him, as the lead test center, Noguchi receives samples in thousand folds which stretches its resources and donations from

corporate entities like ATC Ghana and others make it easier to continue to test more people. Ghana’s COVID-19 case count as at Tuesday July 7 is more than 21,000 with the number of recoveries/ discharged far in excess of 17,000.

WEDNESDAY JULY 8, 2020

Weekly Investment Update

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Weekly Investment Update

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WEDNESDAY JULY 8, 2020