ITheGuffiPdian l^TH
J*'"^cpxmii«f1^brT-L:iJ C __
48 Sunday,January22,2012
isiness Recession: Prepare For Shocks, Build Infrastructure, World Bank WarnsAfrica, Others By Manx! Mbamniu and Geoff lyatse THE continuing Euro Area debt crisis and the
J. weakening growth in several big emerging economies, that have dimmed global growth prospects, a re some of the reasons the World Bank (WE) lowered its 2012 growth forecast fordeveloping countries. In the newly-released Global Economic Prospects (GEP)2012, the Banlf specifically dropped this year's growth estimates to 5.4 per cent fordeveloping countries and 1.4 per cent for high-income countries (-03 percent for the Euro Area}, down From its June estimates of 62 and 2.7 percent (1.8 percent for the F.uro Area), respectively. ina statement, the Bank said global <rrawth is now projected at 2.5 and 3.1 per cent for20l2 and 2013. Manager of Global Macroeconomics and lead author of the GEP report, Mr. Andrew Bums, was quoted as saying that an escalation of the crisis would spare no one.as developed and developing country growth rates could fall by as much or more than it did in 2008 and 2009. "The importance of contingency planning cannot be stressed enough," he warned. According to the WE, developing countries should evaluate their vulnerabilities and prepare for further shocks, "while there is still time." The Bank's Chief Economist and Senior Vice President for Development Economics Jus tin Yifu Lin, said developing countries have less fiscal and monetary space for remedial measures than tiiey did in 2008 and 2009. He said theirability to respond might be con-
strained if international finance dries up and global conditions deteriorate sharply. To prepare for that possibility, Birector of Development Prospects, Hans Timmer, urged developing countries to pre-finance budget deficits, prioritise spending on social safety nets and infrastructure, and stress-test domestic banks." The Banksaid although prospects in most lowand middle-income countries remain favourable, the ripple effects of the crisis in high-income countries are being felt worldwide.
Already, developing country sovereign spreads have increased 45 basis points on average and gross capital flows to develop ing countries plunged to Si70 billion in the second half of 2011, compared with S309 billion received during the same period in 2010. The Report, however, noted that growdi in SubSaharan Africa remained robust in 2011 at 43 per cent, even as the WE said that "excluding South Africa, which accounts forovera third of the region's GDP.growth in die rest of the region was even strongerat 5.9 percent in 2011, making
it one of the fastest growing developing regions." It alsoobserved that increased investment flows, rising consumer spending, and the coming on stream of new mineral exports in a number of countries should accelerate SubSaharan Africa's growth to 53 percent in 2012 and 5.6 per cent in 2013. "Merchandise exports, tourism receipts, commodity prices, foreign direct investment and remittances," the Bank warned, "are all susceptible to a Euro Area recession."
LG Wins Regional Prize By Qhijioke Iremeka "THE newly-introduced LG HX976TZWhome theAatre sound system has won the Wha t Hi-Fi magazine award, emerging the highest rated blue-ray home theatre system by the magazine. The LG HX976TZWscore high by being the only wall-mountable system at the What Hi-Fi brand Founder/Managing Director of Tastsc Fried Chicken, Pamela Adedayo {left); Chairman, Adekunle Adcdayo; and Venerable Igein Isemede, at the opening of the company's branch in review. __ _ PHOTO: SUHOAYAKIHLOLU it has also hub links wirelessly to both the sub- Lekki, Lagos... last week. _ wooferandasmallerreceiver/ampwiththesub -1-1 1 1 r-i 1 r-v 1 /-^ , ~ ^ r»/ A • *, • ^^.C ^1 J ' i • i 'i »
epSin|S!erspeSeakersmd the""" Ecobank Seals Deal On 100% Acquisition Or Ghana s TTB According to the General Manager, Media, LG Electronics, West Africa Operations, Mr. Jaesang Lee, the HX976TZW boasts of S.lch full HD surround sound together with 3D playback "It is designed on.wireless wall-mountable speakers and has direct access to a world of multimedia content with [G Smart TV functions."
THElOO percent acquisition of TheTrust new board of directors with Sam Ashitey as Head of Compliance on the executive management JL. Bank Ghana Limited (TTB) by the Ecobank Adjei,ManagingDirector of Ecobank committee of EcobankGhana Limited and previously Transnational Inc. (HIT) wenia step further Ghana Limited as Chairman, while Etnelia as Country and regional Treasury Meanwhile, EcobankGroup has indicated its readiafter Friday's Extraordinary General Meeting Atta Fynn assumed the role of Acting (EGM) passed the necessary resolutions to Managing Director. ness to take TTB employees, customers and sharehoideffect die transaction. Prior to her appointment, Emelia served ers on board. ETI officials said, in terms of assets, die combined Ecobank Ghana and TTB would be die . largest bank in the country with the largest ATM network and over 70 branches. Under the terms of the transaction, which , hone manufacturer, Nokia, made a Microsoft said it would sell the Nokia Lumia 800 in all its retail stores. In die same vein, iumphant return to the International was originally approved two weeks ago, ETI will execute a share swap agreement with Consumer Electronics Show (CES) in Las Vegas, Rogers, in Canada, would carry the Nokia Lumia United States of America, winninga raft of 710, asTELUS sells the Nokia Lumia 800. existing shareholders of The Trust Bank for Nokia's renowned Bright AMOLED Clear Black awards and honors for the Nokia Lumia 900, lOOpercentstakeinTTB. display with toughened glass stretchSubsequently, ETI will execute a share swap even as it won the prestigious "Best ing to the sides of the phone has the widi Ecobank Ghana Limited under which Smartphone" award from technology site Back,Startand Search buttons on the front of CNET. En will transfer its 100 per cent stake in TTB to EcobankGhana in exchange forshares in In addition to the Nokia Lumia 900 launch for the screen. It also has an Ecobank Ghana. AT&Ts 4G LTE network the Nokia Lumia 710 eight-megapixel auto-focus camera with Carl Zeiss optics. To strengthen the merger, TTB constituted a went on sate at all T-Mobile stores.
Nokia Windows Phone Wins Award In US
Niger Gets IFAD's $222m lifeline For Food Security; Others By Marcel Mbamalu a continued efibn to midgate the irrent challenge of low income and food insecurityin Africa, the International Fund for Agricultural Development (IFAD). at the weekend, said it is prepared to provide a US$22.2 million loan to the Republic of Niger to help poo" rural households. IFAD's President, Kanayo F. Nwanze, and Niger's Minister of State and Planning, Land Management and Community Development, Amadou Boubacar Cisse, signed the loan agree-
E
ment, meant for die Maradi Region Food Security and Development Support Project, on Thursday. The Sahel region, including Niger, currently faces a looming food crisis because of higher prices and poor harvests. A statement that by IFAD, on Friday, noted that, "this new project will focus on increasing production as well as supporting small farmers to set their prices in a manner that remains profitable for them but is still affordable for consumers. The project, [FAD says, "aims to enhance living conditions and build
resilience of the most vulnerable groups, and to improve rural household nutrition." With this new project, IFAD will have financed 10 programmes and projects in Niger fora total investment of SI65.9 million benefitting 668,200 rural households. Malnutrition and food crises have remained major challenges, especially in rural areas, where an increasing population relies on unpredictable rain-fed agriculture, a situation that is further aggravated by climate change and food price volatility A 2007study by the World Bank
states that, by 2050, the impact of climate change may decrease farm productivity in Niger by more than 30 per cent, which would make it the worst hit country in Sub-Sahara Africa. The fact that the country was hit by food crises in 1973,1984,2005 and 2010 had compelled the new government elected in 2011 to place domestic food and nutritional security among its top priorities. More than 50 per cent of the population faced critical food shortages in 2010, during which pastoral crisis also affected livestock (FAD joined
the international community's efforts to alleviate the impacts. The government also launched the les Nigeriens No urrissen t les Nigeriens (Nigeriens feeding Nigeriens) initiative that is cofinanced with the World Food Programme (WFP). The project mil be implemented in 18 communes in the farmingand pastoral areas of the Maradi region, the epicentre of food insecurity in the country Over65,000 poor rural households will benefit from the project, of which women and youths constitute 51 and 49 per cent respectively.