Investment Times Newspaper 2023 Edition | Issue 16

Monday 20 February 2023

Issue No.16

Maritime sector must explore renewable energy, IMO boss tells players

Ambassador Boateng’s dream to revamp SOEs on the right footing

"We control a substantial portion of the Ghanaian economy... It is not about the big things; it is the little things that we are not doing that have put us all in this position. "It is our problem, and we all have to work hard to jumpstart the econo my."

These were the words of Ambassa dor Edward Boateng, Director Gen eral of the State Interests and Gover nance Authority (SIGA), as he rallied the leadership of the various speci ed entities to "put their best foot forward" and support e orts by the government to put the economy back on track.

The Chief Executive O cers and Board Chairs of the State-owned Enterprise (SOEs) gathered at Kwahu Nkwatia in the Eastern Region for SIGA’s annual stakeholder meeting, which was in accordance with Section 30 of the SIGA Act 2019 (Act 990).

The Stakeholder Meeting, which was on the theme: "A Time to Re ect and Rebuild," discussed challenges af-

International Maritime Organisation (IMO) Secretary-General  Kitack Lim says it is very important for stakeholder collaboration in the maritime sector to explore and push towards renewable energy in order to ensure the maritime transport bene ts from the relevant investment and technology transfer.

Speaking at a Green Shipping

Effective AfCFTA implementa tion will boost Africa’s economy and global competitiveness

Acting Executive Secretary of the Economic Commission for Africa (ECA), Antonio Pedro, has urged African nations to accelerate implementation of the African Continen-

tal Free Trade Area (AfCFTA) in order to become more resilient and globally competitive.

“Only through an accelerated and ef-

Budget Cash and Carry Ghana outdoors Blue Jeans Vodka Mix

customers with a perfect taste, quality and sensational boost to complement nightlife and other events. Speaking at the

launch of

conference in Accra, he said the continent is well-positioned to champion and achieve net zero carbon emissions in the maritime sector to ensure that the vision of global green shipping is largely attained.

The conference provided a forum to discuss opportunities and challenges for African countries in the decarbonization of international shipping.

The rst of its kind on the continent, the conference was co-organized and co-sponsored by IMO, in collaboration with the

Maritime Authorities of Ghana and Denmark with participants from 15 African countries.

Minister of Transport Kwaku

Ofori Asiamah said climate change had become one of the biggest challenges facing humanity, stressing that its impact is occurring all over the world.

He said there is the need for an action to limit the rise in global temperature to around 1.5 degree Celsius.

The Deputy Managing Director of SG Ghana, François Pousse, highlighted the importance of digital solutions in streamlining business operations, especially in di cult

Healthy fintech competition set to drive inclusion, growth – Network International

Group Managing Director of Processing, Africa and Co-Head of Group Processing, at Network International Dr. Reda Helal, has said that the domestic payments and settlements sector is far from being over-saturated despite the rapid evolution and competition in the market.

Speaking in an interaction with the media, Dr. Helal stated that in many regions, including Ghana, there is still a signi cant opportunity for growth in terms of nancial inclusion, as many individuals and businesses remain unbanked or underbanked.

"In many regions, including Ghana, there is still signi cant

room for growth in terms of nancial inclusion, as many individuals and businesses are still unbanked or underbanked. The growth of e-commerce and digital payments is driving the need for new and more secure payment systems, which provides ample room for new players in the market,” Dr. Helal explained. Whilst Fintechs, particularly those in the payments space have historically attracted the most funding – US$1.8 billion across the continent in 2022 – he said the comparatively low levels of nancial inclusion leave room for competition-driven innovation.

SG holds workshop ‘FieldPro’ customers

Sylvia Inkoom joins First National Bank as an Executive Director 4

Maritime sector must explore renewable energy, IMO boss tells

players

It is estimated that shipping sector emits 2-3 per cent of the annual global greenhouse gas (GHG) with most ships in op eration currently being powered by fossil fuels.

According to the minister, there is an urgent need to apply measures to facilitate shipping transitions and reduce emissions, particularly regulatory interven tions to encourage the production of alternative low- and zero- car bon fuels for shipping and the related necessary expansion of renewable energy production as well as support rst movers.

He said the global shift towards a greener economy was necessary to mitigate the risks of climate change and other environmentally threatening condi-

tions but be moaned the lack of green trans portation infra structure which was impeding the e orts of develop ing countries.

For his part, the Director-Gen eral of Ghana Maritime Authpr ity, Thomas Ko Alonsi, said Africa had the potential to be a major ship energy source as the conti nent had vast and un tapped renew able resources that position it to bene t from the Green Transition and Mari time Decarbonisation.

This underscored the recogni tion of the Green Transi tion Agenda by African countries re sulting in the rati cation of the Paris Agreement to build cli mate resilient and low-carbon econo mies, he added.

Ambassador Boateng’s dream to revamp SOEs on the right footing

fecting the SOEs and ways the entities could improve their performance and achieve the president’s vision of contributing 30 percent to Ghana's gross domestic product.

It was a perfect atmosphere to echo the important role that SOEs play in the development of the nation and emphasized the need for the entities to comply with the directives of SIGA and strive to meet certain performance targets.

Since assuming the position of Director General, Ambassador Boateng has implemented wide-ranging policies with the aim of restoring hope in the SEOs and pushing them to be more accountable to achieve pro tability.

Key among them was the consistent engagement with the leadership of the speci ed entities, the signing of performance contracts with the entities, and the implementation of the Public Enterprises League Table to engender competition among the SOEs.

Ambassador Boateng told journalists at the conference that

there had been an improvement in the performance of SOEs, especially with the rate of compliance with the submission of management accounts mandated by law.

"Just two years ago, if you look at the national accounts, only 5 SOEs were presenting their accounts, and that contributed very minimal." "Last year, in 2022, we were able to push it to 47, bringing their contribution to 21 percent," he explained.

Ambassador Boateng led by example when he arranged for the CEOs and Board Chairs to be conveyed by STC buses to the conference to cut cost. He told the participants that the move saved the authority about GHS 100, 000 on fuel.

Ambassador Boateng charged the speci ed entities to publicize their success stories to enable the public to know the e orts they are making to improve their performance and to erase the negative reportage about SOEs over the period.

"You must be intentional about your communication. "Nobody will know about the good things

you are doing until you tell them," he said.

President Nana Addo Dankwa Akufo-Addo, who was the Spe cial Guest of Honor at the event, commended SIGA for the instru mental role it is playing to re verse the trend and ensure that SOEs achieve sustainable pro t ability. He extolled SIGA for doing a "yeoman’s job" by pushing for compliance on the submission of management accounts on the part of the SOEs to consoli date the national accounts.

President Akufo-Addo charged the SOEs to submit all their management accounts to the Controller and Accountant Gen eral's Department by February 28, 2022. He also directed the SOEs to submit to SIGA's performance contract process to facilitate the inclusion of their nancial state ments in the preparation of the national accounts.

Mr. Joseph Cudjoe, Minister of Public Enterprises, charged the SOEs to collaborate e ectively and double their work e orts to achieve their target of contrib -

succeed with determination...

"Let us not lose sight of e ective collaboration in our rebuilding process," he said. The number of nancial statements submitted by SOEs in the consolidated national accounts

the national accounts contributed 30 percent to the national assets. It further increased to 49 percent when 47 SOEs were included in the 2021 national accounts.

SG holds workshop on ‘FieldPro’ for the bank’s customers

times.

SG Ghana's Head of Business Banking, Gabriel Siaw Owusu, ex pressed gratitude to attendees and emphasized that the bank will continue to provide plat forms for businesses to learn about more innovative solutions in the future.

The event took place at the Innov8 Hub, a space designed for creativity and technological in novation, and George Adjebeng, Head of the SG Innov8 Hub, thanked attendees for their sup port.

Effective AfCFTA implementation will boost Africa’s economy and global competitiveness

Andrew Takyi-Appiah, Co-Founder and Managing Director of Zeepay

ed market of 1.3 billion people and a GDP of around US$ 3.4 trillion, the AfCFTA is poised to become the world’s largest free trade area with 55

Mr Pedro deplored the fact that the COVID-19 pandemic and the Russia-Ukraine war have caused a state of crisis, pushing 55 million people below the poverty line and exacer-

High global in ation has also led to tighter nancial conditions. Mr Pedro said despite Africa's economic growth of 3.9% in 2023 and 2024,

more still needs to be done to compensate for the losses experienced in the past three years.

The Acting Executive Secretary pointed out that by fast-tracking the implementation of the AfCFTA, Africa can provide solutions to the global challenges of supply chain disruptions, food insecurity, climate change, and migration.

Highlighting that the AfCFTA provides the economy of scale to invest in manufacturing and increased in-

tra-Africa trade, Mr. Pedro said the free trade area would bring supply chains closer to home and inject self-su ciency in essential products such as medicines, food and fertilizers.

“By providing more opportunities for women and the youth, the AfCFTA helps reduce inequality and poverty, and improves inclusion,” he said.

However, Mr Pedro highlighted two challenges that require immediate attention – rati cation and implementation - and appealed to the ten African countries that have not yet rati ed the

agreement to do so soon.

Commenting on resource-based industrialization, Mr Pedro said this should focus on value addition, smart operationalisation of local content policies, and tapping into global value chains. He cited the Battery and Electric Vehicle (BEV) sector as one that could enable the continent to tap into a global value expected to reach US$8.8 trillion in the next three years and US$46 trillion by 2050. The ECA is supporting BEV value chain with “strong political will from the Democratic Republic of Congo and Zambia,” said `Mr Pedro.

ECA is also partnering with stakeholders to support the transboundary agro-industry park and special economic zone involving Zambia and Zimbabwe, which could address food security concerns and tap into Africa's food import market valued at about US$90 billion per year.

Mr Pedro pledged ECA’s continued support and collaboration with the African Union and other stakeholders to transform Africa into a globally competitive investment destination.

Healthy fintech competition set to drive inclusion, growth – Network International

Elaborating on this, Dr. Helal explained that healthy competition in the payments and settlements sector will drive innovation and lower costs, providing better services and increasing nancial inclusion. He encouraged new entrants to focus on identifying unmet needs and opportunities for innovation, rather than being discouraged by the level of competition in the market.

"While it is important to be aware of the level of competition in the payments and settlements market, this should not discourage new entrants. Instead, players in the sector should focus on identifying unmet needs and opportunities for innovation in order to di erentiate themselves and succeed in this dynamic and

… pledges support for domestic and regional nancial dev’t

growing market,” he noted.

Dr. Helal also emphasized the importance of e ective payment systems in shaping a nancially inclusive society, saying that Network International is continuously working to adopt new technologies while ensuring that merchants' feedback is incorporated into their products.

"E ective payment systems play a crucial role in shaping a nancially inclusive society, as they enable individuals and businesses to participate in the formal nancial sector, regardless of their income level," Network International’s Group Managing Director of Processing said.

"The payments sector has seen a considerable increase in the adoption of ever-changing tech-

nologies, and we are always working to adopt these new technologies while ensuring we incorporate merchants' feedback in our products to ensure the user interface and experience suit the merchants and their customers," he added. His comments come on the back of the launch of Network International’s o ce and data centre in the country at the end of 2022, which is expected to allow the leveraging of its expertise, resources, and relationships to support the growth of digital payments and nancial services in Ghana and across the continent.

AfCFTA

With the African Continental Free Trade Area (AfCFTA) still in its nascent stage and requiring im-

proved structures to realise its goal of raising income across the by 7 percent (US$450 billion), by 2035, Dr. Helal announced that his out t intends to assist the Central Bank with the Pan-African Payment and Settlement System (PAPSS).

"We are honoured to be recog nized by the Central Bank of Ghana as a market leader in the card and mobile money space. We intend to assist the Central Bank with the PAPSS system for Africa, which is high on the agenda for the AfCFTA agree ment," he said, even as the Bank of Ghana seeks to improve the co hesion between ntech compa nies and other stakeholders.

Budget Cash and Carry Ghana outdoors Blue Jeans Vodka Mix

new Vodka brand, the Chief Executive O cer (CEO) of Budget Cash and Carry Ghana Limited, Nana Egyir Aggrey said his out t has made a name for itself as the leading distributors of quality products such as the newly introduced ‘Blue Jeans Vodka Mix’.

“Budget Cash and Carry has been in the Ghanaian market for the past 30 years and has made a name for itself as one of the leading distributors of energy drinks in Ghana. We started as a trading company selling biscuits and toffees. Currently, we have re-

nowned products such as Blue Jeans Energy Drink, Dockers Energy Dink, and Halleluja Sparkling fruit juice. Our latest addition, Blue Jeans Vodka Mix promises nothing but the best delight”.

“Over the years, we have also been supportive to the Government, Ministry of Tourism, Chiefs, and festivals in the country. We are grateful to customers and partners for their patronage and thank our distributors all over Ghana and the world; we appreciate all their e orts to make us the number one quality-drink

producer in Ghana. I am hopeful that the Ghanaian market will accept this new addition to the Blue Jeans family and drink responsibly as well”, he added.

Mr. John Yao Agbeko, the Chief Director of Ministry of Tourism, Arts and Culture said:

“On behalf of the Ministry of Tourism, Arts and Culture, we are very honored to be part of the outdooring of this product. This product is timely in this month and we expect that it will be the

preferred beverage for most events”.

“Budget Cash and Carry Ghana Limited has been a key support to tourism in Ghana. They have sponsored many festivals in Ghana and we hope they will continue with this new addition. The Blue Jeans family as well as other Budget Cash and Carry products are well known for their premium taste. This particular brand which is a perfect combination of unique avors with premium vodka in a beautiful package is strictly for persons above 18 years and not recommended for pregnant

women”, he concluded.

Budget Cash and Carry Ghana Limited, an energy beverage importer and distributor, believes that by successfully blending creativity and commitment, the company can deliver outstanding results to its customers.

Sylvia Inkoom joins First National Bank as an Executive Director

First National Bank has announced the appointment of Sylvia Inkoom as Executive Director responsible for Corporate and Investment Banking.

Sylvia’s appointment is aligned with the bank’s strategic intent of attracting quality talent in the nancial services industry, to deepen client access across its broad range of corporate and investment banking capabilities.

Prior to her appointment, Sylvia served as the deputy managing director at UBA Ghana. She is a highly motivated banking professional and a driven leader with a wealth of experience and expertise in national and international banking and nance.

With 18 years of experience in the Banking Sector (primarily in Corporate Banking, Relationship Management and Treasury). She has served in senior management roles overseeing negotiations, arrangement, and execution of several landmark transactions across various sectors. She is a fellow of the Institute of Lead-

ership and Management-London, and a member of the Chartered Institute of Management Accountants (CIMA). She also has an executive certi cate in Corporate Finance from the London School of Economics and a certi cate in Strategic Client Management from the Graduate School of Business, University of Cape Town.

Sylvia attained a Bachelor of Science degree in Business Administration from the University of Ghana Business School, where she also received her MBA in Finance.

Sylvia expressed delight at her new appointment at First National Bank.

“I’m proud to be part of this strong brand which has just been named as the world’s strongest banking brand by Brand Finance 2022”, she said. “I have followed the bank’s approach of blending broad experience and specialist expertise in its operations and I am determined to contribute my best to unlock more value for our customers.”

FBN Bank rolls out special treat for customers on Chocolate Day

FBNBank Ghana is showering gratitude on its customers by giving them a special treat as part of the National Chocolate Day celebrations which falls on 14 February 2023.

In a statement released by the Bank, it stated that “FBNBank is renewing its commitment to its customers and assuring them of a great year. We rst of all like to show our appreciation for the wonderful relationship throughout 2022. You have been very loyal and supportive as we walk together towards our joint objectives.”

As part of the Bank’s plans, all customers who visit the branches would receive a very Ghanaian welcome and also be o ered made-in-Ghana chocolate.

It is expected that the Bank will engage its customers and clients across all its 23 branches and three agencies in Ghana. Customers should expect some exciting activities within the Bank’s branches according to the Bank’s statement.

Speaking about the Chocolate Day

activity, Agatha Nketsia, Head, Enterprise Process Improvement (EPI) of FBNBank stated that, “over the years, FBNBank has developed a very strong relationship with its customers. We have gotten to know them better, understanding their evolving needs and challenges as we walk together. By so doing we have also been able to design products and services for them in order to address these needs. In all these we cannot help to point out how grateful we are in how supportive the customers have been and how very passionate our sta have also been in their delivery of services and products. As a Bank, FBNBank has stayed true to our promise of putting our customers rst and at the heart of whatever we do. At every given opportunity, therefore, we show our appreciation to them and commit to strengthening our resolve to meet their needs in a timely fashion. This is what we mean when we say we deliver the gold standard of value and excellence. This is what FBNBank believes its customers deserve.”

Aside increasing its branch network

in a bid to deepen interaction between the Bank and its relationship with customers, the Bank has also strengthened its digital o ering with the capacity to deliver products and services on a foundation of security and convenience following ISO and PCI DSS certi cations. With all these, in addition to the establishment of the Bank’s Contact Centre to tackle customer enquiries, FBNBank has developed stronger bonds with its customers necessitating the e ort on the part of the Bank to deepen the relationship further on the occasion of Chocolate Day.

FBNBank has in its 26 years of operating in Ghana remained focused on putting its customers and communities rst. FBNBank Ghana is a member of the First Bank of Nigeria Limited Group which is renowned for its great customer service and general stakeholder engagement garnered over its 128 years of operation. FBNBank Ghana has 23 branches and 3 agencies across the country with over 500 sta . FBNBank o ers universal banking services to individuals and businesses in Ghana.

Financing global survival

IWe must face, and act upon, an inconvenient truth. The impact of human activities on Earth’s geology and ecosystems is threatening the foundations of life on our planet and decades of progress in human development.

We are acting counter to the goals of the United Nations 2030 Agenda for Sustainable Development – a future that guarantees a decent life for all. Our survival and continued prosperity demand structural change and immediate action.

Scientists warn that breaching planetary boundaries will trigger tipping points, leading to irreversible damage and a catastrophic decline of natural systems. Collapsing sh stocks, melting permafrost, rising antimicrobial resistance, and the loss of tropical rainforests are just a few examples of trends that are undermining the foundation of development.

While large-scale, acute disasters tend to attract the most attention, the ongoing depletion of

valuable natural assets (including aquifers, air, and soil) does not generate headlines but has become a chronic burden for the world’s poorest communities. These global challenges are also deepening economic inequality between and within countries and exacerbating social exclusion. This not only de es the Sustainable Development Agenda’s principle of leaving no one behind; it also impedes the poverty reduction that comes from inclusive economic growth, undermines the social contract in rich and poor countries alike, and threatens global security. No country alone can tackle these transboundary problems. Moreover, they are increasingly correlated with other risks, such as massive supply-chain disruptions. All these issues are born of an economic system that has turned out to be more fragile than many thought. Whereas properly functioning systems are able to manage and absorb risks, our current system is doing the

opposite.

The world needs a global system that engenders security, promotes sustainability, and absorbs shocks. To achieve it, the international community could begin by making a handful of practical changes this year, starting at the  Spring Meetings of the International Monetary Fund and the World Bank.

First, as part of the World Bank’s “evolution” (which shareholders  called for in October 2022), we need to modernize its mission by elevating sustainability and resilience as core institutional goals, and by strengthening its analyses and operations to address new transboundary challenges.

We know that for every $1 invested in sustainability and resilience today, there are $4-7 in savings  down the line. But to usher in a new paradigm of resilience and sustainability, we must incorporate these principles into operational, lending, and debt-sustainability models with appropriate incentives and accounting stan -

dards. Many reforms and investments can have positive cross-border spillovers. But we will need new and stronger incentives – both analytical and nancial – to promote national investment in global public goods, and to support countries with their conservation e orts.

We also need to explore all our options for boosting multilateral development banks’ nancing capacity.

The key, here, is to leverage existing capital while preserving these institutions’ AAA ratings and countercyclical lending capacity. As the G20 Capital Adequacy Review showed, MDBs can increase their risk appetite and boost nancing volumes by lowering their minimum equity ratios. Similarly, we welcome proposals calling for an issuance of non-voting hybrid capital to boost lending at still-lower concessional rates – to be provided either by a shareholder “coalition of the willing” or through sales to private investors.2

We also need to explore our options for re-channeling special drawing rights (SDRs, the IMF’s reserve asset)

to boost the capital stock of international nancial institutions.

The IMF’s new Resilience and Sustainability Trust is based on this premise and represents a promising rst step toward maximizing the e ectiveness of SDR allocations. But, given the challenges, the size of the trust is currently too small.

We also call on MDBs and development nance institutions to propose additional options – as the African and Inter-American Development Banks have already begun to do. Either way, MDBs must do far more to leverage their balance sheets. Separately, MDBs must also use their balance sheets to catalyze private investment in the transition to low-carbon energy, transportation, and agriculture throughout the developing world. Without e orts to lower the cost of capital of these investments at su cient scale, global warming will hurtle past 1.5° Celsius, triggering cascad-

ing e ects.

Finally, we urge all lenders and borrowers – including the development banks and private-sector creditors – to include or accept natural-disaster and pandemic clauses in nancing instruments. These provisions are present-value neutral, on net, and they o er valuable support to countries by allowing them to ensure su cient liquidity when they need it most.

The scienti c consensus about climate change and biodiversity loss is overwhelming. But we ur-

gently need to translate this understanding into a new economic paradigm at the international nancial institutions. At this year’s Spring Meetings, the World Bank and its shareholders must recognize that the provision of global public goods is essential to the ght against poverty more broadly. In the face of an existential climate crisis, the only path forward is through sustainability and resilience. We must modernize our institutions accordingly.

Oxford Business Group signs MoU with the Africa Medical Information Centre for new sectoral analysis

Ghana’s plans to transform its health sector through new partnerships, pioneering technology, infrastructural developments and policies aimed at extending the reach of services into rural areas will be mapped out in a forthcoming report by the global research and advisory company Oxford Business Group (OBG).

The Report: Ghana 2023 will shine a spotlight on the country’s rapidly changing health ecosystem, charting the facilities and services that are being rolled out by both the public and private sectors.

The key role that the latest technological developments are set to play in ushering in a new era of healthcare in Ghana will be a focal point.

Updates will also be given on the National Health Insurance Scheme. Other topical issues set for analysis include Ghana’s plans to expand the country’s pharmaceutical industry by increasing manufacturing production.

OBG has signed a rst-time mem-

orandum of understanding (MoU) with the Africa Medical Information Centre (AMIC) as it begins work on The Report: Ghana 2023. Under the agreement, AMIC will team up with OBG to produce the Health Chapter of the report and other content for the Group’s suite of research tools.

The MoU was signed by Ramona Tarta, OBG’s Country Director for Ghana, and Dr Akshay Rath, Medical Director, AMIC, and former UN physician.

Commenting after the signing, Dr Rath described OBG as an ideal partner for AMIC, given its reputation as a go-to source of accurate, reliable business intelligence for investors seeking untapped opportunities in emerging markets like Ghana and the wider region.

“Oxford Business Group will be highlighting the potential in Ghana’s health sector, while also identifying uncharted areas for medical research and making medical data and information accessible to end-users,” he said. “It is our hope

at AMIC that the report will help attract the investments that are needed, especially in the manufacturing of medical supplies and vaccines in Ghana, the sub-region and Africa as a whole.”

Tarta said AMIC’s decision to choose Ghana for its head o ce as part of broader plans to modernise healthcare delivery across the region aligned well with the national overhaul gaining pace of medical facilities and services.

“Ghana is set to bene t from a range of new services and facilities making use of cutting-edge technology, through a wealth of public-private partnerships that include screening initiatives, surgeries and second opinions for diagnoses,” she said. “As part of its preparations to spearhead healthcare improvements across the continent, the Africa Medical Information Centre has established extensive resources, including in-depth, credible industry data that will undoubtedly enhance our research. I’m delighted that our on-the-ground representa-

tives and, ultimately, investors eyeing Ghana’s potential, will bene t from this fruitful partnership.”

Also present at the signing, Dr Nitish Shetty, CEO of Aster Hospitals, Bangalore, one of AMIC’s partners, highlighted the pivotal role that AMIC was set to play in addressing gaps and challenges in Ghana’s healthcare system and others regionally.

“The African Medical Information Centre will be supported by all 30 of our hospitals in seven countries. Our 1500 doctors are leaders in their specialised elds and are keen to help with capacity-building locally, arranging training programmes and exchange programmes,” he said. “Our aim is that over time, together with our stakeholders in Ghana and across the wider region, we can address the challenges they face in the medical eld, while paving the way for this centre to become Africa’s medical tourism hub.”

The Report: Ghana 2023 will be produced with AMIC, the Associa-

tion of Ghana Industries, PwC Ghana and other partners. It will contain contributions from leading personalities in the public and private sectors, including: Kwaku Agyaman-Manu, Minister of Health; Yo Grant, CEO, Ghana Investment Promotion Centre; Ken Ofori-Atta, Minister for Finance; Joseph Boahen Aidoo, CEO, Ghana Cocoa Board; and Ernest Addison, Governor of the Bank of Ghana.

The Report: Ghana 2023 will mark the culmination of months of research by a team of analysts from Oxford Business Group. It will be a vital guide to the many facets of the country, including its macroeconomics, infrastructure, banking and other sectoral developments. The Report: Ghana 2023 will be available online and in print. It will form part of a series of tailored studies that OBG is currently producing with its partners, alongside other highly relevant, go-to research tools, including ESG and Future Readiness reports, country-speci c Growth and Recovery Outlook articles and interviews.

If Russia had won

Russian President Vladimir Putin has not met any of the strategic objectives that he alluded to when he launched his full-scale invasion of Ukraine one year ago. In fact, no reasonable person can deny that the war has been a complete debacle for Russia.

Still, it is worth considering the counterfactual. What if Russian forces had not bungled the invasion? Where would we be now if the Ukrainian resistance had collapsed, or if the West had responded not with unity but with confusion and disarray?

Through quick, decisive action by special forces – and perhaps with the help of collaborators on the

ground – Russia would have gained control of Kyiv within a day or two, proceeded to install a puppet government, and held victory parades. In this scenario, Ukraine’s duly elected president, Volodymyr Zelensky, most likely would have been murdered by Russian special forces or incarcerated after a swift trial. At best, he would be leading a government in exile from Warsaw or somewhere else.

Meanwhile, the ow of refugees eeing the country would have been an order of magnitude larger than it was. There would now be perhaps 20 million Ukrainians scattered across Europe and the

By Carl Bildt

West, dwar ng all other recent global refugee crises combined. Aside from a handful of rogue countries, no one would have recognized the puppet authorities in Kyiv. In due time, they would probably simply disappear as Ukraine was incorporated into Russia as a collection of new federal districts. Ukraine as a political entity would have ceased to exist, returning to the status that it held under the Russian imperialism of the nineteenth century – which seems to be Putin’s model. Still, most of the rest of the world would have continued to recognize a Ukrainian government in exile, and many would be prepared to lend it sup-

port for more or less open military operations against the Russian occupiers. The Russian e ort to control Ukraine would have been exceedingly brutal. Judging by what happened in Bucha, Irpin, and many other Russian-occupied towns, there would have been summary executions of many thousands –perhaps even tens of thousands –of Ukrainian politicians, journalists, local o cials, and others. This is not merely hypothetical: Russia already had long lists of Ukrainian o cials drawn up before it launched the invasion. Tens – or hundreds – of thousands of other Ukrainians would have

been sent to so-called  ltration camps, where they would have been subject to interrogations, torture, and brutal treatment by Russian security forces. In many cases, children would be separated from their parents and sent to Russia to have their Ukrainian heritage expunged through re-education. Again, we know this because it is precisely what has happened in the few territories that Russia currently occupies. In this situation, the sanctions against Russia would probably be even more extensive than they already are, because it would have been much more di cult for countries like India or South Africa

to justify their continued trade with the aggressor. Moreover, the direct costs associated with occupying Ukraine would have been enormous. Last September, Putin ordered a massive mobilization of Russian conscripts following the failure of the initial invasion – and evidently is mobilizing many more  for a possible spring o ensive. But this would have been necessary even in the event of a successful operation, just to hold the country. With Ukrainians continuing to wage an insurgency, maintaining the Russian army’s morale would have grown only more di cult with time. For the rest of Europe – especially

those countries nearer to Ukraine – a successful Russian invasion would have introduced the imminent threat of further aggression against Moldova, Poland, or the Baltic states. All these countries would be on full wartime footing, and a substantial number of US and other European forces would be permanently deployed to bolster their defenses. The remaining Ukrainian forces would have retreated across the borders with Poland and other neighboring countries, where they would remain fully determined to continue the ght. Europe today would be on the verge of a much, much

larger war. Putin’s decision to invade was truly insane. His war of aggression has been a massive strategic failure, and it is bound to get even worse for him. But this is no time for complacency or self-congratulation. Had Russia succeeded, it would have been an unmitigated disaster from every conceivable point of view. Continued support for Ukraine’s defense of its freedom is essential to European security and to the preservation for all people of the bedrock principle of international law – the prohibition of aggressive war.

Newmont pays GH¢184.6m dividend

Newmont Golden Ridge Ltd (Akyem Mine) has presented a cheque for GH¢184.6 million to the Government of Ghana, as dividend for the year 2022. The amount represents the government’s carried interest in the operations of the Akyem mine. The cheque presentation was made by executives of Newmont Africa, led by the Regional Senior Vice-President - Africa Operations, David Thornton. Mr Thornton thanked the government for its continuous support to Newmont Africa’s Ahafo and Akyem mines and reiterated the company’s commitment to responsible mining operations, while looking to expand Newmont

Africa’s footprint in the country with the Ahafo North project.

“Our Ahafo North project remains a key strategic growth prospect for Newmont Africa, and its successful construction and subsequent operation will have immense benets to our host communities, the local economy, as well as the broader economy of Ghana, in terms of employment creation, local supply chain opportunities, as well as taxes, royalties, and dividend payments to government,”

Mr Thornton said.

On Newmont Africa’s direct support to the Ghanaian economy in the past year, beyond statutory payments, Mr Thornton men-

tioned the company’s support for the government’s gold buying programme that was meant to shore up the country’s gold reserves and help stabilise the economy.

In spite of global economic challenges that had negatively impacted businesses globally, Newmont Africa was the rst mining company to support the government’s gold buying programme by selling 3,500 ounces of gold to the government, through the Bank of Ghana (BoG) in May 2022.” “An additional 22,500 ounces of gold was sold to BoG in October and November 2022, making a total of 26,000 ounces of gold sold to government in 2022,” he added.

Newmont commended

Receiving the cheque, the Minister of Finance, Ken Ofori-Atta, commended Newmont Africa for its compliance to tax and other nancial payments to the government of Ghana. The minister also lauded Newmont Africa for its prompt payment of taxes and acknowledged the potential bene ts of the Ahafo North project. He said, “We welcome payments such as these, especially during these challenging times, and we wish to commend you for being prompt with your payments, be they

taxes, royalties, or dividends.”

“We are aware that the Ghana Revenue Authority has recognised you, on several occasions, for your tax compliance. We look forward to the resumption of your Ahafo North project this year, which will bring in even more revenue to the state.”

Through a combination of tax payments in United States dollars, as well as making forex available to the BoG, Newmont Africa has supported and impacted forex availability to the government of Ghana.

AfricaGoGreen Fund closes $47m in new equity investments to advance climate resilience in Africa

The AfricaGoGreen Fund (AGGF) has made headlines today with the announcement of its successful second fundraising close, securing $47 million in combined investments from top nancial organizations, including the International Finance Corporation (IFC), the African Development Bank (AfDB), the Nordic Development Fund (NDF), and the Sustainable Energy Fund for Africa (SEFA).

The funding will allow AGGF to broaden its nancing for climate-friendly projects in Africa, including purchasing high-eciency appliances and industrial equipment, retro tting existing buildings and new green buildings, and installing rooftop solar and battery storage for residential, commercial, and industrial consumers.

IFC provided $17 million in equity, which includes nancing from the IDA20 Private Sector Window Blended Finance Facility. In addition to equity, IFC committed $30 million in debt to the fund, providing AGGF with long-term capital to complete the second close fundraise.

The African Development Bank, the Nordic Development Fund(link is external), and the  Sustainable Energy Fund for Africa each invested $10 million in equity. An additional $10 million in debt from Calvert Impact Capital was closed in December 2022.

Launched by KfW on behalf of the German Federal Ministry for Economic Cooperation and Development (BMZ) in early 2021 and managed by LHGP Asset Management, AGGF is the rst structured debt fund in Africa focused on energy e ciency solutions. The fund targets reaching between $230 million and $250 million at nal close. With the current fundraising round, total funding stands at $138 million, demonstrating that the fund is getting traction to reach its full scale.

AGGF is accompanied by a technical assistance facility of $3.3 million from KFW on behalf of BMZ, which supports project development and market studies, and provides transaction advisory and capacity building to stakeholders. Fully operational since

2021, AGGF has provided nancing to AktivCo(link is external), a telecom energy services company, to develop clean energy solutions for powering telecommunication towers in Burkina Faso, Cameroon, Chad, Côte d'Ivoire and Niger, and to BBOXX(link is external), a pay-as-you-go solar-powered solutions provider, to accelerate access to clean cooking solutions for millions of Africans.

AGGF has also more recently closed the Solarise transaction investing in energy-e cient appliances in Kenya, South Africa and Mauritius, and upsized both the AktivCo and BBOXX transactions.

“KfW is glad to welcome the new investors to the AfricaGoGreen Fund, which was initiated with seed capital from the German Government. We hope that more like-minded investors will follow.

This successful second fundraising demonstrates that the fund is on track to play a crucial part in the just energy transition in Africa,” said Johannes Scholl, Head of Division at KfW.

“IFC is partnering with AfricaGo -

Green because its innovative energy e ciency focus is making critical capital available to businesses that are supporting the region’s energy transformation while also expanding access to electricity, green building, and e-mobility solutions,” said Henrik Elschner Pedersen, IFC Regional Industry Director in Africa for Manufacturing, Agribusiness, and Services.

"With great pride, the African Development Bank and the Sustainable Energy Fund for Africa united other investors with the same ambition to build a more climate-resilient Africa and support the decarbonization of African countries. We look forward to seeing other like-minded development institutions and commercial investors join us in ghting the detrimental impacts of climate change on the continent,” said Dr. Daniel Schroth, Director of the Renewable Energy And Energy E ciency Department.

Henrik Franklin, Director for Portfolio Origination and Management, Nordic Development Fund, said: “Increasing access to

clean and a ordable energy in Africa is key for achieving the SDGs and enhancing climate resilience. AGGF is a trailblazing initiative to promote energy eciency, not only through nancing, but also by strengthening the enabling environment through capacity-building and developing regulations.

NDF is a proud early-stage and catalytic investor in AGGF and looks forward to joining forces with AfDB, KfW, IFC, SEFA, Lion’s Head and other partners to deliver climate action,” Franklin said.  “With AGGF, we are breaking new ground in supporting the African climate transition. The urgency of combatting global warming forces all of us to leave no stone unturned to reduce C02 emissions. This is precisely what AGGF has been set up to do. Having such a strong group of investors shows broad alignment on the objectives of AGGF. We are proud to be given the opportunity to meet the tasks and challenges ahead of us,” said Clemens Calice, CEO of LHGP.

AfriExim Bank 30th anniversary AGM slates for 19th June in Accra

A delegation from the Africa Export and Import Bank (AfriExim Bank) has paid a curtesy call on a Deputy Minister for Finance, John Kumah.

They used the occasion to ocially inform the Ministry of the Bank's decision to have Ghana host its 30th Annual General Meeting (AGM) in Accra from 19th to 25th June 2023. The Bank was established in Abuja, Nigeria in October, 1993 by African Governments, African private and institutional investors as well as non-African nancial institutions and private investors for the purpose of nancing, promoting and expanding intra-African and extra-African trade.

Mr. Tito Alai, Director for Communication and Events of the Bank and leader of the delegation noted that like Ghana, the Bank has been promoting integration of African economies for the total liberation of Africa, adding that

they could not have chosen a better place than Accra where the liberation story for Sub-Saharan Africa begun.

He noted further that, deliberations on the upcoming Annual General Meetings would continue earnestly in the coming months and commended the local team for taking them on a tour of the hosting facilities and expressed their joy at the facilities.

Hon. John Kumah in welcoming the delegation on behalf of the Minister, commended the Bank's commitment to African values and Pan-Africanism adding that these values were ingrained in the Ghanaian. The Deputy Minister added that, the time was ripe for Africa to harness their collective resources for the growth and prosperity of its citizens and so it was highly commendable for the Bank to represent what the continent stood for.

He said Ghana’s desire has always been for Africa to have a common front on economic and political issues to give Africa a solid bargaining power adding, “we can do better when we harness our collective e orts in all elds”.

He indicated Government's pre -

paredness to host the event that was expected to bring over 3000 participants into the country. He assured them that the Ministry will accord them all the needed assistance and that the Minister was particularly enthused about their overall commitment to African growth.

“We are not just hosting the event, we are happy to be part of the success story of the Bank” Mr. Kumah added. Present at the meeting were o cials of the Ministry and other team members of the Bank.

WEEKLY MARKET REVIEW FOR WEEK ENDING - February 3, 2023

WEEKLY MARKET REVIEW FOR WEEK ENDING - February 3, 2023

WEEKLY MARKET REVIEW FOR WEEK ENDING - February 3, 2023

WEEKLY MARKET REVIEW FOR WEEK ENDING - February 3, 2023

Africa’s Macro-Economic Performance and Outlook 2023: Leaders pledge urgent action to sustain recovery and build resilience

African leaders have pledged to take immediate action to integrate the recommendations from the newly released Africa’s Macro-Economic Performance and Outlook report into their national development plans.

Zambian President Hakainde Hichilema said the study, conducted by the African Development Bank Group, provided an impetus for the continent’s leaders to forge ahead with needed reforms. His remarks were read on his behalf by Zambia’s Minister of Finance and National Planning, Dr. Situmbeko Musokotwane, during an event to present the report at the 36th African Union Summit in Addis Ababa.

The Zambian president described the report as a signi cant milestone in the quest for evidence-based knowledge to inform policymaking for a more prosperous and sustainable future for Africa.

“The ndings of this important report, therefore, provide us with a set of concrete policies that we must urgently implement to sustain the recovery and build resilience in Zambia, and on the continent more generally,” President Hichilema stressed. He observed that although Zambia was not spared from global shocks, the country’s economy has shown resilience. He also acknowledged the impact of Zambia’s heavy debt burden on the country’s scal stability and said his administration had launched reforms that would spur economic growth to 4.0 percent in 2023 and 4.3 percent in 2024.

The African Development Bank Group released the inaugural Africa's Macroeconomic Performance and Outlook report on January 19.

It has since attracted signi cant interest among decision-makers in Africa and globally.

The biannual report o ers policymakers, global investors, researchers, and other development partners, up-to-date, evidence-based assessments of the continent’s recent macroeconomic performance. It also provides a short-to-medium-term outlook.

In his opening remarks, African Union Commission Chairperson Moussa Faki Mahamat told participants that the report would be presented to heads of state at the African Union Summit to help steer national planning.

“Knowledge is power. The report, to be published twice a year, is a wealth of knowledge - with deep insight into what is going on in Africa in the macroeconomic sphere. It identi es challenges and opportunities for the good of our continent,” he said.  “If governments, the private sector, and other stakeholders adopt the report, they will be better placed to make informed decisions.”

The report calls for timely structural reforms to enhance government-enabled private-sector industrialization in key areas.

Nigeria's Minister of Finance, Budget, and National Planning Zainab Ahmed said: “All the issues raised in the report a ect our country as well. We have steered the country towards pre Covid-19 era, but we still face some challenges.”

Ahmed said: “We have been asking

for a liquidity facility as part of the SDRs (Special Drawing Rights) to act as a cushion for us. We have also asked multilateral development banks to give us longer-term nancing. Nigeria has shown a lot of resilience. We just need that support to enable us to take the full potential.”

African Development Bank President Akinwumi Adesina observed that although African economies have shown impressive resilience, global support is needed to help the continent navigate nancial burdens and its security challenges.

“Despite the slowdown occasioned by multiple shocks, Africa demonstrated continued resilience in all but one country and maintained a positive growth rate in 2022 with stable outlook in 2023 and 2024.  African economies are indeed resilient,” Adesina said.

He called for strong and collective support to Africa to help the continent navigate the challenges it faces, especially debt burden and debt vulnerabilities.

The bank president explained further: “Africa cannot run up the steep hill carrying a bag of debt on its back. The channeling of the additional $100 billion of Special Drawing Rights will make a huge di erence. We must join hands to harness the enormous opportunities in Africa. There is no doubt that we will make good progress.   However, we must work fast, be inclusive, and be competitive.”

Also speaking, Assistant Minister of Finance for Policies and Economic A airs of Egypt, Dr. Mohammed Ibrahim, said the report is

helpful for African policymakers and researchers as a timely databank of sound and evidence-based projects for development and planning.

In a presentation, the Director of the Center for Sustainable Development, Columbia University, Prof. Jeffrey Sachs, said that Africa had the capacity to achieve 7- 10 % yearly growth. He observed that Africa could take advantage of its population to grow a robust single market, citing examples like China and India.

"Building a single market will enable Africa to position itself among the three largest global marketplaces. The continent has the greatest growth potential,” he said, challenging African leaders to build vital regional infrastructure and close the infrastructure gaps over the following decades.”

He urged governments to lead a revolution to bring about a ordable access to health care and education. Sachs called for greater nancing for the continent to place it on sustainable growth, observing that the African Development Bank is critical to meeting the continent’s nancial needs.

“The African Union needs to become a permanent member of the G-21,” he added.

Acting Chief Economist and Vice President of the African Development Bank, Prof Kevin Urama, highlighted the importance of Africa’s Macroeconomic Performance and Outlook 2023.

He said: “As we gather here today, global macroeconomic conditions have become increasingly uncer-

tain due to multiple overlapping shocks that make policymaking and investment decisions very challenging. Countries need regular diagnostics and focused policy actions to address these recurring and overlapping shocks.”

Professor Urama a rmed that Africa remains the place to invest despite su ering global shocks.

What the 2023 Africa’s Macro-Economic Performance and Outlook  report says Following two years of global shocks, the report notes that African economies are set to overcome various domestic and global shocks and return to a path of economic recovery, stability, and growth.

The lingering e ects of the Covid-19 pandemic, the ravages of accelerating climate change, and the impact of rising geopolitical con icts and tension slowed Africa’s growth to an average of 3.8% in 2022.

To sustain growth, Africa’s economies will require comprehensive information and insights to navigate a labyrinth of intertwined global risks, the report stated.

The bank will release the report in the rst and third quarters of each year to complement its agship Annual African Economic Outlook. The African Development Bank is the rst institution to release a macroeconomic outlook for Africa for 2023