Story: Boahene Asamoah & Ryan Knutson
THE Chief Executive Officer of the Ghana Chamber of Mines, Ms Joyce Aryee, has called for a review of the compensation law that would ensure a sustainable livelihood of people affected by the activities of mining.
She said “ compensation should not only be monetary, but should include land”.
Speaking at the launch of the advocacy programme on the Establishment of Standards of Compensation on Mining concessions, she said there was the need to look at what she referred to as the “social dimension” of compensation.
The six-months advocacy programme, which is being funded by the Business Sector Advocacy Challenge Fund (BUSAC), is aimed at amending the mining law to ensure standards in compensation for mining lease.
The current mining law of 2006 leaves the negotiation of compensation to the parties involved and does not offer a standard compensation plan.
Ms Aryee stated that in most cases, the monetary compensation did not adequately cater for the needs of the people and stated that the mining law did not provide alternative lands as a form of compensation.
Ms Aryee stated that “ the Minerals and Mining law does not address the issue of compensation of alternative land”, adding that a new law could eliminate speculative land value among the communities.
She mentioned that the issue of land was an emotive one as well as a source of life, as such there was the need to have a practical way to reduce tensions between mining companies and the communities.
The BUSAC Fund Manager Dr Dale Rachmeler, told The Daily Graphic that the grant was worth roughly GH$ 100,000. He said the process of advocacy should lead to a change in the law that would ensure that businesses were able to operate within an environment devoid of mistrust.
“There is the need for actionable advocacy to solve these problems”, he stated.
A Consultant at AIDEC, Mr Ambrose Yennah, gave an overview of the issue on compensation under the Mining and Mineral law and stated that there were no clear guidelines on compensation.
The current law creates long disputes that delay mining firms access to lands to undertake their businesses, he said.
He also stated that the land owners most often felt dissatisfied with the compensation package and added that the law also deterred potential investors because of the lack of standardised compensation plan.
He said the goal of the project was to have a national policy that sets up a clear standard of compensation, adding that the current law left room for variations leading to speculative activities.
Mr Yennah stated that the project would involve stakeholder meetings, a visit to Tanzania to learn from that country’s best practises and sponsor appropriate legislation as well as establish the basis of standardisation of compensation packages.
The Social Investment Manager of Newmont Ghana Gold Limited, Mr Kwesi Amponsah Boateng, shared the experience of his company with the other stakeholders.
He mentioned that the company had undertaken to ensure that compensation came with both monetary and land.
“The objective is not to them leave worse off than we found them”, he stated.
The advocacy programme got off to a running start, considering two of the men who can have a great impact on changing the law attended Tuesday’s event, Mr Edward Ennin, the Vice -Chair of Mines and Energy Commitee of Parliament and Mr Alhaji Amadu Sonogho, Ranking Member on Mines and Energy each offered their direct support to the project.
Even still, Rachmeler, the BUSAC Fund Manager, told The Daily Graphic that he thought the programme could be successful after the conclusion of the December elections when politicians could shift their attention away from campaigns.
Monday, August 11, 2008
Is a single digit inflation elusive?
Story: Boahene Asamoah
RECENT global events have cast dark shadows across the world economy, leaving fragile economies like Ghana with little options as to what to do.
The soaring oil and food prices on the world market have caused considerable effects to espeically develolping economies.
Allthough the country is yet to experience the full magnutiude of the problem, the effect at its initial impact has led to upward increase in the consumer price index.
The Consumer Price Index (CPI), which measures the rate of price increases over time has for the past five months been increasing, threatening the country’s fragile macro-economic stability.
The upward surge in the inflation rate while it may derail government monetary policies also put the country in a weaker position with regards to the West African Monetary Union.
From 12.81 per cent recorded in January, inflation for June now stands at 18.41 per cent, and indications are that that trend was likely to remain high.
Interestingly, inflation has since November last year, been on the rise.
A combination of both the non-food and food components of the CPI have accounted for the upward movement of inflation.
The current situation although expected, the magnitude of the rise in the inflation rate is a source of concern.
This outlook of the economy, among many others has made the Central to even review its prime rate upwards, with the spirall effect of interest rate hikes from the commercial banks, and the resultant high cost of doing business in the country.
Whiles, the floods that hit the country last year was expected to have an impact on the inflation with respect to the food component of the index, the same can be said of the non-food component, a major part of which has been the sky rocketing prices of crude oil on the international market and the resultant increases in fuel prices in the country.
Crude price has risen to record highs hitting $145 million per barrel and analyst expect the oil price to hit yet another record highs of about $200 million per barrel by the close of the year.
The government has indicated that its oil import bill is currently hovering around $2.5 billion for the same quantity of 60,000 barrels of oil it imports annually.
This has threatened the country’s import cover which was reported to have declined from three and half months of import cover to about 2 months of external reserves.
On the back of the weaken dollar, it remains to be seen how the government can manage the soaring oil price bill, given that the government has reduce the petrouleum taxes of petrol products.
Indications are that the privitisation of the Ghana Telecom to Vodacome, which yeilded an amount of about $1.5 billion would be a welcome relief in terms of cash injection to the economy, but how sustainable would this be?
Indeed inflation surge is not perculair to Ghana alone, indeed Nigeria, South Africa and even some developed economies have had to deal with upward increase in inflation as a result of the global crises.
According to the Monetary Policy Commeeting review of the economy, inflation outlook for the second quarter was likely to ramin high on expectations of higher future crude oil prices, which were expected to exert more inflationary pressures on the economy.
In view of the upward increase in inflation from 16.88 points in May to 18.41 points in June, anaylst expect again to see the Bank of Ghana review upwards its prime rate from the present 17 per cent.
Again the second quarter is also associated with the lean season for most food staples when there are food price pressures.
The government mitigation announced in May to absord of the shocks of the global crises are yet to have full impact on food prices especially on imported rice on the local market.
Another issue has got to do with imported inflation. With soaring world prices globally and with the economy driven mainly by imports, imported inflation seems uncontrolable and could account for the rather high inflation figures the country was experiencing.
Again the Public Utilities have announced its intentions to up the tariffs on utilities especially for commercial users. Although some industry expert indicate that the final cost of such increase in utilities would be pass on to the final consumer, indicating that prices of some commodties were expected to up.
With the central bank’s major focus of ensuring price stability as a policy and the effect of the global crises, a single digit inflation seems to remain elusive in the lifetime of this government as the year draws to a close.
Ghana has a commitment to the West African Monetary Union with the yet to be introduced single currency. That position seems to be a mirage considering that one of the four criterium for achieving covergence is a single digit inflation.
Government has also not indicated that it was going to cut back on its social investments such as roads, and other infrastructure. This does not look likely in an election year. All this again indicate that achieve a a single digit inflation does not look likely.
These developments place the country in a tight position and looks unilkely that a single digit inflation remains elusive as we strive to achieve a balance in economic growth and development.
Inflation for February edged up by 0.4 per centage points from 12.81 to 13.21
In that month the high prices of some basic foodstuffs such as fish, bread and cereals were responsible for the surge in inflation rate.
These products contributed 0.89 points and 0.55 points respectively.
Other contributors were vegetables, potatoes and other tuber vegetable groups accounted for 0.38 points and meat group accounted for 0.35 points.
The non-food component of the index contributed 0.85 percentage points to the index with furnishing, household equipment and routine maintenance group contributing 0.43 points.
Other contributors for the February inflation were clothing and footwear which accounted for 0.34 points to that sector.
The March inflation hit 13.79 per cent, representing an increase of 0.58 percentage points over that of February .
The rise in the rate of inflation for March was partly to high food prices, which contributed 5.85 points, while the non-food group contributed 7.94 points to the rate of inflation.
The high prices of some basic foodstuffs such as cereals, bread and fish were mainly responsible for the surge.
Information from the Ghana Stattiscal Service the increases in fuel prices, the upward adjustment in utility bills and the supply of money in the system were some of the contributory factors to the increase in the rate of inflation.
Again the officials cited the shift from local to exotic food, also contributed to the rise in inflation with its attendant .
The month of march was one of the major planting months and so during that month the demand for foodstuffs outweighed supply, making the subsequent price hikes to usually pull the rate of inflation higher, compared to the other months.
This was expected with the reason that by the middle of the year, prices for food prices would ease
It was expected that the rate of inflation would ease by the end of the March because of
In April however, prices increased sharply with most of the increase being accounted for by non-food inflation. Food prices increased jumped from marginally by 0.2 per cent point to 13.2 per cent, non-food prices jumped from 14.4 per cent to 16.9 per cent.
By April 2008m petrouleum prices had increased by 15.8 per cent which led a increase in transportation cost by the end of April
The April rate closed at 15.8 per cent in April.
Comparing the innflation trend for 2007, the year started with an inflation rate of 10.89 per cent in January, falling to 10.42 and 10.19 per cent in February and March, respectively.
However, the rate of inflation rose in April and May to 10.5 and 11 per cent, respectively, declining in June to 10.7 per cent and 10.1 per cent in July, dropping by 0.3 and 0.6 percentage points, respectively.
The rate of inflation for August rose by 0.3 percentage points but fell in September to 10.19 per cent, due mainly to increases in fuel prices and transportation fares.
In October, a reduction in the price of petroleum products pulled the rate of inflation marginally downwards by 0.1 percentage points, while the upward adjustment in the prices of utilities and petroleum products contributed to the high inflation of 11.40 per cent and 12.75 per cent in November and December, respectively.
THE rate of inflation rose by 1.59 per cent to close the month of May at 16.9 per cent in May, the Ghana Statistical Service (GSS) has said.
The major movers of the index was due to higher costs of transport and food items
The 1.6 per cent change from April to May indicated that consumer prices in the country were continuing to feel the pressure of higher global fuel and food prices.
Overall, food items, mostly fish, bread and cereals, contributed 7.2 per cent to the monthly increase.
Non-food items, including transport, contributed 9.7 per cent.
Ghana's consumer prices maintained their upward march despite the Bank of Ghana's decision last month to raise its prime interest rate by a bigger-than-expected 175 basis points to 16 per cent to try to control inflation.
It is the intension of government to bring inflation to a single digit by the close of the year. However, with geopolitical events coupled with the crude oil prices, it is impossible to bring inflation to a single digit by the close of the year.
Since January this year the rate of inflation has been rising steadily. At the beinging of the year the rate stood at 12.8 per cent and closed at 13.2 per cent by the end of February rising again in March to settle at 13.8 per cent.
Inflation (Finance) Read by E. agyeI
RECENT global events have cast dark shadows across the world economy, leaving fragile economies like Ghana with little options as to what to do.
The soaring oil and food prices on the world market have caused considerable effects to espeically develolping economies.
Allthough the country is yet to experience the full magnutiude of the problem, the effect at its initial impact has led to upward increase in the consumer price index.
The Consumer Price Index (CPI), which measures the rate of price increases over time has for the past five months been increasing, threatening the country’s fragile macro-economic stability.
The upward surge in the inflation rate while it may derail government monetary policies also put the country in a weaker position with regards to the West African Monetary Union.
From 12.81 per cent recorded in January, inflation for June now stands at 18.41 per cent, and indications are that that trend was likely to remain high.
Interestingly, inflation has since November last year, been on the rise.
A combination of both the non-food and food components of the CPI have accounted for the upward movement of inflation.
The current situation although expected, the magnitude of the rise in the inflation rate is a source of concern.
This outlook of the economy, among many others has made the Central to even review its prime rate upwards, with the spirall effect of interest rate hikes from the commercial banks, and the resultant high cost of doing business in the country.
Whiles, the floods that hit the country last year was expected to have an impact on the inflation with respect to the food component of the index, the same can be said of the non-food component, a major part of which has been the sky rocketing prices of crude oil on the international market and the resultant increases in fuel prices in the country.
Crude price has risen to record highs hitting $145 million per barrel and analyst expect the oil price to hit yet another record highs of about $200 million per barrel by the close of the year.
The government has indicated that its oil import bill is currently hovering around $2.5 billion for the same quantity of 60,000 barrels of oil it imports annually.
This has threatened the country’s import cover which was reported to have declined from three and half months of import cover to about 2 months of external reserves.
On the back of the weaken dollar, it remains to be seen how the government can manage the soaring oil price bill, given that the government has reduce the petrouleum taxes of petrol products.
Indications are that the privitisation of the Ghana Telecom to Vodacome, which yeilded an amount of about $1.5 billion would be a welcome relief in terms of cash injection to the economy, but how sustainable would this be?
Indeed inflation surge is not perculair to Ghana alone, indeed Nigeria, South Africa and even some developed economies have had to deal with upward increase in inflation as a result of the global crises.
According to the Monetary Policy Commeeting review of the economy, inflation outlook for the second quarter was likely to ramin high on expectations of higher future crude oil prices, which were expected to exert more inflationary pressures on the economy.
In view of the upward increase in inflation from 16.88 points in May to 18.41 points in June, anaylst expect again to see the Bank of Ghana review upwards its prime rate from the present 17 per cent.
Again the second quarter is also associated with the lean season for most food staples when there are food price pressures.
The government mitigation announced in May to absord of the shocks of the global crises are yet to have full impact on food prices especially on imported rice on the local market.
Another issue has got to do with imported inflation. With soaring world prices globally and with the economy driven mainly by imports, imported inflation seems uncontrolable and could account for the rather high inflation figures the country was experiencing.
Again the Public Utilities have announced its intentions to up the tariffs on utilities especially for commercial users. Although some industry expert indicate that the final cost of such increase in utilities would be pass on to the final consumer, indicating that prices of some commodties were expected to up.
With the central bank’s major focus of ensuring price stability as a policy and the effect of the global crises, a single digit inflation seems to remain elusive in the lifetime of this government as the year draws to a close.
Ghana has a commitment to the West African Monetary Union with the yet to be introduced single currency. That position seems to be a mirage considering that one of the four criterium for achieving covergence is a single digit inflation.
Government has also not indicated that it was going to cut back on its social investments such as roads, and other infrastructure. This does not look likely in an election year. All this again indicate that achieve a a single digit inflation does not look likely.
These developments place the country in a tight position and looks unilkely that a single digit inflation remains elusive as we strive to achieve a balance in economic growth and development.
Inflation for February edged up by 0.4 per centage points from 12.81 to 13.21
In that month the high prices of some basic foodstuffs such as fish, bread and cereals were responsible for the surge in inflation rate.
These products contributed 0.89 points and 0.55 points respectively.
Other contributors were vegetables, potatoes and other tuber vegetable groups accounted for 0.38 points and meat group accounted for 0.35 points.
The non-food component of the index contributed 0.85 percentage points to the index with furnishing, household equipment and routine maintenance group contributing 0.43 points.
Other contributors for the February inflation were clothing and footwear which accounted for 0.34 points to that sector.
The March inflation hit 13.79 per cent, representing an increase of 0.58 percentage points over that of February .
The rise in the rate of inflation for March was partly to high food prices, which contributed 5.85 points, while the non-food group contributed 7.94 points to the rate of inflation.
The high prices of some basic foodstuffs such as cereals, bread and fish were mainly responsible for the surge.
Information from the Ghana Stattiscal Service the increases in fuel prices, the upward adjustment in utility bills and the supply of money in the system were some of the contributory factors to the increase in the rate of inflation.
Again the officials cited the shift from local to exotic food, also contributed to the rise in inflation with its attendant .
The month of march was one of the major planting months and so during that month the demand for foodstuffs outweighed supply, making the subsequent price hikes to usually pull the rate of inflation higher, compared to the other months.
This was expected with the reason that by the middle of the year, prices for food prices would ease
It was expected that the rate of inflation would ease by the end of the March because of
In April however, prices increased sharply with most of the increase being accounted for by non-food inflation. Food prices increased jumped from marginally by 0.2 per cent point to 13.2 per cent, non-food prices jumped from 14.4 per cent to 16.9 per cent.
By April 2008m petrouleum prices had increased by 15.8 per cent which led a increase in transportation cost by the end of April
The April rate closed at 15.8 per cent in April.
Comparing the innflation trend for 2007, the year started with an inflation rate of 10.89 per cent in January, falling to 10.42 and 10.19 per cent in February and March, respectively.
However, the rate of inflation rose in April and May to 10.5 and 11 per cent, respectively, declining in June to 10.7 per cent and 10.1 per cent in July, dropping by 0.3 and 0.6 percentage points, respectively.
The rate of inflation for August rose by 0.3 percentage points but fell in September to 10.19 per cent, due mainly to increases in fuel prices and transportation fares.
In October, a reduction in the price of petroleum products pulled the rate of inflation marginally downwards by 0.1 percentage points, while the upward adjustment in the prices of utilities and petroleum products contributed to the high inflation of 11.40 per cent and 12.75 per cent in November and December, respectively.
THE rate of inflation rose by 1.59 per cent to close the month of May at 16.9 per cent in May, the Ghana Statistical Service (GSS) has said.
The major movers of the index was due to higher costs of transport and food items
The 1.6 per cent change from April to May indicated that consumer prices in the country were continuing to feel the pressure of higher global fuel and food prices.
Overall, food items, mostly fish, bread and cereals, contributed 7.2 per cent to the monthly increase.
Non-food items, including transport, contributed 9.7 per cent.
Ghana's consumer prices maintained their upward march despite the Bank of Ghana's decision last month to raise its prime interest rate by a bigger-than-expected 175 basis points to 16 per cent to try to control inflation.
It is the intension of government to bring inflation to a single digit by the close of the year. However, with geopolitical events coupled with the crude oil prices, it is impossible to bring inflation to a single digit by the close of the year.
Since January this year the rate of inflation has been rising steadily. At the beinging of the year the rate stood at 12.8 per cent and closed at 13.2 per cent by the end of February rising again in March to settle at 13.8 per cent.
Inflation (Finance) Read by E. agyeI
3 Media houses embrace Business Code
Story: Boahene Asamoah
THREE media houses have signed up to the Ghana Business Code, a set of ethical business principles based on the United Nations Global Compact (UNGC).
They are the Business and Financial Times, Citi FM and TV3 Network.
At a short ceremony to present their certificates in Accra, the Co-ordinator of the Business Sector Programme Support at DANIDA, Mr Lars Jespen, said the code was modelled on the UNGC and had been largely accepted by stakeholders in the country.
“The Business Code is all about promoting work for the practice of corporate social responsibility and focuses on labour practices, human rights, environmental management and transparency in business,” he stated.
He said the code was not in any way against profit but noted that “if any business is unable to generate profit, it is a measure of its misuse of the society’s resources”.
Mr Jespen stated that the code also provided for the recognition and appreciation of all stakeholders in business.
He said an effective evaluation and certification system called the Ghana Business Clearing House would be developed to ensure that companies which signed on to the code did, indeed, practise the principles of the code.
“An effective clearing house and good business practices by members are the surest means to increase the brand value of the code brand name,” he stated.
The Executive Director of the Association of Ghana Industries (AGI), Mr Cletus Kosiba, in a speech read on his behalf, stated that the three media houses signing on to the code was a significant encouragement to its initiators.
That, he said, was because the media played a key role in educating the public; also it would get more people to sign on to the code.
He urged the companies to publicly endorse the code through their communication channels.
He said the idea of having a code of ethics demonstrated the private sector’s commitment to the growth of Ghana’s business sector and showed a conviction that business had evolved from solely concentrating on profits to paying great attention to the key issues of corporate social responsibility.
THREE media houses have signed up to the Ghana Business Code, a set of ethical business principles based on the United Nations Global Compact (UNGC).
They are the Business and Financial Times, Citi FM and TV3 Network.
At a short ceremony to present their certificates in Accra, the Co-ordinator of the Business Sector Programme Support at DANIDA, Mr Lars Jespen, said the code was modelled on the UNGC and had been largely accepted by stakeholders in the country.
“The Business Code is all about promoting work for the practice of corporate social responsibility and focuses on labour practices, human rights, environmental management and transparency in business,” he stated.
He said the code was not in any way against profit but noted that “if any business is unable to generate profit, it is a measure of its misuse of the society’s resources”.
Mr Jespen stated that the code also provided for the recognition and appreciation of all stakeholders in business.
He said an effective evaluation and certification system called the Ghana Business Clearing House would be developed to ensure that companies which signed on to the code did, indeed, practise the principles of the code.
“An effective clearing house and good business practices by members are the surest means to increase the brand value of the code brand name,” he stated.
The Executive Director of the Association of Ghana Industries (AGI), Mr Cletus Kosiba, in a speech read on his behalf, stated that the three media houses signing on to the code was a significant encouragement to its initiators.
That, he said, was because the media played a key role in educating the public; also it would get more people to sign on to the code.
He urged the companies to publicly endorse the code through their communication channels.
He said the idea of having a code of ethics demonstrated the private sector’s commitment to the growth of Ghana’s business sector and showed a conviction that business had evolved from solely concentrating on profits to paying great attention to the key issues of corporate social responsibility.
Ministry to adopt three-prong plan
read by SSB
chamber (fin)
Story: Boahene Asamoah & Ayisha Dah
THE Minister of Trade, Industry, Private Sector Development and President’s Special Initiatives (PSI), Papa Owusu Ankomah, has outlined a three-pronged approach his ministry would undertake during the last six months of the government’s administration of the economy.
These are, to improve domestic trade, rationalise tariffs and improve the marketing of agricultural products.
Speaking during a meeting with executive members of the Ghana National Chamber of Commerce and Industry in Accra yesterday, the minister underscored the importance of these strategies to ensure the development of trade and industry in the country.
He said there was the need to improve domestic trade to ensure the development of local capacities that would develop local quality products capable of competing on the international market.
Mr Owusu-Ankomah stated that some of the policies would address the issues that affected domestic trade, such as infrastructure and other services, in order to push the industry further.
On the rationalisation of tariffs, the minister indicated that presently there were no proper procedures on tariffs and to that end, he stated that a national tariff board had been proposed to review all tariffs to ensure their effectiveness.
Mr Owusu-Ankomah mentioned for instance, the imposition of tariffs on tomato paste by the government only for the government to realise that the country lacked the capacity to produce tomato pastes to meet the local demand.
Touching on the marketing of local products, the minister stated that there was the need for a conscious attempt to market agricultural products in the country.
He called on members of the chamber to make their concerns known through the association for onward submission to the government for appropriate action.
The minister suggested a meeting with the members of the Chamber, the Ghana Union of Traders Association (GUTA) and the Association of Ghana Industries (AGI) to brainstorm on some of the challenges that faced the private sector.
The President of the GNCCI, Mr Wilson Atta Krofah, said the chamber had undertaken a campaign to create the needed awareness through a road show on major cities in the country on the need to patronise made-in-Ghana products.
He said members of the chamber were also going through skills training in management and entrepreneurship with a university in Israel and appealed to the government to support the chamber in that area.
Mr Krofah added that the chamber together with the Business Sector Advocacy Challenge (BUSAC) Fund were imparting advocacy skills to its members nationwide to equip them with the skills of business advocacy.
The president stated that the chamber again was spearheading the re-introduction of the West African Chamber of Commerce to deepen trade relations between member countries of ECOWAS.
chamber (fin)
Story: Boahene Asamoah & Ayisha Dah
THE Minister of Trade, Industry, Private Sector Development and President’s Special Initiatives (PSI), Papa Owusu Ankomah, has outlined a three-pronged approach his ministry would undertake during the last six months of the government’s administration of the economy.
These are, to improve domestic trade, rationalise tariffs and improve the marketing of agricultural products.
Speaking during a meeting with executive members of the Ghana National Chamber of Commerce and Industry in Accra yesterday, the minister underscored the importance of these strategies to ensure the development of trade and industry in the country.
He said there was the need to improve domestic trade to ensure the development of local capacities that would develop local quality products capable of competing on the international market.
Mr Owusu-Ankomah stated that some of the policies would address the issues that affected domestic trade, such as infrastructure and other services, in order to push the industry further.
On the rationalisation of tariffs, the minister indicated that presently there were no proper procedures on tariffs and to that end, he stated that a national tariff board had been proposed to review all tariffs to ensure their effectiveness.
Mr Owusu-Ankomah mentioned for instance, the imposition of tariffs on tomato paste by the government only for the government to realise that the country lacked the capacity to produce tomato pastes to meet the local demand.
Touching on the marketing of local products, the minister stated that there was the need for a conscious attempt to market agricultural products in the country.
He called on members of the chamber to make their concerns known through the association for onward submission to the government for appropriate action.
The minister suggested a meeting with the members of the Chamber, the Ghana Union of Traders Association (GUTA) and the Association of Ghana Industries (AGI) to brainstorm on some of the challenges that faced the private sector.
The President of the GNCCI, Mr Wilson Atta Krofah, said the chamber had undertaken a campaign to create the needed awareness through a road show on major cities in the country on the need to patronise made-in-Ghana products.
He said members of the chamber were also going through skills training in management and entrepreneurship with a university in Israel and appealed to the government to support the chamber in that area.
Mr Krofah added that the chamber together with the Business Sector Advocacy Challenge (BUSAC) Fund were imparting advocacy skills to its members nationwide to equip them with the skills of business advocacy.
The president stated that the chamber again was spearheading the re-introduction of the West African Chamber of Commerce to deepen trade relations between member countries of ECOWAS.
Persol launches software for SMEs
The world's leading Enterprise Resource Planning (ERP) solution developer, SAP AG, has through its regional operation, SAP Africa and their Ghanaian Channel Partner, Persol Systems Limited, launched the SAP Business One software solutions in the country.
A statement issued by the company said the new product was targeted at small and medium businesses (SME) in the country and offered greater potential for that sector.
It said, “SAP is the natural choice for business applications software just about anywhere in the world.”
The statement added that customers used SAP applications to connect their businesses across function, country and culture, allowing decision makers to get a single view of their data.
In addition, SAP operates in an eco-system containing over 1,500 partner organisations, which means that customers have a choice as to how they wish to have their software delivered and deployed.
It said SAP was the world's largest business application vendor, with more than 91,500 installations and annual revenue in excess of 10 billion euros.
The company has customers of many different sizes, in different locations around the world, with many different business issues.
The Channel Manager for SAP Africa, Mr Nazir Jadavji, said “because of its size, SAP has in-depth knowledge in many industries, and experience working with customers of all sizes”.
He added that SAP's global revenue supported extensive research and development, a strong collaborative user community, proven best practices, and a high level of scrutiny around partner recruitment.
SAP controls a major share of the ERP market in large enterprises and is gaining ground rapidly in the SME segment, the statement said.
The Solutions Manager for SAP Africa, Mr Patrick Kisanya, said “SAP intends to push SAP BusinessOne in Africa by providing tools to local SMEs that enables them to compete with larger companies on a level playing field thereby stimulating increased growth”.
Since its introduction in 2002, SAP BusinessOne product has grown from a customer base of 900 to 20,000 as of the end of the last quarter.
The Managing Director of Persol Systems, Mr Michael Quarshie, said “SAP BusinessOne is designed for advanced SMEs, is competitively priced, flexible yet full-featured and can be implemented in record time because of available rapid implementation tools”.
Persol was selected by SAP because of Persol's strong presence, wide coverage and impressive client base in the Ghanaian marketplace thus enabling SAP to immediately access a large group of SMEs that are currently underserved in the ERP marketplace.
The statement said Persol was one of the leading software developers in the country and through this relationship with SAP it could now utilise SAP SDK (Software Developer Kits) that would enable Persol to develop interfaces of its products such as Persol Human Capital Management (HCM) and Mobile Hand held software to SAP BusinessOne.
Once certified, these add-on products from Persol would be made available to the 20,000 SAP BusinessOne customers to acquire, if desired, the statement concluded.
A statement issued by the company said the new product was targeted at small and medium businesses (SME) in the country and offered greater potential for that sector.
It said, “SAP is the natural choice for business applications software just about anywhere in the world.”
The statement added that customers used SAP applications to connect their businesses across function, country and culture, allowing decision makers to get a single view of their data.
In addition, SAP operates in an eco-system containing over 1,500 partner organisations, which means that customers have a choice as to how they wish to have their software delivered and deployed.
It said SAP was the world's largest business application vendor, with more than 91,500 installations and annual revenue in excess of 10 billion euros.
The company has customers of many different sizes, in different locations around the world, with many different business issues.
The Channel Manager for SAP Africa, Mr Nazir Jadavji, said “because of its size, SAP has in-depth knowledge in many industries, and experience working with customers of all sizes”.
He added that SAP's global revenue supported extensive research and development, a strong collaborative user community, proven best practices, and a high level of scrutiny around partner recruitment.
SAP controls a major share of the ERP market in large enterprises and is gaining ground rapidly in the SME segment, the statement said.
The Solutions Manager for SAP Africa, Mr Patrick Kisanya, said “SAP intends to push SAP BusinessOne in Africa by providing tools to local SMEs that enables them to compete with larger companies on a level playing field thereby stimulating increased growth”.
Since its introduction in 2002, SAP BusinessOne product has grown from a customer base of 900 to 20,000 as of the end of the last quarter.
The Managing Director of Persol Systems, Mr Michael Quarshie, said “SAP BusinessOne is designed for advanced SMEs, is competitively priced, flexible yet full-featured and can be implemented in record time because of available rapid implementation tools”.
Persol was selected by SAP because of Persol's strong presence, wide coverage and impressive client base in the Ghanaian marketplace thus enabling SAP to immediately access a large group of SMEs that are currently underserved in the ERP marketplace.
The statement said Persol was one of the leading software developers in the country and through this relationship with SAP it could now utilise SAP SDK (Software Developer Kits) that would enable Persol to develop interfaces of its products such as Persol Human Capital Management (HCM) and Mobile Hand held software to SAP BusinessOne.
Once certified, these add-on products from Persol would be made available to the 20,000 SAP BusinessOne customers to acquire, if desired, the statement concluded.
Zain installs services to help the poor
Story: Boahene Asamoah, Nairobi, Kenya
ZAIN, the new owners of Westel, and an international mobile phone operator in the Middle east and Africa, through its partner, Ericsson has installed a mobile network service to support the less priveledged in society as part of the company’s social responsibility.
The project, which is under the Millennium Villages project at the Columbia University, is a bottom up approach of lifting rural villages out of poverty throughout its operations in Africa.
A tour of one of the projects in Dertu, a remote and isolated village, 800 kilometres from Nairobi by some international journalists from Africa, Middle East and Europe, revealed how mobile service was helping to lift over 4,000 residents out of poverty.
Zain has installed the terrestrial infrastructure that covers 24 kilometres and has provided the community with sim cards, while Ericsson provided affordable handsets to the villagers.
Briefing the journalists, the Project Co-ordinator of the Millennium Villages, Mr Ahmed M. Mohamed, said due to the provision of mobile telecommunication services the villagers could now have access to the global world, adding that the project has tremendously improved the lives of the people.
He said the mobile phones was now being used by the villagers to monitor the status of water, pasture, pests and diseases surveillance by animal health workers, the government and project workers as well as the pastoralists.
He said the mobile phone service had in addition, offered other business opportunities to the villagers such as cash earned from the use of the service, charging ,as well as using the service to make orders for goods and services from neighbouring towns.
Hitherto, the villagers had to travell over 90 kilometres to the nearest town, Garissa to make purchases or to sell their products.
Mr Mohamed said the service had also improved social networks by connecting the villagers to family members in Kenya and in the diaspora.
It has also made the tracing of lost animals and children within 20 km radius, helped in the health provision and improved security among other benefits, he stated.
Zain has provided the only primary school in the village with a computer with Internet facility to facilitate teaching and learning in the community.
The only health post in Dertu have also been upgraded and provided with Internet accessibility.
The District Administration Officer in charge of the area, Mr Evans Kyule expressed the government’s apprecation for the support of the two organisations by developing the area.
He said security in the area had improved tremendously since the installation of the mobile phone service in the community.
The Chief Executive Officer of Zain, Africa, Mr Chris Gabriel, said the company would support such initiatives that would help to uplift the lives of the rural communities from poverty.
He said the company would upgrade the current infrastructure to ensure the service was extended to cover more villages within the area.
The Millennium Villages Project (MVP) is a 5-year joint venture between the Earth Institute of Columbia University, 10 Governments in Africa including the Government of Kenya, the United Nations Development Programme (UNDP) and other partners. There are 14 Millennium Research Villages (two new) all in Sub-Saharan Africa.
Under the Zain and Ericsson partnership, mobile communications and Internet connectivity is expected to reach over 400,000 people in Sub Saharan Africa, including Ghana.
ZAIN, the new owners of Westel, and an international mobile phone operator in the Middle east and Africa, through its partner, Ericsson has installed a mobile network service to support the less priveledged in society as part of the company’s social responsibility.
The project, which is under the Millennium Villages project at the Columbia University, is a bottom up approach of lifting rural villages out of poverty throughout its operations in Africa.
A tour of one of the projects in Dertu, a remote and isolated village, 800 kilometres from Nairobi by some international journalists from Africa, Middle East and Europe, revealed how mobile service was helping to lift over 4,000 residents out of poverty.
Zain has installed the terrestrial infrastructure that covers 24 kilometres and has provided the community with sim cards, while Ericsson provided affordable handsets to the villagers.
Briefing the journalists, the Project Co-ordinator of the Millennium Villages, Mr Ahmed M. Mohamed, said due to the provision of mobile telecommunication services the villagers could now have access to the global world, adding that the project has tremendously improved the lives of the people.
He said the mobile phones was now being used by the villagers to monitor the status of water, pasture, pests and diseases surveillance by animal health workers, the government and project workers as well as the pastoralists.
He said the mobile phone service had in addition, offered other business opportunities to the villagers such as cash earned from the use of the service, charging ,as well as using the service to make orders for goods and services from neighbouring towns.
Hitherto, the villagers had to travell over 90 kilometres to the nearest town, Garissa to make purchases or to sell their products.
Mr Mohamed said the service had also improved social networks by connecting the villagers to family members in Kenya and in the diaspora.
It has also made the tracing of lost animals and children within 20 km radius, helped in the health provision and improved security among other benefits, he stated.
Zain has provided the only primary school in the village with a computer with Internet facility to facilitate teaching and learning in the community.
The only health post in Dertu have also been upgraded and provided with Internet accessibility.
The District Administration Officer in charge of the area, Mr Evans Kyule expressed the government’s apprecation for the support of the two organisations by developing the area.
He said security in the area had improved tremendously since the installation of the mobile phone service in the community.
The Chief Executive Officer of Zain, Africa, Mr Chris Gabriel, said the company would support such initiatives that would help to uplift the lives of the rural communities from poverty.
He said the company would upgrade the current infrastructure to ensure the service was extended to cover more villages within the area.
The Millennium Villages Project (MVP) is a 5-year joint venture between the Earth Institute of Columbia University, 10 Governments in Africa including the Government of Kenya, the United Nations Development Programme (UNDP) and other partners. There are 14 Millennium Research Villages (two new) all in Sub-Saharan Africa.
Under the Zain and Ericsson partnership, mobile communications and Internet connectivity is expected to reach over 400,000 people in Sub Saharan Africa, including Ghana.
Zain to compete on quaity service, one network concept
Proofread by era
CEO-Zain (fin)
Story: Boahene Asamoah, Nairobi, Kenya.
THE Chief Executive Officer of Zain, Africa, the new owners of Westel, Mr Chris Gabriel, has said that the company’s strategy in Ghana will be to compete based on its quality service, the one-network concept and coverage quality.
In an interview, Mr Gabriel stated that these strategies were expected to differentiate its brand and penetrate the local mobile market.
He said to ensure the quality service that the Ghanaian customer was yearning for as per their research work, the company intends to ensure an 85 per cent coverage of the whole country from the northern part of the country through to the southern sector using the road network of the country.
The CEO in addition said the company would be operating on the 3-G platform network that would offer superior service to customers.
"The 3G technology platform has added value services and we hope to provide these services to the Ghanaian customers", he stated.
He said the one-network service concept was to ensure that a customer of Zain in Ghana for instance would be able to access its service in Nigeria or any part of West Africa or any part of the world where Zain has a presence with the same number.
Touching on the competitive nature of the Ghanaian mobile telecommunications service in the country, Mr Gabriel stated that "we expect rational competition", adding that "we are not going to compete on price".
He explained that price cutting in the industry would lead to price wars and the whole industry would ultimately collapse, stating that such a behaviour would not offer returns on investments for shareholders.
Mr Gabriel added that the country offered more opportunities than challenges in spite of having about six multinational mobile phone operators.
Currently, the country has four operating brands, MTN a multinational mobile phone operator, TIGO, another international brand, Kasapa, which is an affiliate of Hutchison, another multinational and One-Touch, a local brand which could soon be affiliated with the world’s leading brand, Vodafone.
Zain and Globacom are the new operators soon to begin operations. Both are multinational brands.
On the question of whether the fixed line business of Westel would be part of its business, Mr Gabriel said, " we intend to maintain these lines," and emphasised that "we are a mobile phone operator".
On the new brand role out of the company in 14 African countries simultaneously under the brand name Zain, Mr Gabriel stated that the company aimed at being among the top ten mobile operators in the world by 2011, with a projected 110 million customers worldwide.
He said the company was operating in many countries under different brand names and the new brand was to position the company in the global competition " as one unique global brand company".
Mr Gabriel stated that Africa offered tremendous opportunity for the company, and stated that over the years the company had invested over $10 billion in its operations across Africa.
"We will continue to invest in Africa to returns on our investments and to our shareholders", the CEO stated.
Zain is to begin its operations in the next few months in Ghana.
CEO-Zain (fin)
Story: Boahene Asamoah, Nairobi, Kenya.
THE Chief Executive Officer of Zain, Africa, the new owners of Westel, Mr Chris Gabriel, has said that the company’s strategy in Ghana will be to compete based on its quality service, the one-network concept and coverage quality.
In an interview, Mr Gabriel stated that these strategies were expected to differentiate its brand and penetrate the local mobile market.
He said to ensure the quality service that the Ghanaian customer was yearning for as per their research work, the company intends to ensure an 85 per cent coverage of the whole country from the northern part of the country through to the southern sector using the road network of the country.
The CEO in addition said the company would be operating on the 3-G platform network that would offer superior service to customers.
"The 3G technology platform has added value services and we hope to provide these services to the Ghanaian customers", he stated.
He said the one-network service concept was to ensure that a customer of Zain in Ghana for instance would be able to access its service in Nigeria or any part of West Africa or any part of the world where Zain has a presence with the same number.
Touching on the competitive nature of the Ghanaian mobile telecommunications service in the country, Mr Gabriel stated that "we expect rational competition", adding that "we are not going to compete on price".
He explained that price cutting in the industry would lead to price wars and the whole industry would ultimately collapse, stating that such a behaviour would not offer returns on investments for shareholders.
Mr Gabriel added that the country offered more opportunities than challenges in spite of having about six multinational mobile phone operators.
Currently, the country has four operating brands, MTN a multinational mobile phone operator, TIGO, another international brand, Kasapa, which is an affiliate of Hutchison, another multinational and One-Touch, a local brand which could soon be affiliated with the world’s leading brand, Vodafone.
Zain and Globacom are the new operators soon to begin operations. Both are multinational brands.
On the question of whether the fixed line business of Westel would be part of its business, Mr Gabriel said, " we intend to maintain these lines," and emphasised that "we are a mobile phone operator".
On the new brand role out of the company in 14 African countries simultaneously under the brand name Zain, Mr Gabriel stated that the company aimed at being among the top ten mobile operators in the world by 2011, with a projected 110 million customers worldwide.
He said the company was operating in many countries under different brand names and the new brand was to position the company in the global competition " as one unique global brand company".
Mr Gabriel stated that Africa offered tremendous opportunity for the company, and stated that over the years the company had invested over $10 billion in its operations across Africa.
"We will continue to invest in Africa to returns on our investments and to our shareholders", the CEO stated.
Zain is to begin its operations in the next few months in Ghana.
Zain to double investments in Africa
Story: Boahene Asamoah, back from Nairobi, Kenya
DR Saad Al Barrak, the Group Chief Executive Officer of Zain, the new owners of Westel and international mobile telecommunications company operating in the Middle East and Africa, has said the company plans to double its investments in Africa and double its customer base throughout its operations.
He said the company had, over the past few years, invested over $10 billion in its operations in Africa, adding that “we will continue to invest more in our operations across Africa”.
Speaking at a news conference which brought together some international media across Europe, Africa and the Middle East, Dr Barrak said as part of its vision, the company hoped to attract 110 million customers by 2011.
Zain, which operates in 14 other African countries, was previously known as Celtel.
He said the company had undertaken a strategy to re-brand its global business, adding that “by re-branding to Zain, we are bringing together our African and Middle East operations under a single, strong and unique identity”.
He said the re-branding was consistent with the strategic vision of the company to become a leading global brand in the next few years.
The Zain Group, which has operations in 22 countries in the world, including 14 operations in Africa, with Ghana as its new destination, has over 50 million customers throughout its operations.
Dr Barrak described the branding as a significant milestone in the history of the company from the company’s humble beginnings.
He said the company had, over the past few years, evolved from a regional company to become an international brand.
The group CEO said it had expanded its operations and now had operations in Africa and the Middle East, with Ghana and Saudi Arabia being the new subsidiaries of the group, adding that “we will long for opportunities to extend our brand and services”.
Dr Barrak stated that the company presently had a consolidated revenue of about $3.488 billion, with net income of $551 million.
“For us to become a global company, we need to have one identity that reflects our unique direction and reflects our values,” he said.
He explained that the Zain concept of one network was to create a seamless network across its operations with the offering of one local tariff, thereby abolishing the high cost of roaming charges.
Dr Barrak stated that its brand would bring about performance and place the company as the number one mobile company in Africa and among the top 10 global brands in the world.
Zain presently is the number one player in 14 out of 20 of its active operations in Africa and the Middle East.
He stated that it was part of the strategy of the company to list part of its operations on the local stock markets and mentioned, for instance, that the Ghana operations planned to list part of its shares on the Ghana Stock Market within two years.
He added that the group hoped to list shares on some international stock markets, adding that its initial public offer in Zambia achieved greater success.
Dr Barrak stated THAT the company had embarked on a number of sustainable projects under its corporate social responsibility to reach out to help deprived communities across Africa.
He mentioned its projects in Dertu in the northern part of Kenya where it had provided affordable handsets and installed a network service to help the farmers to do business.
Again, he mentioned the low-cost, affordable handset projects in Uganda to help the fishing communities along Lake Victoria to carry out their activities with low cost phones.
DR Saad Al Barrak, the Group Chief Executive Officer of Zain, the new owners of Westel and international mobile telecommunications company operating in the Middle East and Africa, has said the company plans to double its investments in Africa and double its customer base throughout its operations.
He said the company had, over the past few years, invested over $10 billion in its operations in Africa, adding that “we will continue to invest more in our operations across Africa”.
Speaking at a news conference which brought together some international media across Europe, Africa and the Middle East, Dr Barrak said as part of its vision, the company hoped to attract 110 million customers by 2011.
Zain, which operates in 14 other African countries, was previously known as Celtel.
He said the company had undertaken a strategy to re-brand its global business, adding that “by re-branding to Zain, we are bringing together our African and Middle East operations under a single, strong and unique identity”.
He said the re-branding was consistent with the strategic vision of the company to become a leading global brand in the next few years.
The Zain Group, which has operations in 22 countries in the world, including 14 operations in Africa, with Ghana as its new destination, has over 50 million customers throughout its operations.
Dr Barrak described the branding as a significant milestone in the history of the company from the company’s humble beginnings.
He said the company had, over the past few years, evolved from a regional company to become an international brand.
The group CEO said it had expanded its operations and now had operations in Africa and the Middle East, with Ghana and Saudi Arabia being the new subsidiaries of the group, adding that “we will long for opportunities to extend our brand and services”.
Dr Barrak stated that the company presently had a consolidated revenue of about $3.488 billion, with net income of $551 million.
“For us to become a global company, we need to have one identity that reflects our unique direction and reflects our values,” he said.
He explained that the Zain concept of one network was to create a seamless network across its operations with the offering of one local tariff, thereby abolishing the high cost of roaming charges.
Dr Barrak stated that its brand would bring about performance and place the company as the number one mobile company in Africa and among the top 10 global brands in the world.
Zain presently is the number one player in 14 out of 20 of its active operations in Africa and the Middle East.
He stated that it was part of the strategy of the company to list part of its operations on the local stock markets and mentioned, for instance, that the Ghana operations planned to list part of its shares on the Ghana Stock Market within two years.
He added that the group hoped to list shares on some international stock markets, adding that its initial public offer in Zambia achieved greater success.
Dr Barrak stated THAT the company had embarked on a number of sustainable projects under its corporate social responsibility to reach out to help deprived communities across Africa.
He mentioned its projects in Dertu in the northern part of Kenya where it had provided affordable handsets and installed a network service to help the farmers to do business.
Again, he mentioned the low-cost, affordable handset projects in Uganda to help the fishing communities along Lake Victoria to carry out their activities with low cost phones.
GT Bank launches money transfer service
Story: Boahene Asamoah
GUARANTY Trust Bank, Ghana Limited, has introduced a new instant money transfer for its customers within the sub-region.
The new money transfer known as Guaranty Trust Monetary Transfer (GTMT) would offer common platform for all of the bank’s subsidiaries.
Speaking at the launch of the programme in Accra on Tuesday, the Managing Director of the bank, Mr Dolapo Ogundimu, stated that the new product was expected to add value its money transfer by offering lowest fee, ensure safety and was available at all its branches in the country.
“GTMT is a service for both customers and non-customers in Ghana, Nigeria, Gabon, Sierra Leone and Nigeria,”, she stated.
He said the bank has a network of 143 branches across its subsidiaries and stated that its services would be extended to its operations in Liberia as well as the London offices.
The Managing Director said one unique feature of the product was that the transaction was instant as compared to other money transfers available.
“A customer will receive instant cash from a sender sending money from any of our subsidiary anywhere”, he stated.
He said the product was intended to facilitate trade and economic growth in the sub-region and assured customers of the high quality service to support their businesses.
Research has revealed that about $300,000 of remittances are received from Nigeria to Ghana especially for Nigerian students in Ghana.
The Board Chairman of the bank, Alhaji Yusif Ibrahim, who launched the product said the product would lead to what he described as the “emancipation of African trade”.
He said “this promote would promote trade, harmony and deepen south-south co-operation.”
The Gambia Ambassador to Ghana, Alhaji Mohammed Jafah, stated that the product was a good business idea that needed the support of all stakeholders.
He reiterated earlier submissions that the product would further deepen economic relations between the countries within the sub-region of West Africa.
GUARANTY Trust Bank, Ghana Limited, has introduced a new instant money transfer for its customers within the sub-region.
The new money transfer known as Guaranty Trust Monetary Transfer (GTMT) would offer common platform for all of the bank’s subsidiaries.
Speaking at the launch of the programme in Accra on Tuesday, the Managing Director of the bank, Mr Dolapo Ogundimu, stated that the new product was expected to add value its money transfer by offering lowest fee, ensure safety and was available at all its branches in the country.
“GTMT is a service for both customers and non-customers in Ghana, Nigeria, Gabon, Sierra Leone and Nigeria,”, she stated.
He said the bank has a network of 143 branches across its subsidiaries and stated that its services would be extended to its operations in Liberia as well as the London offices.
The Managing Director said one unique feature of the product was that the transaction was instant as compared to other money transfers available.
“A customer will receive instant cash from a sender sending money from any of our subsidiary anywhere”, he stated.
He said the product was intended to facilitate trade and economic growth in the sub-region and assured customers of the high quality service to support their businesses.
Research has revealed that about $300,000 of remittances are received from Nigeria to Ghana especially for Nigerian students in Ghana.
The Board Chairman of the bank, Alhaji Yusif Ibrahim, who launched the product said the product would lead to what he described as the “emancipation of African trade”.
He said “this promote would promote trade, harmony and deepen south-south co-operation.”
The Gambia Ambassador to Ghana, Alhaji Mohammed Jafah, stated that the product was a good business idea that needed the support of all stakeholders.
He reiterated earlier submissions that the product would further deepen economic relations between the countries within the sub-region of West Africa.
ETI partners ACCION international
Story: Boahene Asamoah
ECOBANK Transnational Incorporated (ETI), the pan-African bank, has partnered ACCION International, an international micro-financing institution to assist in providing services to micro-lending institutions in the country.
The $1.5 billion investment is known as EB-ACCION Savings and Loans Company limited, with equity participation from the two companies.
The company, which is started in Ghana, will be replicated using ETI’s Africa operations which currently has 25 operations in Africa to support micro-, small-and medium-scale enterprises.
At the launch of the new company in Accra over the weekend, the Minister of Finance and Economic Planning, Kwadwo Baah-Wiredu, stated that the partnership was in line with the government’s vision of supporting the micro sector of businesses in the country.
“We need partnership to move forward this nation,” he said, while making references to the GT and Vodafone deal.
He said the economy had been growing at a steady pace and stated that there had been improvements in the financial services delivery.
Mr Baah-Wiredu called on beneficiaries of the loan facilities from the loan company to ensure early repayment of loans to enable the fund support other people.
The minister called on management of the company to ensure good corporate practices that would make the business more viable.
A Deputy Minister of Trade, Industry, Private Sector Development (PSD) and the President’s Special Initiative (PSI), Mrs Gifty Ohene-Konadu, stated that the partnership between the two companies would complement government’s initiative to support the micro and small industries in the country.
She said the government had signed a €20 million loan agreement with the Italian government to support the development of the private sector.
The Group Chief Executive Officer (CEO) of ETI, Mr Arnold Ekpe, said the mission of the group was to offer world-class banking service that would make a difference as well as contribute to the economic development of the region.
The President and Chief Executive Officer of ACCION International, Ms Maria Otero, said the event carried several messages to support micro and small businesses in the country.
She said ACCION operated in over 24 countries with 35 partners and had 3.3 million customers.
Ms Otero added that the company had so far granted $3 billion in loans to customers and had repayment rate of 96 per cent of all loans granted.
The CEO stated that partnership with ETI was to reach the low-income earners in the Ghanaian society, and stated that the company was honoured to partner ETI to provide financial services to the people.
The Managing Director of EB-ACCION, Mrs Frances Adu-Mante, stated that within the short period of existence, the company had 4,000 savings deposits and had granted about 1,000 applicants credit to turn around their businesses.
She said the partnership, primarily, was to identify an opportunity to support individuals and micro and small businesses in the country.
ACCION is an innovator in financial access, pioneering many of the best practices and emerging standards in the industry.
The company provides a full range of technical assistance and management services, as well as investment and governance support to help financial institutions build institutional capacity and financial strength in order to serve low-income households on a broad scale.
Over the past 35 years, ACCION has helped to build and strengthen some of the most successful micro-finance institutions (MFIs) in the world.
ECOBANK Transnational Incorporated (ETI), the pan-African bank, has partnered ACCION International, an international micro-financing institution to assist in providing services to micro-lending institutions in the country.
The $1.5 billion investment is known as EB-ACCION Savings and Loans Company limited, with equity participation from the two companies.
The company, which is started in Ghana, will be replicated using ETI’s Africa operations which currently has 25 operations in Africa to support micro-, small-and medium-scale enterprises.
At the launch of the new company in Accra over the weekend, the Minister of Finance and Economic Planning, Kwadwo Baah-Wiredu, stated that the partnership was in line with the government’s vision of supporting the micro sector of businesses in the country.
“We need partnership to move forward this nation,” he said, while making references to the GT and Vodafone deal.
He said the economy had been growing at a steady pace and stated that there had been improvements in the financial services delivery.
Mr Baah-Wiredu called on beneficiaries of the loan facilities from the loan company to ensure early repayment of loans to enable the fund support other people.
The minister called on management of the company to ensure good corporate practices that would make the business more viable.
A Deputy Minister of Trade, Industry, Private Sector Development (PSD) and the President’s Special Initiative (PSI), Mrs Gifty Ohene-Konadu, stated that the partnership between the two companies would complement government’s initiative to support the micro and small industries in the country.
She said the government had signed a €20 million loan agreement with the Italian government to support the development of the private sector.
The Group Chief Executive Officer (CEO) of ETI, Mr Arnold Ekpe, said the mission of the group was to offer world-class banking service that would make a difference as well as contribute to the economic development of the region.
The President and Chief Executive Officer of ACCION International, Ms Maria Otero, said the event carried several messages to support micro and small businesses in the country.
She said ACCION operated in over 24 countries with 35 partners and had 3.3 million customers.
Ms Otero added that the company had so far granted $3 billion in loans to customers and had repayment rate of 96 per cent of all loans granted.
The CEO stated that partnership with ETI was to reach the low-income earners in the Ghanaian society, and stated that the company was honoured to partner ETI to provide financial services to the people.
The Managing Director of EB-ACCION, Mrs Frances Adu-Mante, stated that within the short period of existence, the company had 4,000 savings deposits and had granted about 1,000 applicants credit to turn around their businesses.
She said the partnership, primarily, was to identify an opportunity to support individuals and micro and small businesses in the country.
ACCION is an innovator in financial access, pioneering many of the best practices and emerging standards in the industry.
The company provides a full range of technical assistance and management services, as well as investment and governance support to help financial institutions build institutional capacity and financial strength in order to serve low-income households on a broad scale.
Over the past 35 years, ACCION has helped to build and strengthen some of the most successful micro-finance institutions (MFIs) in the world.
Oil marketing companies call for upward adjustment
Business page August 4/2008
Story Charles Benoni Okine
THE Association of Oil Marketing Companies (OMCs) has called for an upward review of the margins paid to its members for lifting of petroleum products for the market to avoid a looming cash flow crisis within the sector.
Although the association did not state any particular level of adjusted margin, it said the increase would enable members to meet their operational costs, which kept rising by the day.
The Chairman of the OMCs, Mr Agyemang Duah, told the Daily Graphic in an interview that members of the association might be forced to close down some of their outlets and cut down on their staff numbers as some of the cost control measures.
Since the sector was deregulated about three years ago, the number of OMCs have increased to about 40 and the numbers still keep rising.
Each of the companies is currently paid GH¢6.5 per litre for any of the petroleum products lifted.
There is a consensus in the industry that the growing numbers of operators in the sector have drastically reduced the volumes carried by each of the players, and this is impacting negatively on their margins and the economies of scale associated with lifting larger volumes.
“Those who are able to brave the storm may also be tempted to cut costs by not adhering to safety and environmental issues, a situation that might spell doom for the country in the near future,” Mr Agyemang Duah stated.
He cautioned that some of the major or big players which were mostly multinationals with large numbers of employees might be forced to wind up their operations if they continued to post loses.
Although multinational oil companies have recorded huge profits as a result of the rising oil prices, such profits are mostly associated with upstream operations rather than with the downstream.
Mr Agyemang-Duah, who is also the Managing Director of the recently listed GOIL, said the half-year results posted by most of the major OMCs in the country showed negative profits, mainly as a result of their high operational costs.
“Many of the players rely on the banks for facilities and the high interest rates are affecting us,” he said.
He said the association had been in talks with the National Petroleum Authority (NPA) to secure a better deal going forward, but that had yielded little results, and expressed the hope that the authority would take lifeline actions in due course to save the industry from collapse.
The Chief Executive Officer of the NPA, Mr John Attafuah, also empathised with the concerns of the OMCs, describing it as “most unfortunate”.
He agreed that competition in the industry had significantly reduced the volumes carried by each OMC, a situation that was also negatively affecting their profits.
However, he said, most of the OMCs had also become inefficient and that had forced their operational costs up and affected their turnovers and profits.
He said should the authority review the margins upward, the market would look more attractive to more OMCs to even worsen the situation.
To Mr Attafuah, a drastic cut in operational inefficiencies will save the situation for the OMCs, and urged them to take a critical look at that while the authority considered other innovative ways to help them out of their predicaments without shifting costs with regard to inefficiencies to customers.
Story Charles Benoni Okine
THE Association of Oil Marketing Companies (OMCs) has called for an upward review of the margins paid to its members for lifting of petroleum products for the market to avoid a looming cash flow crisis within the sector.
Although the association did not state any particular level of adjusted margin, it said the increase would enable members to meet their operational costs, which kept rising by the day.
The Chairman of the OMCs, Mr Agyemang Duah, told the Daily Graphic in an interview that members of the association might be forced to close down some of their outlets and cut down on their staff numbers as some of the cost control measures.
Since the sector was deregulated about three years ago, the number of OMCs have increased to about 40 and the numbers still keep rising.
Each of the companies is currently paid GH¢6.5 per litre for any of the petroleum products lifted.
There is a consensus in the industry that the growing numbers of operators in the sector have drastically reduced the volumes carried by each of the players, and this is impacting negatively on their margins and the economies of scale associated with lifting larger volumes.
“Those who are able to brave the storm may also be tempted to cut costs by not adhering to safety and environmental issues, a situation that might spell doom for the country in the near future,” Mr Agyemang Duah stated.
He cautioned that some of the major or big players which were mostly multinationals with large numbers of employees might be forced to wind up their operations if they continued to post loses.
Although multinational oil companies have recorded huge profits as a result of the rising oil prices, such profits are mostly associated with upstream operations rather than with the downstream.
Mr Agyemang-Duah, who is also the Managing Director of the recently listed GOIL, said the half-year results posted by most of the major OMCs in the country showed negative profits, mainly as a result of their high operational costs.
“Many of the players rely on the banks for facilities and the high interest rates are affecting us,” he said.
He said the association had been in talks with the National Petroleum Authority (NPA) to secure a better deal going forward, but that had yielded little results, and expressed the hope that the authority would take lifeline actions in due course to save the industry from collapse.
The Chief Executive Officer of the NPA, Mr John Attafuah, also empathised with the concerns of the OMCs, describing it as “most unfortunate”.
He agreed that competition in the industry had significantly reduced the volumes carried by each OMC, a situation that was also negatively affecting their profits.
However, he said, most of the OMCs had also become inefficient and that had forced their operational costs up and affected their turnovers and profits.
He said should the authority review the margins upward, the market would look more attractive to more OMCs to even worsen the situation.
To Mr Attafuah, a drastic cut in operational inefficiencies will save the situation for the OMCs, and urged them to take a critical look at that while the authority considered other innovative ways to help them out of their predicaments without shifting costs with regard to inefficiencies to customers.
Dialogue Crucial
Front (Lead) August 6/2008
Story: Charles Benoni Okine
Ghanaians of all political persuasions and responsibilities have been advised to embrace dialogue as a means to a peaceful, free and fair elections in December.
Speakers at the 3rd Daily Graphic Governance Dialogue that opened in Accra yesterday were unanimous that through dialogue Ghana would succeed in firming up the democratic credentials that have made it a continental icon for others to look up to.
The speakers — including notable politicians, bankers and entrepreneurs — said Ghana had, through its stable and peaceful nature, provided a shining example on the continent and could not fail the world as it goes to the polls to elect a new President and Members of Parliament to govern the nation for the next four years.
Their call comes in the wake of heightening tension among the political parties as a result of the stress and sometimes violence at many stations where new voters are being registered by the Electoral Commission.
The opening ceremony of the dialogue, which attracted the largest number of participants since its inception three years ago, was spiced by performances in dance and music by the Tema Youth Choir and the Ghana Dance Ensemble.
The theme for this years dialogue is: “Effective Democratic Governance: The role of stakeholders”, with the objective of explaining the multi-dimensional aspects involved in the governance of a nation; making civil society aware of their roles in shaping the destiny of their countries, as well as reviewing the progress on the democratic process in the West African sub-region.
Delivering the opening address on behalf of the Vice-President, Alhaji Aliu Mahama, the Attorney-General and Minister of Justice, Mr Joe Ghartey, said “since we are all stakeholders in this enterprise called Ghana, which we need to secure for our collective good and prosperity, we should all play our role in ensuring that the integrity of the election is without a shadow of doubt”.
He added that “as we stand at the threshold of a new and better Ghana, ruled by a better man or the best man, we should all be committed to moving forward”.
Mr Ghartey said the government had confidence in the electoral system, which is policed by the people at the polling stations.
“We have confidence in our Electoral Commission, whose independence, efficiency and integrity is recognised throughout Africa; we have confidence in our political process, we have confidence in our judiciary that had shown it has the capacity to resolve disputes, including election disputes, fairly and impartially,” he observed.
Mr Ghartey said the government was also confident about the security agencies, which had demonstrated a high sense of professionalism in Ghana and abroad, and indicated that “we are all committed to free and fair elections devoid of violence, bitterness, acrimony”.
He said Ghanaians needed to recognise that though they differed in views, “we are all each other’s keeper”.
Mr Ghartey said what confronted the nation today was that “whilst we applaud ourselves for the significant gains we have made in resisting rule by oppressors both internal and external, by creating laws, mechanisms and institutional good corporate governance, in furtherance of our natural and inalienable right to establish a framework of government which shall secure for ourselves and posterity the blessings of liberty, equality of opportunity and prosperity, we have not yet reached utopia”.
The Attorney-General acknowledged the management and workers of Graphic Communications Group Limited for organising the dialogue, saying, ”It is good for the country and it is a testimony to the credit of the Graphic group which is no doubt a socially responsible company.”
The Minister of Information and National Orientation, Mr Stephen Asamoah Boateng, for his part emphasised the need for a peaceful, free and fair elections in the country.
He said much as people might differ in ideology, dialogue was an important tool to ensure peace and stability.
The Managing Director of Barclays Bank, Ghana, Mrs Margaret Mwanakatwe, mentioned shared understanding, information flow in a transparent manner and uniformity of purpose as some of the key tenets to ensuring a peaceful nation.
She was confident that such tenets would lead to improved lives and create an environment conducive for business and democratic growth.
Mrs Mwanakatwe joined other speakers from the Finatrade Group, Stanbic Bank and Ghana Commercial Bank, all key sponsors of the programme, in congratulating the organisers of the dialogue for their foresight and commitment to ensuring the practice of good democratic governance not only in Ghana but in the sub-region in general.
The Managing Director of Graphic Communications Group Limited, Mr Ibrahim Mohammed Awal, in his welcoming address, said the move by the company formed part of the company’s resolve to ensure a peaceful nation and sub-region, to enable business to thrive while the democratic principles also get entrenched through the practice of good governance.
Story: Charles Benoni Okine
Ghanaians of all political persuasions and responsibilities have been advised to embrace dialogue as a means to a peaceful, free and fair elections in December.
Speakers at the 3rd Daily Graphic Governance Dialogue that opened in Accra yesterday were unanimous that through dialogue Ghana would succeed in firming up the democratic credentials that have made it a continental icon for others to look up to.
The speakers — including notable politicians, bankers and entrepreneurs — said Ghana had, through its stable and peaceful nature, provided a shining example on the continent and could not fail the world as it goes to the polls to elect a new President and Members of Parliament to govern the nation for the next four years.
Their call comes in the wake of heightening tension among the political parties as a result of the stress and sometimes violence at many stations where new voters are being registered by the Electoral Commission.
The opening ceremony of the dialogue, which attracted the largest number of participants since its inception three years ago, was spiced by performances in dance and music by the Tema Youth Choir and the Ghana Dance Ensemble.
The theme for this years dialogue is: “Effective Democratic Governance: The role of stakeholders”, with the objective of explaining the multi-dimensional aspects involved in the governance of a nation; making civil society aware of their roles in shaping the destiny of their countries, as well as reviewing the progress on the democratic process in the West African sub-region.
Delivering the opening address on behalf of the Vice-President, Alhaji Aliu Mahama, the Attorney-General and Minister of Justice, Mr Joe Ghartey, said “since we are all stakeholders in this enterprise called Ghana, which we need to secure for our collective good and prosperity, we should all play our role in ensuring that the integrity of the election is without a shadow of doubt”.
He added that “as we stand at the threshold of a new and better Ghana, ruled by a better man or the best man, we should all be committed to moving forward”.
Mr Ghartey said the government had confidence in the electoral system, which is policed by the people at the polling stations.
“We have confidence in our Electoral Commission, whose independence, efficiency and integrity is recognised throughout Africa; we have confidence in our political process, we have confidence in our judiciary that had shown it has the capacity to resolve disputes, including election disputes, fairly and impartially,” he observed.
Mr Ghartey said the government was also confident about the security agencies, which had demonstrated a high sense of professionalism in Ghana and abroad, and indicated that “we are all committed to free and fair elections devoid of violence, bitterness, acrimony”.
He said Ghanaians needed to recognise that though they differed in views, “we are all each other’s keeper”.
Mr Ghartey said what confronted the nation today was that “whilst we applaud ourselves for the significant gains we have made in resisting rule by oppressors both internal and external, by creating laws, mechanisms and institutional good corporate governance, in furtherance of our natural and inalienable right to establish a framework of government which shall secure for ourselves and posterity the blessings of liberty, equality of opportunity and prosperity, we have not yet reached utopia”.
The Attorney-General acknowledged the management and workers of Graphic Communications Group Limited for organising the dialogue, saying, ”It is good for the country and it is a testimony to the credit of the Graphic group which is no doubt a socially responsible company.”
The Minister of Information and National Orientation, Mr Stephen Asamoah Boateng, for his part emphasised the need for a peaceful, free and fair elections in the country.
He said much as people might differ in ideology, dialogue was an important tool to ensure peace and stability.
The Managing Director of Barclays Bank, Ghana, Mrs Margaret Mwanakatwe, mentioned shared understanding, information flow in a transparent manner and uniformity of purpose as some of the key tenets to ensuring a peaceful nation.
She was confident that such tenets would lead to improved lives and create an environment conducive for business and democratic growth.
Mrs Mwanakatwe joined other speakers from the Finatrade Group, Stanbic Bank and Ghana Commercial Bank, all key sponsors of the programme, in congratulating the organisers of the dialogue for their foresight and commitment to ensuring the practice of good democratic governance not only in Ghana but in the sub-region in general.
The Managing Director of Graphic Communications Group Limited, Mr Ibrahim Mohammed Awal, in his welcoming address, said the move by the company formed part of the company’s resolve to ensure a peaceful nation and sub-region, to enable business to thrive while the democratic principles also get entrenched through the practice of good governance.
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