Kofi Ahovi

The Government of Ghana is to recieve a total of US$40 million from the World Bank to provide technical and financial support for implementation of the Ghana Statistics Development Plan (GSDP), with a focus on the improvement of statistical service delivery by the Ghana Statistical Service (GSS) and nine Ministries Departments and Agencies (MDAs). The project will be financed from a US$30m International Development Associations (IDA) Credit and a US$10m Statistics for Results Facility Catalytic Fund (SRF-CF) Grant. The target beneficiaries of the project are all users and producers of statistics on Ghana. These include the Ghana Statistical Service; relevant MDAs; policy makers and planners; Parliament; civil society organizations; the private sector; and the international community including development partners; and ultimately the general public. The project’s overall objective is to strengthen the National Statistical System (NSS) in the production and dissemination o...

The Venture Capital Trust Fund (VCTF) will this week unveil yet another initiative aimed at addressing the stiff access to capital for early-stage entrepreneurs. The Trust Fund is preparing to launch an Angel Investor Network in Ghana. The Network to be dubbed the Ghana Angel Investor Network (GAIN) will provide a platform for high networth individuals and accomplished entrepreneurs to invest in early stage businesses. The combination of improved business climate and strong economic growth has anchored an age of entrepreneurship, where individuals are now willing to deploy skills and knowledge to unearth latent opportunities within the various sectors of the economy. However, the most significant impediment to transforming ideas into problem-solving businesses that create jobs and wealth is the dearth of capital to support early stage entrepreneurs in Ghana. GAIN is designed to blow away this hurdle and augment current efforts to spur entrepreneurship in Ghana. It is envisa...

By Kofi Ahovi Universal Motors Ghana limited, sole authorized distributor of Volkswagen (VW) vehicles in Ghana, has launched the new Volkswagen Passat onto the local market. With over 15 million cars sold, the new Volkswagen Passat is one of the most successful automobiles in the world. The styling of the bestseller was completely re-interpreted with many new safety and comfort technologies previously only seen in the Touareg and Phaeton luxury models. The new model of the Volkswagen Passat is powerful but environmentally friendly. Both the new Passat and Passat Variant consume less fuel, thanks to a range of engines that are nearly 10% more fuel efficient. Redefined power, an expression of advanced engineering skills and standard applies to every engine in the new Passat. Exceptional torque, effortless acceleration with automatic i.e. Direct Shift Gearbox (DSG) that electronically controls gear selection using two clutch systems. This produces unbroken acceleration, smooth power deliv...

In conformity with the FSA's Disclosure and Transparency Rules, Tullow Oil plc has announces the total number of voting rights in Tullow Oil plc as 903,925,045 As at the date of this announcement, Tullow Oil plc's issued share capital consists of 903,925,045 ordinary shares (with a nominal value of 10p each) with voting rights. No ordinary shares are held in treasury. Therefore, The above figure may be used by shareholders as the denominator for the calculation by which they will determine if they are required to notify their interest in, or a change to their interest in, Tullow Oil plc under the FSA's Disclosure and Transparency Rules.

At the just ended award ceremony organized by the Chartered Institute of Marketing, Ghana (CIMG), Toyota Ghana, for the third consecutive time retained its elevated status in the Hall of Fame, Motor Firm Category (2010). The award was in recognition of the company’s consistent improvement in the strategic marketing principles applied over the years. A release from Toyota Ghana, said the company is proud of the recognition and “duly acknowledges the support and loyalty of its esteemed customers in the achievement of this enviable accomplishment”.

Total Petroleum Ghana Limited (TOTAL) has announced the appointment of Guillaume Larroque as the Managing Director and a Board Member of the Company with effect from August 15, 2011. He replaces Jonathan Molapo as the Managing Director of the Company. Guillaume, a 40 year- old and a French national, is a graduate from ESSEC (M.B.A), Paris. Larroque joined the Total Group in April, 1995 and has been in the group for over a period of sixteen (16) years. He held various key positions in the Total Group both in France and abroad. Stanchart appoints new registrar Standard Chartered Bank Ghana Limited (SCB) has announced the appointment of Computershare Pan Africa Ghana Limited as shareholder Registrar to SCB with effect from September 8  

Tony Elumelu Foundation (TEF) has partnered with the Department for International Development (DFID) to promote Africa’s private sector and development of its communities. The partnership was reached at an event at the London Business School. The event served as a platform for dialogue between the private sector in Africa and policy makers to continue to discuss ways in which to create partnerships in Africa that eliminate bottlenecks and increase both the economic and social wealth of Africa. The UK Secretary of State for International Development, Andrew Mitchell, emphasized that “Africa is a continent of innovation, enterprise and opportunity “and urged businesses globally to seize those opportunities offered by African markets,” adding that “Well-directed action by people sitting in boardrooms can improve the lives of people in Africa just as much as aid workers and charity campaigners can”. As a leading spokesperson for the private sector in Africa, Elumelu, Chairman o...

By Desmond A. Nartey A notable economist once joked that the two certainties in life are death and taxes. Now how much more ominous can that get. But the concept of taxation plays a critical and necessary role in policy formulation and economic development. Throughout the history of human existence tax policy has been used both as a development tool as well as a vehicle to engineer social and economic change. Tax revenue has been used to build bridges, hospitals, schools etc, to improve social welfare, to influence the location of business enterprises and industry, to redistribute income from the more to the less endowed and also to improve consumption and mitigate social tension. Most important of all, taxation has always been a very compliant tool for underwriting war efforts and ensuring national security. Consequently, to try to run an economy without taxation would be analogous to trying to drive a car without fuel. According to a 2009 Organization for Economic Cooperation a...

The first SWIFT Business Forum for the West Africa Monetary Zone (WAMZ) to explore opportunities and challenges facing countries in the sub-region in their march towards financial integration has been held in Accra. The workshop, being attended by about 200 participants from the six countries in the second monetary zone, was on the theme “West Africa Monetary Zone – Clearing the Path to Regionalization”. Ghana, Gambia, Nigeria, Sierra Leone and Guinea are working to create a second monetary zone in the sub-region. Cape Verde currently has an observer status. It will set the stage for stakeholders to examine SWIFT as a choice of market payment infrastructure system for WAMZ in their journey towards becoming a regional financial block. SWIFT is a community of financial institutions using a messaging platform of the highest security and reliability. It also sets standards for electronic financial messaging. SWIFT oversight focuses primarily on the security and operatio...

A staff team from the International Monetary Fund (IMF), led by Christina Daseking, visited Accra during the week of August 29, 2011. The discussions with the authorities focused on recent economic policy performance and challenges for 2012. The mission met with President John Evans Atta-Mills, Finance Minister Kwabena Duffuor, Bank of Ghana Governor Kwesi Amissah-Arthur, and other senior officials, as well as representatives from civil society and the private sector. The mission would like to thank the Ghanaian authorities for their excellent cooperation and warm hospitality. At the end of the mission, Ms. Daseking issued the following statement: “Ghana’s economy has recovered strongly since the start of the IMF-supported program in 2009. Economic growth is expected to exceed 13 percent this year, boosted by the start of oil production as well as strong activity in other sectors of the economy. Inflation is now firmly in single digits, and the cedi has remained broadly stable against ...

Standard Chartered Bank has presented eye care equipment to the Apam Catholic Hospital, Twifo Praso and Saltpond Hospitals respectively under the “Removing Barriers to Quality Eye Care in Ghana Project” (RB2QE). The project falls under phase IV of the Bank’s Seeing is Believing Initiative which seeks to restore sight to the curable blind and to prevent blindness. “Seeing is Believing” is a Standard Chartered global community initiative established in 2003 to celebrate the Bank’s 150th anniversary. It is driven by staff that fundraise, volunteer and raise awareness of avoidable blindness issues across the globe. As replicated in Ghana, the Initiative partners leading eye care agencies to support projects that have an immediate impact on people’s lives and establish sustainable health care for the future. Under the “RB2QE” project which will ran over a four year period at a cost of US$1,416,772 million, Standard Chartered in partnership with Operation Eyesight Universal and through the s...

Standard Bank Group, the parent company of Stanbic Bank Ghana, has recorded headline earnings of 11% in the first six months ending June 30, according to a press statement. The Group which has representation in 17 African Countries including Ghana and Nigeria earned 6.6 billion Rands (about GHC 1.4 billion Ghana Cedis) up 11% on the corresponding period last year. Headline earnings per share of 418,4 cents were also up 10% with the Group’s Return of Equity (ROE) trending upwards, recording 14.5% for the six months compared to 12.5% for the 2010 year. The Bank has declared a dividend per ordinary share of 141 cents for the period under review. The Personal and Business Banking unit, which represents the retail session of the Bank had commendable results. Headline earnings were up 30% to R2 483 million for the period, supported by an improved credit experience. The division earned an ROE of 17.8%, up on the 14.7% recorded in the prior period. Despite a difficult operati...

By Kofi Ahovi More than 70% of the registered Rural and Community Banks (RCB) in the country have met the new minimum capital requirement, Business Week has gathered. A total of 106 out of the 136 RCB have met the new minimum capital requirement set by the Bank of Ghana (BoG). Checks at the Banking Supervision Department of the BoG indicate that only 30 of the registered rural banks are yet to fully meet the new requirements. The new minimum capital requirements set in 2008, requires the rural banks to up their stated capital from GH¢50,000 to GH¢150,000. With the current development, it implies that the rural banking sector have shored up a total capital of GH¢15.9 million. This is meant to strengthen the operational capital of the banks so that they do not depend on the central bank and customers. The level of risks in the operational, liquidity and credit facilities of RCB necessitated the new requirements. The capitalization requirement constitutes part of the central bank’s strate...

The Managing Director of HFC Bank, Mr Asare Akuffo, has assured his outfit’s unflinching support to the development and promotion of golf across the country. Mr. Akuffo said this at the HFC Bank’s Invitational Golf Tournament held last Friday at the Bok Nam Kim Golf Course, at the Burma Camp oval in Accra. Mr. Akuffo said golf serves as a form of exercise and well-being of the participants for people with busy schedules who cannot engage in sporting activities. He said the objective of the tournament was to provide a platform for the customers of the Bank to stay healthy, interact and exchange ideas. In the Men’s category A division, William Hackman emerged winner with a net score of 57 with Group Captain Gyima Kwakye and Larry Gbevlo-Lartey following in that order with 63 points and 65 points respectively. The Managing Director rated the event a success and promised that they would continue to support the promotion of the sport in the country. Nick Amarteifio ...

By Kofi Ahovi The Ghana Stock Exchange (GSE) has made changes to the board lot size of certain listed equities. This takes effect from this Monday, August 15, 2011 according to a release. The change is in accordance with sections 16(2) and 17(2) of its Automated Trading System Rules. Board lot is a standardized number of shares defined by a stock exchange as a trading unit. In most cases, this means 100 shares. The purpose of a board lot is to facilitate easy trading. It is more difficult for a broker to find a buyer for, say, 17 shares, than if everybody agrees to trade in 100 share lots. The board lot size of listed equities trading on the GSE Regular Market, whose share prices are GH¢10.00 and above, shall be ten (10) and multiples thereof. For such equities the minimum trading unit on the Odd Lot Market shall be one (1) and a maximum of nine (9) shares. Listed equities currently affected by this change are AngloGold Ashanti Limited (AGA), Standard Chartered Bank Ghana Limited (S...

By Kofi Ahovi Ghana’s fiscal operations during the first half of 2011, resulted in a narrow budget deficit of GH¢701.9 million compared with programmed deficit of GH¢645 million. However, this compares favourably to a deficit, on a cash basis, of GH¢821.8 million (3.2% of GDP) recorded during the same period in 2010. According to recent data released by the Monetary Policy Committee of the Bank of Ghana (BoG), this deficit was financed by a net domestic borrowing of GH¢599.8 million and a net foreign loan inflow of GH¢102 million. “The net domestic financing of GH¢599.8 million was well within the end-June programmed target of GH¢953.5 million,” the report stated. For the first half of the year, total revenue and grants amounted to GH¢5.1 billion compared to GH¢3.3 billion during the same period last year. International trade taxes, comprising import duties, import Value Added Tax (VAT), petroleum taxes and National Health Insurance Levy (NHIL) receipts for the first six months of thi...

... Commencement of mining operations targeting 191,000 ounces of Proven and Probable Gold Reserves By Kofi Ahovi Golden Star Resources Ltd. has announced that it has re-commenced mining of the free milling Pampe Deposit located 26 kilometers west of the Company's Bogoso processing plant in Ghana. The Company also announced that an exploratory drilling program is underway focused on increasing Pampe's Proven and Probable Reserves of 191,000 ounces of gold. The Pampe non-refractory deposit is on the southern end of the Akropong Trend, which is a subsidiary fault structure of the prolific Ashanti Trend. The Akropong Trend also hosts the multi-million ounce Edikan gold project operated by Perseus Mining, a released copied to BusinessWeek stated. The Pampe Deposit, an existing pit that was mined by Golden Star from 2007 to 2008, has all required regulatory permits and all necessary mining infrastructure in place. The Proven and Probable Reserves at Pampe are 1.7 million tonnes grad...

Ghana Oil Company Limited (GOIL) has announced that the company and Chase Petroleum Ghana Ltd have incorporated a Joint Venture Company (JVC) known as United Storage Company Ltd. The venture company is to rehabilitate, expand and operate GOIL’s Depot at Takoradi in the Western Region. The shareholding structure is 50% each for both companies It is hoped that GOIL will inform the market and the general public on any future developments.

By Kofi Ahovi The balance of trade data provided by the Monetary Policy Committee of the Bank of Ghana (BoG) shows that the deficit of US$1.3 billion in the first seven months of 2010 reduced to a provisional deficit of US$1.1 billion for the corresponding period in 2011. Total merchandise exports increased by US$2.9 billion to US$7.5 billion in 2011, representing a growth of 62.3% over the same period of 2010. The strong export growth was driven by gold, cocoa beans and crude oil. The total export of crude oil from January to July was 12.6 million barrels valued at US$1.4 billion, while exports of gold and cocoa beans were US$2.8 billion and US$1.5 billion respectively. On the other hand, total merchandise imports from January to July amounted to US$8.6 billion, representing an annual growth of 45.4%. Crude oil imports went up by US$229.1 million to US$825.9 million while imports of oil products increased by US$180.9 million to US$805.8 million. In addition, there were imports of g...

By Kofi Ahovi Provisional trade data from the Monetary Policy Committee of the Bank of Ghana for the first five months of this year showed that the balance on the trade account narrowed significantly by US$729.4 million, from US$1,067.1 million to a deficit of US$337.7 million. The MPC data indicates that total merchandise exports improved by US$2.1 billion to US$5.3 billion and represented a growth of 66.2% over the same period in 2010. Cocoa beans and products amounted to US$1.3 billion. Gold exports receipts amounted to US$1.8 billion. By the end of the 2009/2010 main cocoa season, cumulative purchases was 587,166 tons compared to the crop size at the close of the 2008/2009 season of 634,256 tonnes. The robust growth in exports for the first five months of 2011, were mainly driven by oil, gold and cocoa beans. Exports of crude oil for the period amounted to 8.6 million barrels valued at US$954.6 million, while exports of gold and cocoa amounted to US$2 billion and US$1.4 billion res...

By Kofi Ahovi Overall fiscal operations from January to July 2011 resulted in a narrow budget deficit of GH¢1.12 billion, compared with a target deficit of GH¢849.8 million, according to figures released by the Bank of Ghana’s Monetary Policy Committee last week. The deficit was financed by net domestic borrowing of GH¢1.04 billion and net foreign inflows of GH¢84.3 million. The net domestic financing represented 92.7% of budgeted target for the period. Provisional Bank of Ghana data on the execution of the budget shows that the total revenue target for the January - July period was achieved. However, it noted that the pace of growth in expenditures was higher than programmed. Total revenue and grants realized in the first seven months of 2011 amounted to GH¢5.8 billion compared to a target of GH¢5.7 billion. International trade taxes comprising import duty, import VAT, petroleum taxes and import NHIL totaled GH¢1.9 billion, exceeding the target by 7.7%. However, income and property ...

Ecobank Transnational Incorporated (ETI) has announced a Final Dividend of 0.4 US cents per share for the year ended December 31, 2010. All shareholders registered in the books of ETI at the close of business on Tuesday, July 12, 2011 will qualify for the final dividend of 0.4 US cents per share which was approved at the Annual General Meeting. The Register of shareholders will be closed on Wednesday, July 13, 2011. In view of the foregoing, the ex-dividend has been set as Friday, July 8, 2011. Consequently, an investor purchasing ETI shares before this date will be entitled to the final dividend. However, an investor buying ETI shares on or after Friday, July 8, 2011 will not be entitled to the final dividend. The final dividend of 0.4 US cent per share will be paid on Wednesday, July 27, 2011.

The 2010/11 cocoa season which is on-going attained an unprecedented level of 1,004,194 metric tonnes on 18th August, 2011 representing the 10th week of the Light Crop season. At the end of the 10th week, the cumulative 2011 Light crop purchases stood at 87,384 metric tonnes while the 2010/11 main crop which closed on 19th May, 2011 was 916,810 metric tonnes. This record production has been as a result of the collective efforts by government, farmers, COCOBOD, Licensed Buying Companies (LBCs) and other stakeholders in the industry through adherence to good agronomic practices, payment of remunerative producer price, application of fertilizers, disease and pest control, use of hybrid cocoa seedlings and scientific research. Since the liberalization of the internal marketing of cocoa, governments through COCOBOD has implemented pragmatic policies to ensure that Ghana maintains the quality of cocoa it provides to the international markets as well as sustaining the increase of cocoa produc...

By Kofi Ahovi The Monetary Policy Committee (MPC) of the Bank of Ghana (BoG) would from today begin meeting to review the health of the economy. It is expected to announce a new policy rate this Wednesday which would serve as the benchmark for universal banks in the country in setting their respective base lending rates. The policy rate is the rate at which the central bank does overnight lending to universal banks in the country. It serves as a basis for the banks in setting their respective base lending rates, as well as lend to their most favoured customers. BoG cut its policy rate by 50 basis points from 13% to12.5% in July this year but base lending rate The policy rate is the rate at which the central bank does overnight lending to universal banks and serves as a basis for the banks in setting their respective base lending rates, as well as lending to their most favoured customers. Some analysts that BUSINESSWEEK spoke to were of the view that the central bank would maintain the ...

By Adelaide Kotey The Monetary Policy Committee (MPC) of the Bank of Ghana (BoG) has to maintaiedn its policy rate at 12.5%. The policy rate is the rate at which the central bank does overnight lending to universal banks in the country. The committee maintained the rate based on a number of factors including, strong revenue mobilization, the pick-up of economic activity, and positive macro-economic conditions. The Governor of the BoG, Kwesi Amissah-Arthur disclosed this at press conference in Accra, last week. He said that, “Inflation expectations are well-anchored and have stabilized along the single digit path, supported by favourable food prices. The rate has continued to decline and the 9% target for the year is achievable”. Statistics from the Ghana Statistical Service (GSS) show that overall inflation declined from 9.2% in February this year to 8.6% in June 2011, and further down to 8.39% i...

As hundreds of thousands of families prepare to jet off on their summer holidays, British Airways has prepared a list of top tips for travelling with children. Father of two and senior cabin crew member, Justin Cox says: “As a parent I understand that travelling with kids can at first seem like a daunting prospect, but it really needn’t be. After my 12 years as BA cabin crew I have found that flying can be made more comfortable and even fun for kids by following a few simple pointers.” If you plan to take your own car seat for the flight, check with your airline before travelling to make sure the seat fits the airline’s criteria, as different airlines have different requirements. Before your child’s first flight in their own seat, sit them on the sofa at home with a cushion between you as the armrest, explaining how it’s going to be on board. Take a small compact travel pushchair for easy cabin stowage onboard – regular sized pushchairs or strollers will normally have to go as hold lu...

By Kofi Ahovi The banking sector has shown a positive growth, compared to the same period last year, according to the latest Monetary Policy Committee report of the Bank of Ghana (BoG). Total assets of the banking industry grew by 27.2% to GH¢18.1 billion at the end of May 2011, on top of the 29.8% growth achieved during the corresponding period of 2010. Total liquidity relative to deposits increased to GH¢10.8 billion in May 2011, up from GH¢7.2 billion in May 2010. Bank profitability also increased by 21.9% to GH¢199.9 million, on top of the 53.3% growth recorded in May 2010. “The industry continued to be highly liquid and profitable,” the report stated. However, the asset quality of the banking system continues to remain a source of concern to BoG. At the last MPC meeting, the Non-Performing Loan Ratio (NPL) of the banking system stood at 16.2% in March 2011. The NPL ratio deteriorated to 17.5% in April 2011 and has, in May this year, improved to 17.2%. The Capital Adequacy Ratio (...

British Airways (BA) cabin crew are using the latest iPad model to bring a new dimension to customer service in the air. The iPads enable cabin crew to have prior awareness of customer preferences and a greater understanding of each customer’s previous travel arrangements, allowing them to offer a truly bespoke, personalised service. The iPad lets crew quickly identify where each customer is seated, who they are travelling with, their Executive Club status and any special meal requests. It gives cabin crew a whole library of information at their fingertips including timetables, safety manuals and customer service updates. It also means any issues can be logged with ground-based colleagues around the network prior to departure so solutions can be delivered while the flight is airborne. When all the passengers have boarded and just before the doors are shut, cabin crew are currently handed a long scroll of paper, listing up to 337 customers. With the new iPads cabin crew will simply refr...

The African University College of Communications (AUCC) will this week launch its Pensions Academy in Accra. This would be the first training institution on pension education in the country. AUCC will receive technical support from Aidoo Mensah & Associates, Ghana’s premier pensions and benefits consulting firm, and Frontline Capital Advisors Ltd, an investment advisory firm and pension fund management experts. The purpose of the academy is to provide professional training for trustees of provident fund/occupational pension schemes and other stakeholders involved in the management of the schemes to enable them meet the statutory requirement and manage their schemes effectively. The institute would also train journalists who wish to specialise in pensions reporting. The Academy will offer the full spectrum of training courses, from introductory programs for entry level trustees, to classes for those who wish to enhance their existing knowledge, up to advanced courses for individuals...

Anglogold Ashanti Limited (AGA) has announced an increase in its share capital. The issued ordinary shares of AGA increased from 381,573,111 as at end of June to 381,592,070 as at July 31, 2011. This was as a result of the issue and listing of additional ordinary shares in July on the Johannesburg Securities Exchange, South Africa. By this arrangement, AGA share capital has also been increased from 45,972,695,347.79 South African Rand to 45,978,471,060.88 South African Rand at July, 2011.

Anglogold Ashanti Limited (AGA) has announced the converted interim dividend of 90 South African cents per share. Therefore, the interim dividend would be GH¢0.191880 and GH¢0.001918 per share for AGA and AADs respectively. PZ announces AGM PZ Cussons (Ghana) Limited (PZ) has announced that the Company’s Annual General Meeting will be held at the Ghana-India Kofi Annan Center for Excellence in ICT, Ringway Estates, Accra near the Ghana Institute of Journalism on Friday, September 30, 2011 at 11.00 am.

By Kofi Ahovi Anglogold Ashanti Limited (AGA) has announced an interim dividend of 90 South African cents per share for the 2011 financial year. The amount was expected to be converted last week, and communicated to the investing public. All shareholders registered in the books of AGA at the close of business on Friday, August 26, 2011 will qualify for the interim dividend. Meanwhile, the register of shareholders will be closed from Monday, August 29, 2011 to Friday, September 2, 2011 (both dates inclusive). In view of the foregoing, the ex-dividend date has been set as Wednesday, August 24, 2011. Consequently, an investor purchasing AGA shares before this date will be entitled to the interim dividend. However, an investor buying AGA shares on or after August 24, 2011 will not be entitled to the interim dividend. The interim dividend will be paid on Monday, September 12, 2011.