Kofi Ahovi

United Bank for Africa (UBA) Plc; one of the largest financial services institution in Africa, has released its unaudited financial results for the first six months of the year, showing positive growth in financial indices. In the unaudited financial results, released to the Nigeria Stock Exchange (NSE), UBA recorded a gross earnings of N138 billion (¢2.60billion), representing an increase of 8.66% over the N127 billion (¢2.40billion) recorded in the same period in 2013. Growth in gross earnings was boosted by an 11% increase in interest income to N98.5 billion (¢1.8billion) in the first half of 2014 from N88.6 billion (¢1.6billion) in the comparative period of 2013. There were also increases in other financial indices; Net interest income was up 3.4% to N55.2 billion (¢1.04billion), non-interest income rose 3.1% to N39.8 billion (¢752 million); operating income was up 2.7% to N92.2 billion (¢1.7billion) and profits stood at N29 billion (¢548 million) for the period. Commen...

Surfline Ghana has officially launched the first commercial Fourth Generation Long -Term Evolution (4G LTE) Internet service in the country. The 4GLTE service, which is designed to provide up to 10 times the speeds of Third Generation (3G) networks for mobile devices such as smartphones, tablets, netbooks, notebooks and wireless hotspots, is expected to provide the fastest internet services in the country. This implies that downloading huge files, movies, pictures, among others, from the internet can be done in seconds instead of minutes or hours as in many instances. The 4G technologies are also designed to provide IP-based voice, data and multimedia streaming at speeds of at least 100 Megabit per second and up to as fast as one Giggabit per second, making it the most reliable service to transform the turnaround time of businesses and individuals. Launching the Surfline service in Accra last week, the Minister of Communications, Dr Edward Omane Boamah, described the move as one ...

By Alex Bentil Oracle has introduced its engineered systems in Accra. The engineered systems which are a combination of hardware and software IT products have been assembled and synchronized to work together with ease and increase an organisation’s productivity. The US based multinational computer company’s engineered system provides corporate entities the luxury of faster implementation of IT related duties and tasks, less deployment and operational risks, great cost performance and lowest total cost output. Oracle’s Regional Manager for West and Central Africa, Annick Sakho, explained that since Oracle’s focus is to simplify IT, the outdooring of the engineered system was a step in the right direction. This focus she explained was due to the fact that the business environment was dynamic hence the need to develop products that suited the changing phase of the environment. “Oracle is focused on simplifying IT because the business environment is changing and companies are making...

Kenya Airways has suspended flights operation to both Liberia and Sierra Leone. The suspension was based on a caution from the Kenya’s ministry of Health with regards to the recent Ebola outbreak. In a statement signed by Titus Naikuni, Group Managing Director & CEO, it said “As we have indicated before, we are dependent on expert advice for our continued operations from Ministry of Health and WHO. Following the Ministry of Health statement; Kenya Airways wishes to confirm that we will comply with the advice to suspend our commercial flight operations to Liberia and Sierra Leone temporarily. This operational decision effective; Tuesday 19th August 2014 midnight, is based on the situation risk assessment by Kenya’s Ministry of Health”. The airline expressed its sincere regrets for disrupting travel plans clients who are booked on the suspended flights, and it is providing a full refund of all tickets earlier booked and paid for prior to this suspension. The provision of air ...

The Institute of Financial and Economic Journalists (IFEJ), Ghana, has launched a scheme to reward business and financial journalists in the country. Dubbed the “IFEJ Flamingo awards for Business and financial journalism”, the award seeks to deepen the level of financial journalism in the country, while rewarding outstanding financial journalists based on their published works. Speaking at the launch of the awards, the President of IFEJ Ghana, Lloyd Evans, said the award was not aimed at competing with the annual Ghana Journalists Association (GJA) awards, but rather to complement the awards programme of the association. The first edition of the awards scheme slated for November this year has drawn a lot of corporate sponsors, including the World Bank and Enterprise Life. According to Mr Evans, the awards would not just be an annual event for the sake of it, but would help Ghanaian financial journalists improve on their writing skills to better equip them to win international aw...

Airlines should maintain services to Ebola-hit regions which need connections with the outside world in order to fight the disease, the International Air Transport Association said last week after more carriers put flights on hold. The industry needs only to screen passengers at airports in infected areas, apply rigorous procedures including isolation when handling suspected cases, and fully disinfect planes afterwards, IATA, said, citing World Health Organization advice that aviation constitutes a “row risk” for Ebola transmission. “They have been very clear that travel and trade bans are unnecessary,” Raphael Kuuchi, IATA’s vice president for Africa, told the body’s Africa Aviation Day conference in Johannesburg. “Unless this advice changes we hope that countries working hard to eradicate Ebola continue to benefit from air connectivity.” IATA issued the plea after Kenya Airways Ltd., Africa’s third-largest carrier, said this weekend it would stop flying to Liberia and Sierra L...

Having been among the continent’s fastest-growing economies on the back of an oil-fuelled boom, Ghana has cut its growth target for this year and revised its forecast for inflation and budget deficit upwards as a result of slowing commodity revenues and high current spending. Ghana’s forecasts for 2014 are by any comparison still robust, but they have highlighted some cyclical hurdles ahead. In an economic update released in July, Finance Minister Seth Terkper said GDP growth for 2014 was now estimated at 7.1% instead of 8% previously. He added that the budget deficit for the full year would climb to 8.8% instead of the initially targeted 8.5%, well below the double-digit rates of a few years ago but still higher than expected. The minister has requested parliamentary approval for an additional GHS3.1bn ($837m) in spending on top of the original 2014 budget of GHS34.9bn ($9.43bn). More worryingly, the updated outlook also included a higher forecast for inflation, at about13% inst...

...stakeholders call for an amendment By Kofi Ahovi Stakeholders in the telecom industry are appealing to the government to consider reverting the law mandating telecommunications companies to charge 19 cents for incoming international calls. The stakeholders believe this would discourage the activities of SIM Box fraudsters. Under the law the telcos are expected to pay 6 cent out of the 19 cent to the government. Currently, both the government and the telcos are losing revenue due to the activities of these SIM Box fraudsters. SIM Box fraud is a system by which some persons re-route international calls coming to Ghana through some boxes in which they have inserted local SIM cards, and they terminate the calls using those SIM cards, to make the call appear as a local call. This business is particularly growing because the perpetrators are able to negotiate lower rates other than the 19 cents with the international carriers and only pays about 4 cents to the telcos by termina...

Ghana’s agricultural sector has been under-resourced, both the public and the private sectors; by the private sector because it is not given the priority level it deserves in the allocation of government’s funds and by the private sector because it is perceived as too risky to lend to by financial institutions and invest in by entrepreneurs and equity investors. Rebasing of the country’s Gross Domestic Product has inadvertently worsened the situation. In revising the relative contributions of various areas of activity to the GDP, agriculture’s contribution has fallen to an all-time low of 32.37% since 2010, which for the first time has been eclipsed by the 32.82% contribution of the services sector, which before the GDP rebasing, was more attractive to public policymakers and private sector investors alike. The lowering of agriculture’s contribution to the GDP means that government, in seeking the highest GDP growth rate possible, has less reason to focus on its resources on agricul...

The African Cashew Alliance’s prestigious World Cashew Festival & Expo returns to Ghana for the second year running, with a 4-day event beginning on 11th November 2014 at the Accra International Conference Centre. Over 400 delegates from all over the world and from all levels of the cashew value chain will converge, to forge business deals, share knowledge and discuss the future of the industry, at an event which will bring in over $1 million USD to the Ghanaian economy in the space of 4 days. Although Ghana’s cashew industry is relatively small by global standards, cashew processing in Ghana ranks among the most industrialized in Africa, and the country by now has the capacity to process far more cashews than it harvests. Ghana is an inspiration to other countries seeking to industrialize their cashew processing sectors, and the conference will attract businesspeople from many other parts of the continent interested in emulating Ghana’s model. The cashew industry earns Ghana ...

Ghana, August 2014: Ghana’s efforts to broaden its economic base through reforms and new infrastructure, while tapping into the country’s natural resource wealth, will be analysed in a forthcoming report to be produced by the global publishing firm, Oxford Business Group (OBG). The Report: Ghana 2014 will put the country’s proposed Public Private Partnership (PPP) legislation, which is currently before Cabinet, under the microscope. The publication will also explore Ghana’s plans for its hydrocarbons industry, which include a proposed new gas processing plant, as the country moves to meet rising demand for power. The law firm AB & David has signed a first-time Memorandum of Understanding (MOU) on research with OBG for its forthcoming report. Under the MOU, OBG will have access to the firm’s resources, which will be used to compile the law chapter of The Report: Ghana 2014. Isabel Boaten, the law firm’s Managing Partner, said that she looked forward to playing a part in OBG’...

First Atlantic Bank Limited has made a donation towards the 15th anniversary celebration of Otumfuo Osei Tutu II during a courtesy call on him at the Manhyia Palace. Ben Barth, a member of the Bank’s Board of Directors led a delegation made up of the MD/CEO, Gabriel Edgal, Daniel Wilson Addo, Executive Director and other senior Staff from the bank to officially congratulate Otumfuo on the milestone. Ben Barth on behalf of the Board Chairperson used the opportunity to formally inform Otumfuo of the bank’s rebranding and re-launch which according to him is the first of efforts by the Board and Management of First Atlantic Bank to re-invent a bank that is tuned to the discipline of global best practices and the passion of delivering a refreshingly different banking experience for every one that honours us with their business. “Re- launching the bank in Kumasi is to demonstrate our faith and commitment to the industrious, hardworking and illustrious people of Asanteman”. He added. ...

British Airways is offering a limited number of very special discount fares for its Ghanaian passengers in celebration of the launch of the 747 aircraft. The airline has reduced its fair to US$74, excluding taxes, for a return trip. Passengers wishing to take advantage of the discount fares can book now but flights are schedule for the beginning of the April. Moran Birger, British Airways commercial manager for Ghana says the “astonishing” US$74 fare is in line with the airline’s promise to “keep exciting our Ghanaian customers”. British Airways is increasing capacity to Ghana by over 1 000 seats a week, just six months after it upped its schedule between London and Accra from seven to 10 services a week. From the end of March it will start operating Boeing 747-400s on the route, replacing the smaller Boeing 777s. The 747-400 is able to accommodate 337 customers in a four-cabin configuration – First, Club World, World Traveller Plus and World Traveller. Birger, says when the sum...

Barclays Ghana records GH¢202 m profit Barclays Bank ended last year with a profit of GH¢202.5 million, representing a 35 percent increase in earnings for 2013 from GH¢150 million recorded for 2012. This makes Barclays the second most profitable bank after Standard Chartered Banks' GH¢208 million, according to the financial results released so far by commercial banks in the country. Speaking at the Bank's Annual General Meeting Luncheon, Managing Director, Patience Akyianu, said the bank will explore digital channels to grow their profits even more for this year. "We will also focus on some key thematic initiatives to drive the achievements of the bank's short-term plan, in our bid to become the ‘go-to’ bank in Ghana", she revealed. She adds that their impressive 2013 bottom line is the result of a progressive income growth, and not merely from impairment releases and savings in costs. She maintained that a renewed focus on business banking and recogni...

The long-awaited implementation of domestic content legislation on February 1 is expected to help improve participation rates by local businesses in Ghana’s oil and gas sector. As is the case in many resource-rich countries, Ghana has faced challenges in ensuring the gains from its 2007 discovery of the roughly 100,000 barrel per day (bpd) Jubilee field translate into domestic jobs and spending. The new law, formally known as the Petroleum Regulation on Local Content and Participation, was approved by parliament last year after lengthy debate, and if executed effectively, has the potential to improve indigenous capacity in the hydrocarbons sector. According to the new rules, local businesses will be given first preference in bids for petroleum licences, while Ghanaian companies must have at least a 5% stake in every contract awarded to an international investor. Industry reaction mixed The government has said it is aiming to achieve 90% local participation by 2020, an ambitiou...