Kofi Ahovi

 In an increasingly digital economy, accelerated by the Covid-19 pandemic, there has been greater collaboration between the private sector and governments in Africa to further the continent’s digital and financial inclusion agenda. Financial inclusion, in particular, is both a pre-condition and a key enabler for meeting many of the UN’s Sustainable Development Goals (SDGs), including reducing poverty, boosting economic growth and promoting market access. To this end various governments, including Kenya and Tanzania, have not only embraced digital transformation but also provided sound and enabling policy frameworks over the years to allow for innovative solutions that empower citizens. For instance, mobile money platforms such as M-PESA have been vital drivers of financial inclusion on the continent. However, government tax policies pose a significant challenge to the sustainability of mobile money services and financial inclusion gains made by these innovations. Vodacom Group’s po...

  The winners of the 2022/2023 Kosmos Innovation Center (KIC) AgriTech Challenge Pro were announced in a final pitch competition held in Accra on Friday March 24, 2023. This comes after months of extensive training on entrepreneurship and business development, with coaching from a team of experts drawn from academia, business, industry, civil society, and government. The KIC AgriTech Challenge Pro competition provides a platform for young entrepreneurs to showcase their innovative ideas and businesses and compete for funding support while receiving skills that help them develop their business modules and strategies. Participants are drawn from the AgriTech Challenge Classic program and from a pool of existing start-ups who are ready to nurture their business for investor readiness. The teams were coached and mentored by the following universities: University of Cape Coast, the University of Ghana, the Kwame Nkrumah University of Science and Technology, the University for Developmen...

  The Electricity Company of Ghana (ECG) has issued a timetable to guide consumers, as gas supply to some power plants will be impacted for the next two weeks due to the Atuabo Gas Processing Plant in the Western Region being shut down. The routine shutdown, which commenced on March 25, is intended to ensure the dependability of the gas processing plant and transmission infrastructure. As per a press release from the Ministry of Energy on March 29, the shutdown will impact gas supply to some power plants, which will ultimately lead to power outages for some consumers. The ECG will shortly release a schedule to inform consumers about the disruptions. The Ministry has promised that measures are in place to procure additional gas from Nigeria to deal with the impending adverse effects. The additional supply from Nigeria will comprise Heavy Fuel Oil (HFO) and Light Crude Oil (LCO). The Ministry's "Dum Siesie" programme, which promises to guarantee dependable power supply thro...

  The Bank of Ghana has warned the general public to stop using cedi banknotes as bouquets and hampers when gifting people. It said the currency was issued to be used as a medium of exchange for the purchase of goods and services. The Director of the Currency Department at the central bank, Dominic Owusu, told journalists today (Thursday, March 30, 2023) that any other use of the currency was illegal and subject to prosecution. He said the bank had noticed that some people were using the cedi notes as bouquets and hampers as gifts during weddings, birthdays and other celebrations, a practice he said must be stopped. He said beyond being illegal, such acts made it easier for the notes to spoil or get defaced. Given that spoilt and worn-out notes are replaced at a cost, he said such acts affected the operations of the central bank. Owusu was speaking to journalists on how to preserve the currency as part of events marking Ghana month in March. He said the local currency was a great s...

  Standard Chartered Bank Ghana PLC has appointed Albert Larweh Asante as an Executive Director for the bank, effective March 21, 2023. Asante is currently the Chief Financial Officer of Standard Chartered Bank Ghana PLC. He joined Standard Chartered Bank Ghana Ltd in 2006 and has held various senior roles including Head, Wholesale Banking Business Finance, Ghana, Financial Controller and Chief Financial Officer for Standard Chartered Bank, Angola S.A. He also served as an Executive Director of the Bank while in Angola. Prior to his appointment as Chief Financial Officer for Standard Chartered Bank Ghana PLC, he was the Cluster Head of Finance for Corporate, Commercial & Institutional Banking, West Africa with oversight responsibility for Nigeria, Ghana, Cameroon, Cote d’Ivoire, Gambia, and Sierra Leone. Albert is a Fellow of the Institute of Chartered Accountants, Ghana; a CFA Charterholder, holds an MBA from the University of Warwick, United Kingdom, and a Bachelor of Science...

  Independent power producers (IPPs), the electricity generation companies that control 50 per cent of the country’s generation mix, have called on the government to urgently settle its indebtedness to them. The nine companies said the Electricity Company of Ghana (ECG) owed them about the cedi equivalent of $1.4 billion as of last month. The Independent Power Generators, Ghana (IPGG), formerly known as the Chamber of Independent Power Producers, Distributors and Bulk Consumers, told the Daily Graphic in an exclusive interview that the government must pay up at least the overdue debt which constituted more than half of the indebtedness. If the ECG does not pay up part of the debt owed our members, they cannot guarantee continuous production of power for the next two weeks. The situation is so dire that something urgent must be done,” the Chief Executive Officer (CEO) of the IPGG, Dr Elikplim Apetorgbor, told the Daily Graphic in the interview. He said the debt meant that the IPPs d...

  The Bank of Ghana has denied social media speculation that it plans to introduce a GH¢500 coin, asserting that it has no immediate plans to issue higher denominations for circulation.  Although samples of the purported coins have been shared on social media, the Director for Currency Management at the Bank of Ghana, Dominic Owusu, dismissed the reports as false.  He explained that the introduction of new currency or withdrawal of existing notes and coins is always thoroughly planned and accompanied by extensive public and media education. When there is a currency issuance or change, the Bank of Ghana will come with an appropriate press release to inform the public. We saw on social media that the central bank will issue a ¢500 note or coin but the bank has not done any such thing. So it’s not true,“ Mr Owusu told Joy NEws in an interview. Owusu urged the public to ignore social media stories that suggest the Bank is introducing new currencies without an official stateme...

  The Internal Audit Agency (IAA) says it has saved the country GH¢4.5 million through the implementation of the Electronic Salary Payroll Validation (ESPV) system. The system, which was implemented by the IAA, in collaboration with the Controller and Accountant-General’s Department (CAGD), helped to retrieve the money between June 2022 and March 2023, following the identification of ghost names on the payrolls of some public institutions. This was contained in an address read on behalf of the Director-General of the IAA, Dr Eric Oduro Osae, by the Head of the Project Coordinating and Monitoring Unit (PCMU) of the IAA, Alhassan Fuseini, at the maiden Accountability Town Hall Forum in Accra yesterday. ESPV In 2013, the CAGD rolled out the piloting of the validation of salaries through the ESPV by heads of management units as a requirement for the payment of salaries. That was under Regulation 304 of the Financial Administration Regulation, 2004 (LI 1803), which was amended in 2019, ...

  The Tullow Group has indicated that it may not be able to fully repay its US$2.5 billion notes outstanding which will mature in 2025 and 2026.  This is because the group’s Corporate Business Plan does not project sufficient free cash flow generation to allow it fully repay these notes when they fall due. The group would, therefore, need to access debt markets within the viability assessment period with the directors confident that the Group would be able to secure the funding required to maintain adequate liquidity headroom throughout the period. This was disclosed in Tullow’s 2022 annual report and accounts which was released on March 24, 2023. The report noted that management was focused on mitigating the risks around production, operating cost increases and potential outflows associated with disputes in order to reduce the likelihood of risks. Furthermore, the directors have considered additional mitigating actions that may be available to the group such as incremental co...

  The latest IPCC report makes it clear that a rapid and equitable phase-out of all fossil fuels is necessary to avoid overshoot and minimize irreversible harm to people and ecosystems.  Given the inequitable and catastrophic impact that exceeding a global temperature rise of 1.5°C will have on human rights and equity.  The Intergovernmental Panel on Climate Change (IPCC) was established in 1988 to provide policymakers with regular scientific assessments on the current state of knowledge about climate change. The Synthesis Report is the last of the Sixth Assessment Report products, released in time to inform the 2023 Global Stocktake by the United Nations Framework Convention on Climate Change. 2023 is when countries will review progress towards the Paris Agreement goals, including the goal of pursuing efforts to limit it to 1.5°C May Boeve, Executive Director, 350.org “This report urgently demands a phase out of fossil fuels and a just transition to publicly and communit...

  A total of 72 young indigenes of Ahafo have graduated under Newmont Africa’s Construction Worker Training Programme (CWT) held at Terchire, Tano North Municipality of the Ahafo Region. The three months artisanal training programme organised by Newmont Ghana Gold Limited (NGGL) under Newmont Africa trained the beneficiaries in welding, fabrication, scaffolding, steel bending, carpentry, masonry, equipment, and crane operations. The beneficiaries, comprising males and females, were drawn from the 10 host communities comprising Kenyasi Number One, Kenyasi Number Two, Ntotroso, Gyedu and Wamahinso hosting the NGGL Ahafo South Mine in the Asutifi North District and Susuanso, Yamfo, Afrisipakrom, Terchire and Adrobaa in the Tano North Municipality hosting the company’s Ahafo North Project.  Additionally, 96 artisans would also be trained in batches of 24 each with 48 starting their training in carpentry and masonry by the end of March 2023 whereas preparations were underway for the equ...

 MTN Ghana has held a digital sod cutting event to announce the construction of the Ghana ICT Hub project. The initiative falls in line with MTN’s Ambition 2025 strategy which is focused on leading digital solutions for Africa’s progress and its commitment towards supporting the Digital Ghana Agenda. This is aimed at creating jobs for the youth. The Ghana ICT Hub is a physical Infrastructure designed to provide 4,000 square meters of space with ancillary facilities and unique features. It will be the first of its kind in the West Africa sub region with the aim of training over 200,000 people with ICT skills and generate over 100,000 jobs during the first three years post-completion. Additionally, it will provide office spaces and meeting venues for over 100 tech start-ups and tech companies all in a bid to serve as a catalyst for Ghana’s digitalization agenda. The project is scheduled to be completed in approximately 18 months from when construction begins. The Ghana ICT Hub is par...

  AN investor protection fund (IPF) is a confidence booster for investments but could also incentivize reckless risk taking by investors if not properly structured and managed, fund managers and corporate trustees have warned.  Any such fund must, therefore, meet the fine balance of protecting investors in the event of a default while letting them know that risky appetites carry consequences, the Ghana Securities Industry Association (GSIA) has said. The President of the GSIA, Winston Nelson Jr, said in an interview that while efforts to establish the insurance mechanism for investments were necessary, an extensive sentisation exercise was required to build an investment-conscious populace. That, he said, would reduce the potential moral hazard that insuring investments could create.  It would also bolster confidence and cement public trust in investments, especially following the bruises suffered by some investors in the course of the domestic debt exchange programm...

  Ghana's government and international bondholders are pushing forward with formal debt talks after advisors to both sides signed non-disclosure agreements (NDA), three sources with direct knowledge of the matter told Reuters today. According to the report monitored by Graphic Online, the government which suspended payments on most of its external debt last year, has picked Lazard as its financial adviser, while a group of international private lenders are represented by Rothschild & Co. The report said Ghana's dollar-denominated debt is more than $13 billion across maturities ranging from 2023 to 2061, according to Refinitiv data. Reuters also noted that after signing the NDAs earlier this month, both parties cannot share any information under the agreement with any non-authorised party. The government and the bondholders are sharing sensitive material through the advisers, like the revenues that could be used to service the debt and the restructuring parameters the credit...

  The Ghana Union of Traders Association (GUTA) and the Association of Ghana Industry (AGI) are calling on regulators of the financial sector to do more to protect the investments of Ghanaians. The two associations are of the view that if confidence and trust would return to the capital market, the Bank of Ghana and the Securities and Exchange Commission (SEC) must do more in terms of regulation. Speaking in an interview on the sidelines of the Graphic Business/ Stanbic Bank Breakfast meeting, the President of the GUTA, Mr Joseph Obeng, said the regulators must build a strong capital market that would be attractive to traders. The breakfast meeting, which was held on the theme “Domestic Debt Exchange Programme; Lessons and Implications for How to Invest”, brought together policy makers, regulators, experts and people in academia. All that we need is confidence in the system. We are importers and are in the informal sector but at the same time, we have to diversify our business and ...

  Asante Gold Corporation has entered into an agreement with a major institutional investor to sell 18,232,000 units of the company. The deal which expected to be on a non-brokered private placement basis will go at a purchase price of C$1.50 per unit and expected to raise C$27.34 million. Proceeds from the offering is expected to be used for exploration and development of the its mineral properties and for general corporate working capital purposes. Closing of the offering is expected to occur on or about April 3, 2023, and is subject to a number of closing conditions including, but not limited to, the receipt of all necessary regulatory approvals, including the approval of the Canadian Securities Exchange. A release by the company also noted that the securities to be issued under the Offering would be subject to a four month plus one-day hold period from the date of issue in accordance with applicable securities laws. No commissions or finder’s fees will be paid by the Company in...

 For the first time in four weeks, government Treasury bills sale was undersubscribed by 23.83% to the tune of ¢2.44 billion. This means demand for the short-term securities dipped, following four consecutive weeks of soaring investor interest. This could be attributed to the significant fall in interest rates despite the investors largely banks having limited opportunity to invest in the financial market. Some analysts believe the investors have shifted their attention to the Bank of Ghana bills which is offering a rate of 28%. According to data from the Bank of Ghana, the government secured about ¢1.41 billion from the 91-day bill, whilst about ¢553 million and ¢468 million were gotten from the 182-day and one-year T-bills. Meanwhile, interest rates remained same despite a significant fall in the past three weeks. The yield on the 91-day went for 18.87%, from the previous week’s 18.52%. The yield on the 6-months bill was however estimated at 21.43% compared with 21.27% a week ago...

  The January 2023 update of the Bank of Ghana’s Composite Index of Economic Activity (CIEA) indicates a contraction in economic activity by 7.6% in February 2023. This is compared to a growth rate of 4.2% in the same period of 2022. The main indicators that weighed down the Index during the period were port activity, cement sales, imports, and credit to the private sector. In the real sector, the Bank’s high frequency indicators pointed to further moderation in economic activity in line with the challenging macroeconomic environment”, the Central Bank disclosed in its March 2023 Monetary Policy Report. While real sector activity showed continued to decline, both business and consumer sentiments continued to show further improvement in February 2023. The Central Bank also said consumer confidence improved on account of easing inflationary pressures which led to some optimism about future economic conditions. Again, business sentiments improved as companies met short-term targets am...

  The Paris Club, China, India, Saudi Arabia, and Turkey have agreed to form the Official Creditor Committee (OCC) and provide financing assurances for Ghana to the International Monetary Fund as soon as possible, in order to clear the path for a Fund Executive Board approval by early May 2023. This was divulged by Finance Minister, Ken Ofori-Atta, after Ghana made progress with China in negotiating for a debt restructuring. Ofori-Atta, leading a high-level government delegation to China last week, also requested for China to co-chair the Official Creditor Committee. The Finance Minister of China, Liu Kun, on his part said that his country has confidence in Mr. Ofori-Atta in managing the Ghanaian economy, and that China would help Ghana. Kun said he wanted to ensure that Ghana’s external debt treatment request was considered expeditiously. Minister Kun said “we know that these are short-term challenges which we as responsible creditors, remain committed to resolving”. The long-stan...

 China’s Finance Minister, Liu Kun, says his country has confidence in the management of the Ghanaian economy, and that his country would help Ghana seek debt servicing relief. At a meeting in Beijing with Ghana’s Finance Minister, Ken Ofori-Atta, last week, Kun said the Chinese authorities “have confidence in Ghana’s economic management and its long term economic viability.” Kun said he wanted to ensure that Ghana’s external debt treatment request was considered expeditiously and was thus accompanied to the meeting with Mr. Ofori-Atta by a high-level delegation including Mr. Wu Fuli, Chairman of China Exim-Bank. Minister Kun said “we know that these are short-term challenges which we as responsible creditors, remain committed to resolving”. The long-standing and prosperous relationship between Ghana and China imposes on us a responsibility to help,” the Chinese Finance Minister added. He said that just like other African countries, Ghana was facing economic difficulties from a onc...

 Ecozoil Ltd., a subsidiary of the Jospong Group of Companies (JGC) has organised a training and sensitisation exercise at Azizanya in the Ada-East District, Greater Accra Region. This programme was a collaboration between Ecozoil and the traditional authorities, municipal assembly and community leaders. It was aimed at sensitising the residents of Azizanya on the importance of wearing life jackets following the recent boat accident which claimed 5 lives. The training exercises formed part of Ecozoil’s monthly sensitisation and training exercise they offer to users of the Volta Lake under the Volta Lake Transport Safety Project (VLTSP) and also a response to the recent boat accident on the lake at Azizanya. The event was attended by boat owners, the chief of Azizanya, deputy coordinating director of the Ada East District, the chief fisherman, residents of Azizanya and nearby communities who frequently engage in water-based activities. As part of the exercise, Ecozoil distributed 10...

  THE merger of Gold Fields’ Tarkwa Mine and AngloGold Ashanti’s (AGA) Iduapriem Mine will not lead to job losses, the Managing Director (MD) of AGA, Eric Asubonteng, has assured. Instead, he said the move would create the biggest gold mine in Africa, capable of delivering more value and impacting the host communities more positively. He was speaking at a media briefing on the proposed joint venture (JV) between the two gold mines owned by the two mining giants in Accra yesterday. Employment The press conference followed a joint statement last week that announced the decision. When asked how the proposed JV would impact jobs, he said: “We do not see any major impact on employment.” There would be potentially very few job impacts on certain jobs or changes to certain roles, but even then, we will be looking at opportunities to ensure that those that are impacted, can be redeployed in other areas of the business. “And if that can't happen, then we would commit to fair compensation, a...

 The Macallan, the world’s ultra-prestige single malt whisky, held an exclusive experience at the Country Club, Trasacco Valley in Accra recently. Known for its lush greenery, highly valued residential options, and its popular eponymous Ernesto’s Restaurant, the eco-friendly destination hosted an array of Ghana’s affluent who embody the distinctive character and craftsmanship that the whisky brand is known for. In a welcome address, Edrington's Customer Marketing Manager for West & North Africa, Abayomi Ajao, said: "This was a night of conviviality and friendship, for us to gather and experience The Macallan.” He expressed that it was an honour to host some of Ghana's most eminent individuals, who are distinguished in their craft, adding that, “The Macallan's unparalleled quality is a result of such exceptional mastery and precision. Today, we have demonstrated this through an immersive experience. One of our six pillars is the peerless spirit - from the production...

  The Bank of Ghana has increased its policy rate by 150 basis points to 29.5% to help check the high inflation and any downside risks to the economy. This means the cost of credit will continue to remain high, affecting household spending and private sector growth. Average lending rates shot up marginally to 36.64% in February 2023, from 35.58% recorded in December 2022. This is equivalent to 3.02% interest rate on loans per month. Announcing the development few minutes ago, Governor of the Bank of Ghana, Dr. Ernest Addison, said the ease in price pressures abroad will likely impact positively on Ghana’s domestic inflation profile going forward. Headline inflation has declined marginally for two consecutive months, but continues to remain relatively high compared to the medium-term target of 8±2%. To place the economy firmly on the path of stability and reinforce the pace of disinflation, it is important that the monetary policy stance be tuned further to re[1]anchor inflation exp...

  The Bank of Ghana (BoG) has asked Parliament to prioritise the passage of revenue bills before it to help strengthen the country's case for assistance from the International Monetary Fund (IMF). The Governor of the central bank, Dr Ernest Addison, said today, Monday that the passage of the bills formed part of the prior actions that the country must meet to be able to receive final approval for its bailout request from the fund. Dr Addison made the appeal at a press conference in Accra, where he also announced an increment of the bank's benchmark rate, the policy rate to 29.5 per cent. Dr Addison said as part of the prior actions, the central bank was about signing a memorandum of understanding with the IMF to cut off central bank financing of the deficit. This, he said now required that revenue commitments announced in the budget were recognised through the passage of the bills. The government last month laid before Parliament three amended bills as part of measures to revam...