Saturday, December 18, 2010

Ghana cocoa in spotlight as US company Mars wins Secretary of State Award

“I want to congratulate Ghana as the country recently started commercial production of oil, but let me say that cocoa still pays the bills,” the US Ambassador to Ghana, Donald Teitelbaum, said these words during the 12th Annual Secretary of State’s Award for Corporate Excellence (ACE) ceremony at the US Embassy in Accra.

The ceremony which was carried live by satellite took place simultaneously in the US, Guatemala, Israel and Ghana.

The companies were recognised for their contributions to livelihood enhancement, health care and the overall improvement of the communities in which they operate.

Mars a US based Confectioneries company that makes its products from Ghana cocoa won the award for its work among cocoa farmers. The company has worked with cocoa farmers to reduce child labour, as well as initiated programmes to make the cocoa industry sustainable. Mars was selected among 78 nominations around the world for the award.

Jeffrey N. Morgan, the Director – Global Programmes of Mars said the company’s activities in Ghana has improved livelihoods.

According to him, Ghana has the best cocoa in the world.

Making the presentations to three companies, US Secretary of State Hillary Clinton said, American business are the face of America in other parts of the world.

She congratulated the companies for engaging in corporate social responsibility in the communities where they operated.

The other companies that also won awards are CISCO in Israel and Dematrix  in Guatemala.


Source: ghanabusinessnews.com

Thursday, December 16, 2010

Ghana to set up GH¢1b private sector development fund

In its latest private sector development blueprint, the government of Ghana is to set up a GH¢1 billion private sector development fund to mitigate challenges facing the private sector in the country.

The fund, to be managed by the Private Sector Development (PSD) Board is one of the new strategies to combat the slow growth of Ghana’s private sector.

The strategy, which is the second phase of an earlier one is called Private Sector Development Strategy (PSDS) II and comes amid challenging times for Ghana’s private sector.

The first strategy PSDS I was launched in 2005 and lasted till December 2009. In spite of its ambitious goals, the PSDS I achieved mixed results. For example Ghana’s rating in the World Bank’s Doing Business Report which ranks 183 countries on issues of doing business saw improvements and declines over the period. In 2006/2007 Ghana was named among the top ten reformers in the Doing Business Report – ranked 82. However in 2008 and 2009, the country’s position declined to 92.

Another index that measures Ghana’s private sector’s development is the Global Competitiveness Index (GCI) produced by the World Economic Forum. The GCI 2008 to 2009 ranked Ghana 102 out of 134 countries and described Ghana as a factor-driven country; which implies that firm level productivity is low and innovation is non-existent.

The PSDS II like its predecessor is aiming to involve all stakeholders to act and collaborate to make Ghana an attractive investment destination for local and international investors.

Apart from a not so strong economy that will support the private sector, several other factors come into play when the private sector development is concerned: lack of access to credit, regulatory challenges and so on.

Furthermore investments in Ghana have been skewed to a few sectors namely: mining, oil, finance and telecommunications while at the same time such investments have ignored the rural economy.

In a published advert, Ishmael Yamson and Associates the consultants who prepared the strategy stated that the “PSDS II will enable us to do three things to overcome these challenges… to make Ghana an attractive place for local and international entrepreneurs to start up and expand businesses…to encourage investors to put money in areas other than mining, oil, telecommunications and finance.. to give incentives to businesses to create more secure, well paying jobs.”

One of the setbacks of the PSDS I was that it had no clear organizational structure for its implementation. However the PSDS II is mitigating that by setting up a PSD Council which will be chaired by the President. The membership of the Council will be made up of leaders and champions of the private sector, government of Ghana representatives and development partners. It is believed that with the President at the head of the PSD it will get high level attention.

The PSD Council will appoint the PSD Board which will establish and manage the estimated GH¢1 billion Private Sector Development Fund. The fund will receive money from the government of Ghana and attract funding from Development Partners.

Furthermore, it is also expected that at the end of the PSDS II in 2015, the private sector would have created 500,000 new jobs and rural incomes in the three northern and central regions would increase by 20%.

Source: ghanabusinessnews.com

Ghana, Turkey in oil barter deal

Turkey says it has reached an agreement with Ghana to buy oil from the country through a barter scheme arrangement.

News in the Turkish media seen by ghanabusinessnews.com says Turkey’s State Minister for Foreign Affairs, Zafer Çağlayan has indicated that he has had talks with two oil producing countries in West Africa – Nigeria and Ghana, and the two countries have responded positively to such an arrangement. The Turkish Minister recently toured Ghana, Nigeria and Equatorial Guinea, all oil producing countries. And while in Ghana, he was reported to have met Ghana’s Vice President John Mahama.

Under the arrangement, he said Turkey will purchase oil from Nigeria and Ghana and pay for it by investing in tourism, energy, health and other infrastructure.

Ghana officially became an oil producing country following the launch of commercial activities by President Mills at the Jubilee oil field yesterday December 15, 2010.

Ghanabusinessnews.com has been unable to reach the Vice President’s office for comments.

Source: ghanabusinessnews.com

First journalism intern joins ghanabusinessnews.com

The first journalism intern has joined Ghana’s first online business news portal, ghanabusinessnews.com.

Mr. Ekow Quandzie who graduated from the African University College of Communications (AUCC) in Accra in 2009 was taken on to do an initial three-month internship Monday November 15, 2010.

Mr. Quandzie said he chose to join the medium because he believes ghanabusinessnews.com has the potential to become the leading online news source in Ghana and he wanted to be part of the process.

“While here, I hope to learn skills in online journalism, audio editing, photography and all I could learn to make me an efficient and effective journalist,” he said.

Commenting on the internship, Managing Online Editor, Mr. Emmanuel K. Dogbevi said, “we hope Mr. Quandzie would make the best of the opportunity here to put into use what he was taught at journalism school as well as sharpen his skills to enable him function as a good journalist. I welcome him into the team.”

“Our doors are open to graduates who want to be given the practical training and mentoring to hone their journalism and writing skills, and other areas where possible to prepare them for the challenges of future professional careers,” he said.

By Ben Boateng

Rotaract gives to de Porres Hospital, Nzulezu community

The Rotaract Club of Labone in partnership with its sponsoring Rotary Club of Accra-Labone has donated a bale containing 45 pieces of mosquito nets to the St. Martin de Porres Hospital.

The donation took place at the premises of the hospital in Eikwe in the Western region during the weekend.

Donating the items to the hospital, President of the Rotaract Club of Labone Mr. Stephen Appiah said the donation forms part of the commitment of the club to assist the hospital since it was the only hospital that provides health care to the people of Eikwe.

He said the donation,“forms part of our Rotary year theme of building communities and bridging continents.”

Receiving the donation on behalf of the hospital, the medical officer Dr Patrick Yamoah thanked the club and expressed the desire to see a continuation of the assistance.

Dr Yamoah, however highlighted some of the challenges facing the hospital, particularly the difficulty involved in accessing drugs relatively low in price to support the local people’s scanty budgets. He therefore  urged corporate bodies to assist the hospital in that direction.

The club also donated some items to the Nzulezu community.

The items include 100 Rotaract branded exercise books, 15 sets of  mosquito nets and five sacks of used clothing.

The Odikro of the community who spoke on behalf of the chief, King Teklika, said the community is grateful for the donation.

By Ekow Quandzie
ghanabusinessnews.com

Bank of Ghana expects 9.5% inflation to end 2010

The Bank of Ghana is optimistic that the year 2010 could end with inflation at 9.5%.

According to the central bank governor, Kwesi Amissah Arthur, the macroeconomic policy mix over the past year has provided an anchor for such inflation despite the slow down of disinflation.

Mr Amissah Arthur made this observation at the 42nd press conference of the Monetary Policy Committee (MPC). The press conference was after the MPC had met to review developments in the economy and to announce the Bank’s policy rate.

“Despite the slowdown, the Committee expects that 2010 will end with an inflation rate close to the central target of 9.5%,” he said.

Looking ahead into 2011, the committee anticipates that inflation would be below 9%.

The policy rate was maintained at 13.5%. This is the third time in the year that the policy rate has remained unchanged at 13.5%.

The policy rate is the rate at which the central bank lends to commercial banks. It was first cut to 13.5% from 15% in July 2010.

By Ekow Quandzie
ghanabusinessnews.com

Oil contributes over $550m of $1.3b FDI in Ghana

In less than 24 hours, Wednesday December 15, 2010 Ghana would pump its first oil in commercial quantities from the Jubilee oil fields and the country will become one of the world’s producers of oil.

The Jubilee oil field is the largest to be discovered in West Africa in the last 10 to 15 years. It contains 1.5 billion barrels of oil and has 17 wells, according to Tullow Oil, the major stakeholders in Ghana’s nascent oil industry.

And even before commercial production of oil begins in the country, the sector has contributed over $550 million to the total foreign direct investment (FDI) into the country amounting to $1.3 billion according to the Bank of Ghana.

The central bank says the investment in the oil sector has contributed significantly to the country’s Foreign Direct Investments (FDI).

“FDI flows were estimated at over $1.3billion of which the oil sector contributed a portfolio investment of over $550million,” said Kwesi Amissah Arthur, governor of the Bank .

He however, indicated that these developments in the financial and capital account were offset by developments in the current account which recorded a deficit of $1.8billion.

Total transfers of $1.2 billion were accrued into the economy from January to October 2010 as compared with $1.3 billion recorded for the same period in 2009, he said.

By Ekow Quandzie
ghanabusinessnews.com

Rotaract Club donates GH¢500 worth of stationery to Ringway JHS

The Rotaract Club of Accra-Labone has donated stationery worth GH¢500 to the Ringway Estates Juniour High School in Accra.

The stationery includes Rotaract branded books, board markers, dusters and some learning stickers to aid the students in their study.

The donation which forms part of the club’s half-year project, took place on November 25, 2010.

Mr. Stephen Appiah, President of the club said the club undertakes projects on health, education as well as provision of other social amenities to the community in which the club operates and this donation forms part of that undertaking.

Mr. Appiah said, the donation is one of the many that the club intents to make and this is just the first step.

“This is the first step to support the school and also to motivate the students in their upbringing to make their education meaningful and we think supporting this school is in the right direction” he said.

He also appealed to corporate Ghana to partner clubs such as Rotaract to identify some of the problems in the community and solve them since it is their responsibility to give back to society.

Upon receiving the items on behalf of the school, the Headmistress of Ringway Estates JHS, Mrs. Margaret Quaafu thanked the club for the kind gesture and assured the club that the items will be distributed fairly to all students.

Mrs Quaafu however said the school is facing a number of challenges.  She said because the school is not fenced, criminals sometimes break into the school to steal some of their items and also the school faces shortage of water which makes it difficult for the students to have good hygiene.

“We need some few things such as fencing of the school, a tank to store water when there is shortage, a canteen where the students can eat and also the major problem now is to empty the septic tank because it is full.”

She said the school has not gone through a total renovation but because of the capitation grant they are able to repair some of the items that needed to be fixed.

The school prefect, Master Michael Boateng, thanked the club for the donation.

By Ekow Quandzie
ghanabusinessnews.com

Ghana media is threat to press freedom – Blay-Amihere

The Ghanaian media has been admonished to make efforts to do self regulation and be responsible or else it is in itself becoming a threat to press freedom in the country.

Ambassador Kabral Blay-Amihere, Chairman of the National Media Commission (NMC) made the remarks during the first anniversary celebration of the 6th NMC in Accra.

He said the irresponsibility and total disregard of the ethics of the journalism profession on the part of some media houses is becoming  a major threat to press freedom.

“Many editors, radio talk show hosts and presenters are abandoning their gate-keeping role and allowing all kinds of stuff on the airwaves and in media” he said.

He expressed sadness about the fact that hate speeches, insults and pornography seem to have assumed respectability when they should be frowned upon in the media.

“Sadly,” he said “some media owners look on unconcerned and  oblivious of the negative effect of what comes through their media.”

Other threats to press freedom he said are the extreme politicization and polarization of the media which compels the principles of objectivity, fairness and truth to be thrown to the dogs and bulls.

He said some ministers of state, speakers and serial callers have used the media platform as campaign slots to do propaganda in order to gain some advantage.

“Because the morning talk shows are so important, Ministers of State must find time in spite of their heavy schedules to appear on them lest their shadows in the opposition gain undue advantage,” he said.

“There are several publications across the political divide, which are at best propaganda sheets and not newspapers. The paradox of the situation is that politicians who are behind these media are the most vocal in calling for good behavior among the media” he said.

Ambassador Kabral also mentioned the undermining of the government’s position not to muzzle press freedom by the Ghana Police Service.  He said the Ghana Police is resurrecting an old law to put the fear of the police in all those who are alleged to cause fear and panic in the country adding, “their actions are not good for Ghana’s reputation”.

He pointed out the inadequate resource of the media which is also a threat to press freedom.

He said the financial constraints of the private media in particular, has affected the performance and standards of the media.

He therefore, called on the private sector who he said are the greatest beneficiaries of Ghana’s democracy and free media to protect their wealth and business by supporting the press through advertisement and direct support to the media.

Making a presentation on the ‘Legal Framework for Media Practice in Ghana’, Dr. Audrey Gadzekpo, a media expert and lecturer at the School of Communication Studies, Legon called for reviews of the three media related bills such as the Right to Information Bill, the Broadcasting Bill and the Defamation Bill that are at different stages of the law-making process.

She said for instance the Broadcasting Bill needs a second look because article 168 of the constitution provides that the NMC shall appoint the chairmen and other members of the governing bodies of the state-owned media in consultation with the president which has even received a judicial elucidation. She said it is curious that clause 15 (2) of the current bill provides that the chief executive of a state-owned broadcasting service shall be appointed by the Board in consultation with the Public Service Commission. “This is clearly an error and unconstitutional” she said.

Commenting on the Defamation Bill 2009, she said even though there is a need for the passage of a Defamation Act that is consistent with the spirit and letter of the constitution on freedom of expression and media freedom, it is rather unfortunate that the current Defamation Bill does not seem to be activated by these concerns and appears unduly punitive in its general thrust and in some respect involves a step backward from English common law principles.

She said the bill tends to blur the distinction between absolute privilege and qualified privilege as traditionally understood and this can hardly promote a healthy climate for media freedom and responsibility.

Dr. Gadzekpo called for an independent information commission to be established to ensure undue bureaucratic obstacles after the passage of the Right to Information Bill into law. She said this would make information acquisition very inexpensive, open, timely and very easy.

She urged that the commission should be given the mandate to carry out mass public education and train information officers and to serve as a body that would appeal against refusal of applications that the public would make.

By Ekow Quandzie
ghanabusinessnews.com