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Budget must introduce innovative tax measures – GN Research

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Ken Ofori-Atta, Minister of Finance

With implementation of the digital address system via Ghana Post GPS and the expected roll out of a National Identification System, the 2018 budget must introduce innovative measures to make tax collection easier and attractive, a GN Research pre-budget analysis has said.

“The paperworks and the bureaucracy must be reduced to the barest minimum for the average tax payer. The budget should include measures to explore the possibility of using Internet portals, mobile-payments systems and ATMs to collect or pay taxes,” the research agency under Groupe Nduom said.

“This will reduce human interactions and reduce the length of queues at tax offices while eliminating barriers to compliance and corruption. This is why the idea of establishing a fiscal council is laudable. But, so far, government has failed in constituting the council as promised in the 2017 budget,” said the analysis signed by Samuel Kofi Ampah, General Manager of GN Research.

GN Research noted that one major obstacle that has inhibited these measures over the years is identification. “Now, the addressing system has been digitised via the Ghana Post GPS. Therefore, the 2018 budget should be able to achieve more success in broadening the tax net. This is not to underestimate the complexity of increasing the tax base in an economy such as ours,” he said.

Government budgets have faced implementation challenges due to shortfalls in revenue, and the 2017 budget is no exception. The tax reforms in the 2017 budget had a toll on government revenue collection which necessitated a downward revision of government revenue and expenditure estimates at the end of first-half of the year.

Domestic revenue fell short of the target for the period by GH₵2.7billion, representing 13.8 percent of GDP, driven mainly by a sharp drop in tax revenue.

Tax revenue fell short of the target by GH₵2.1billion, accounting for 75.8 percent of the drop in total revenue and caused mainly by shortfalls in income taxes and import duties. Non-tax revenue also fell short of the target, by GH₵527.6million -representing 19.4 percent of the total drop in domestic revenue. Grants from donor partners dropped by GH₵352.4million.

Despite analysts expecting government to introduce measures aimed at generating more domestic revenue for its operations, GN Research does not expect this to force government into introducing new taxes or increasing the tax rates on sectors that are overtaxed.

“This could erode expected gains from the measures implemented via the 2017 budget. We expect government to introduce policies to widen the tax base, especially by roping the informal sector into the tax net,” the analysis added.

Ways to increase the tax base

GN Research called for very practical measures to be introduced that increase the tax base and increase domestic revenue. “For a start, there should be a target for the number of new tax payers in the next fiscal year. This must take into account the existing number of tax payers in every region or district, and the number of new taxpayers added during this year,” the analyst noted.

The research firm, under Groupe Nduom, also called for the budget to announce measures that will make paying tax attractive by honouring tax payers with benefits such as priority in getting or renewing passports, driving licences, permits, vehicle and company registration, or extra services at airports and tourism centres, among others.

The underlying factor for the successful implementation of every budget is performance of the revenue side. But the quest to increase revenue should not override the need to consolidate economic gains chalked up and return to a high economic-growth path.

“Therefore, the budget should demonstrate intent and ability to increase investor confidence by improving the business climate. It should also show government’s commitment to continue restructuring the country’s debts and reducing its fiscal deficit, and most importantly to achieve inclusive growth,” it said.

Direct awarded 2017 Promising Savings and Loans Company

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Direct Savings and Loans Ltd, has been adjudged “Promising Savings and Loans Company” at the just ended 2017 Ghana Accountancy and Finance Awards (Ghafawards).

This took place at the maiden edition of the Ghafawards which came off at the Movenpick Hotel, Accra over the weekend.

The Ghana Accountancy and Finance Awards provides a platform to recognize individuals and companies that play a significant role in the accounting and finance sector’s development, while recognizing key functions within the industry which promote standards and excellent stewardship.

Commenting on the award, the Financial Controller at Direct Savings and Loans Ltd, Mr. Titus Ado-Sowah said “the award shows that customers and stakeholders are dealing with an institution which consistently adopts, implements and applies best practices in corporate governance, service delivery and value creation for all.”

The Deputy Finance Minister, Abena Osei Asare, gave the assurance that, the government was going to continue its support and creation of the needed enabling environment for businesses to flourish which will ordinary see the economy also grow.

Direct Savings and Loans Ltd is an indigenous second tier banking institution, licensed by the Bank of Ghana. Until June, 2017, the company operated as Express Capital Microfinance Limited since July 2012.

As a leading player in financing micro, small and medium enterprises (MSMEs), Direct Savings and Loans Limited remains committed to providing excellent products and services and making credit and savings more accessible.

To demonstrate their commitment to this vision, the company is working on expanding its footprints into new regions of the country.

Insights with Dzigbordi: The blend

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Dzigbordi K. Dosoo: The H.E.L.P. Coach

Different research studies have shown that, the best performing corporates, individuals and groups are the ones who have been able to combine hard and soft skills effectively.
It is key that as individuals who want to grow our careers, entrepreneurs who want to grow ourselves, and our businesses and organizational leaders that want to make an impact and leave a legacy of greatness; we must start investing in and developing our “soft skills”.

Research conducted by Harvard University, the Carnegie Foundation and Stanford Research Center has concluded that 85percent of job success comes from having well-developed soft and people skills, and only 15percent of job success comes from technical skills and knowledge (hard skills).

This research finds its beginning with the work of Charles Riborg Mann from a Study of Engineering Education in 1918.

Our daily life activities involve a blend of processes, products and possibilities to create the perfect aroma, taste, look or effect. But in critical spaces such as our organizations, entrepreneurial ventures, career and leadership journeys, we sometimes overlook the essentials needed to blend with the key technical capacities and capabilities available to us to create the best impact.

The technical knowledge and skills of our Human Assets matter, but we need their attributes and attitudes also known as “Soft Skills ” to create the holistic, best versions of us and therefore our organizations, entities or personal brands.

These will reflect in some of the following scenarios:

  • An exceptional finance person who can’t connect effectively when it comes to personal impact.
  • A brilliant marketing person who cannot appear, behave or communicate as the brand.
  • A highly competent leader who can’t engage and inspire by their presence.

There are many gaps when it comes to body intelligence, emotional intelligence, and moral intelligence. This can be a silent but open wound within the cultural space we find ourselves and whilst it may not always be obvious, it can be detrimental to our growth strategy.

Soft skills, often known as people skills are skills that require constant and conscious nurturing to enable one interact with people. A few examples are team management, the art of persuasion and negotiation, building morale and team work, just to mention a few. Bruce Tulgan was not mistaken in his article, ‘Defining the Power of Soft Skills’ when he said, “Soft skills are the source of a huge amount of power that is always right there hiding in plain sight—a tremendous reservoir of often untapped value—a secret weapon for any smart organization, team, leader, or individual performer.”

Many executives have emerged as success stories of the power of soft skills because they served as examples. One of the key attributes of soft skills sited by many researchers, as a need in every worker is Professionalism.

Professionalism is one of the key basics for any leader and employee in this modern cooperate world. The ability to recognize, understand and manage one’s own emotions and to understand and influence that of others is the popular term, emotional Intelligence, which was created by two researchers: Peter Salavoy and John Mayer.

What stands out in one’s ability to be professional is the skill to self-evaluate; regularly assessing one’s own thoughts, words, and actions against clear meaningful standards and one’s own performance against specific goals, timelines, guidelines and parameters.

Another soft skill pertinent to the birth and growth of any individual in the working class is the art of listening. An article by Katherine Noel of the Business Insider explained that the best communicators are not those skilled only in articulating their thoughts but those who are also great listeners.

Successful leaders should make time to listen to the ideas and thoughts of others. Listening involves giving the speaker undivided attention, taking notes of important points and being welcoming to their ideas.

As an executive, decision-making is a necessity you must have. People respond to change in many different ways. In professional settings, employees will often look to their leaders during times of change for reassurance, guidance, and a sense of stability. No matter the choice you make, there is a consequence to it.

However, it is vital to have the eye to identify and consider multiple options, assess the pros and cons of each and choose the course of action closest to the desired outcome. “It is not the strongest or the most intelligent who will survive but those who can best manage change – Charles Darwin”.

Today, as companies increasingly need to become more dynamic, interconnected and flexible, soft skills are critical. According to Deloitte’s 2016 Global Human Capital Trends report, executives now consider these skills important to fostering employee retention, improving leadership, and building a meaningful culture.

In fact, 92percent of Deloitte’s respondents rated soft skills as a critical priority. They noted that an HR leader’s mission has shifted from that of “chief talent executive” to “chief employee experience officer.”

  • When it comes to Image; we require Appearance Behavior and Communication.
  • When it comes to Life Leadership; we require Clarity, Confidence and Communication.
  • When it comes to High Performance; we require Energy, Courage, Influence and Productivity.

Each level, role and path requires an aligned skill. It’s time we take action to blend our technical skills with our soft skills to create the perfect blend for Power and Influence!

Are you ready for TRANSFORMATION?

Dzigbordi K. Dosoo: The H.E.L.P. Coach

The writer is a Certified High Performance Coach, Global Speaker, Media Personality and award-winning Entrepreneur. She is the Founder of Dzigbordi K. Dosoo (DKD) Holdings; the mother company that holds Dzigbordi Inc. & Allure Spa in The City. These brands provide services in Personal Impact & Development, Corporate Consulting, Wellness & Grooming.

Her coaching, seminars and training has helped many organizations and individuals to transform their image and impact, elevate their engagement and establish networks leading to improved and inspired teams, growth and productivity.

Her area of focus is Humanness, Entrepreneurship, Leadership and Power (H.E.L.P). She can be reached on [email protected]

Mastercard Foundation awards US$150,000 to Jumo…as the most client-centric financial services company

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Ann Miles, Director of Financial Inclusion at the Mastercard Foundation (left) with Buhle Goslar, Director of Customer Intelligence at Jumo, winner of the 2017 Mastercard Foundation Clients at the Centre Prize.

The Mastercard Foundation has presented its third annual Clients at the Centre Prize to Jumo.

The US$150,000 prize recognizes the innovative work of the South African-based company as a large-scale, low-cost financial services marketplace that serves poor people.

The Prize highlights best practices in financial services where client satisfaction is a priority. Close to 100 financial service companies around the world submitted entries to the competition.

An international panel of judges selected three finalists who presented to the audience at the 2017 Symposium on Financial Inclusion in Accra, Ghana.

The 400-person audience then voted for the world’s most impactful and sustainable financial service provider that puts “clients at the centre” of its thinking and operations for the benefit of poor people in developing countries. The award is to be used to expand or reinforce client-centric practices within the winning organisation.

After being awarded the Prize, Buhle Goslar, Director of Customer Intelligence at Jumo said “For anybody in a customer function, this is probably the most exciting prize to win because of the people who are voting for it. They really know about customer centricity; for them to vote for us is a great acknowledgement of the work that we’ve been doing.”

The Mastercard Foundation believes that banks and other financial service providers in developing countries should focus more on the needs and expectations of people living in poverty.

Putting poor clients at the centre of the design of new financial products and services helps bring them into the formal banking system, improving their livelihoods and their ability to plan for the future.

“The Symposium on Financial Inclusion (SoFI) has focused on client centricity for the past five years,” said Ann Miles, Director of Financial Inclusion at the Mastercard Foundation.

We are thrilled to award this year’s prize to Jumo for its exemplary work of putting clients at the centre of its business model. As we reflect on the past five years of SoFI, it is more important now than ever before to recognize companies such as Jumo and encourage them to continue providing access to financial products for those who need it most.”

The other two Prize finalists were ftcash, one of India’s fastest-growing financial technology ventures which aims to empower micro-merchants and small businesses with the power of digital payments and loans, and Destacame, a free online platform in Latin America that empowers users by giving them control over their data to build their financial capabilities and to access financial products.

Institute of ICT Professionals: Cyber security awareness- web application’s perspective

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There has been a series of attacks on web based applications in Ghana in recent times. In the past three years, Ghanaian organizations and agencies, most especially government agencies have experienced severe cyber-attacks.

Most organizations in the country operate their web based applications without protecting the HTML codes. HTML (Hypertext Markup Language) is the set of markup symbols or codes inserted in a file intended for display on a World Wide Web (www) browser page. The markup tells the web browser how to display a web page’s words and images for the user.

On Friday, 12 May 2017, it was reported that over 250,000 computers were infected with WannaCry Ransomware attacks in over 150 countries. The private media houses in Ghana had earlier experienced a major cyber attack on their websites which rendered the sites inaccessible to readers. The media websites attacked included ghanaweb.com, peacefmonline.com, myjoyononline.com and adomonline.com.

This report indicated that Ghanaian organizations needed to embrace the global cyber security threat against institutions. The global cyber threat against institutions like banks, schools, data storage agencies, health institutions, law firms etc are intended to steal data, money, erase data or permanently destroy sensitive data.

Organizations must therefore be extremely cautious about how to protect its collected data, how to process, transmit and store information of its employees, suppliers, vendors, etc.

The Bank of Ghana, startled by the recent cybercrime activities in Ghana, has warned banks in the country to strengthen their cyber security systems to forestall attacks. In a statement issued by the Second Deputy Governor of the Bank of Ghana, Johnson Asiamah, he said “The growing threat of cyber attacks has never been more pressing. Recent instances of payment fraud demonstrate the necessity for industry-wide collaboration to fight against threats”.

A typical example of the cyber attacks on Ghanaian web applications has to do with Alsancak Tim who is a Turkish hacker. He has successfully hacked several websites belonging to agencies and ministries in Ghana.

Tim unusually uses ransomware, denial of service, phishing and other cybercrime attacking techniques on his victims, especially his malware cyber attack on Ghana government website (www.ghana.gov.gh) on 20th January, 2015. Several government agencies have suffered similar attacks on different occasions. Some of the websites Tim attacked includes:

http://www.mfa.gov.gh/ – http://zone-h.org/mirror/id/23569429
http://moc.gov.gh/ – http://zone-h.org/mirror/id/23569666
http://scholarships.gov.gh/ – http://turk-h.org/defacement/view/560295/scholarships.gov.gh/
http://nss.gov.gh/ – http://zone-h.org/mirror/id/23569393
http://nfed.gov.gh/ – http://zone-h.org/mirror/id/23569410
http://www.motcca.gov.gh/ – http://zone-h.org/mirror/id/23569549
http://schoolfeeding.gov.gh/ -http://turkh.org/defacement/view/560288/schoolfeeding.gov.gh/
http://www.gida.gov.gh/site/p_ongoing – http://zone-h.org/mirror/id/23569660

These cyber attacks have also been launched on organizations by cyber criminals globally. A search I conducted indicates that several organizations across the globe operate their web applications without proper security measures. Globally, organizations that have not been hit severely by the impact of cyber attacks do not see the urgency to implement security technologies and proper cyber security policies.

There are few institutions like banks, universities, health facilities which have resilient web based applications which makes web penetration attacks extremely difficult for cyber criminals. These are few websites I visited and found out that their sites have been secured: Barclays Bank: https://www.home.barclays/; Kwame Nkrumah University of Science and Technology: https://www.knust.edu.gh/; https://www.dataprotection.org.gh/.

The technological advancement has necessitated the need to implement security measures when developing web applications. Malicious persons are always exploring the possible vulnerabilities and weak security patches in organization’s networks to launch devastating attacks.

Government agencies and private organizations must deploy secured web based applications protocols such as SSL certificate and well-built secured database system. This advanced security technique may come with extra cost since one need to buy SSL certificate, Dedicated IP, Domain Privacy and Site Backup, to ensure a secured and safe website.

Other predominant vulnerabilities web developers must check includes Broken authentication and session management, insecure direct object references, Security misconfiguration, Insecure Cryptographic Storage, etc.Vulnerability assessment tests and penetration tests must be conducted on websites regularly to ensure websites are resilient against any known and unknown cyber attacks.

Before you make any payment for online transactions, ensure that the website has https protocol (locked padlock sign, eg https://www.dataprotection.org.gh/). Do not share your personal data or make any form of payment with your debit card if the website only has http but not https protocol. The best secured and trusted website must have https rather than the unsecured http.

Business owners must also ensure they engage the services of professional pent-testers on regular basis to conduct vulnerability assessment and penetration test on their organization’s network infrastructure and web application.

As Ghana celebrates her cyber security awareness this week, let us all follow the activities and the series of events as experts and professionals in the industry share their experiences and thoughts.

>>The writer is an ICT expert and member of the Institute of ICT Professionals, Ghana. For comments, contact author: [email protected]Mobile: +233244305305

>>>The Institute of ICT Professionals, Ghana (IIPGH) is a non-profit professional body which is currently made up of members in various domains of Information and Communication Technology (ICT) practice. 

The Institute has been formed to help tackle the ICT human resource constraint in Ghana. The main aim of the Institute is to become a connector by bringing together Government, big corporations, start-ups, educational institutions and investors on one platform in order to create a vibrant ICT ecosystem. You can reach us +233(0) 242 773 762, [email protected], www.iipgh.org.

An eye into social media for business

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The advent of the internet has changed the way business is done. It has greatly impacted business by just a click. It has also offered management of organistions a plethora of ways to effective organisational management by reaching out to multiplicity of people that their businesses are exposed to. The presence of an organisation on the internet means that the organisation is no longer limited to only its clients and/or customers but to all.

Social media enabled by the internet has long broken the ceiling of exponentially exposing businesses within a quicker spaces of time. Depending on the strategies employed by a business, a single business post on a social media platform can reach millions of people before the brink of an eye.

Businesses in developing countries that otherwise would never be known even in its home country can now boast of a global presence because of social media. The “likes” and “shares” on social media is the technological word-of-mouth marketing which increases the popularity of businesses.

Depending on the strategic plans of the business, it will be losing some opportunities without a social media presence. Considering that it is individuals who forms a business and those individuals use social media, it can be said that those individuals will in a way enhance their business prospects by their presence on social media.

My argument in this article is not the individual’s presence on social media but the presence of the business on social media and the benefits the business derives. In a quantitative research methodology approach to data collection, I administered a close ended questionnaire via WhatsApp to a sample size of one hundred and twenty six (126) collected within 24 hours of administering the questionnaire. Respondents are from Ghana, Benin, Nigeria, Guinea Conakry, Ivory Coast, Mali, Kenya, Canada, USA, UK and Italy.

The question was:

  • Which of the social media platform will be your first choice for doing business?
    1. Facebook
    2. Instagram
    3. LinkedIn
    4. Pinterest
    5. Twitter
    6. Other / name it

In the following paragraphs, I will analyse the responses of the data collected from the sample size. The population for the study were WhatsApp users. None of the questionnaire was posted on a group platform. They were all administered on a one-on-one basis via WhatsApp. The response was collected and collated within eight (8) hours of broadcasting the questionnaire.

Table 1: Gender of respondents

Gender No. of respondents % of respondents
Male 75 60
Female 51 40
Total 126 100

Source: Author’s fieldwork, 2017

Table 1 shows the gender distribution of respondents. Out of the total of 126 respondents, 75 are male, while 51 are female. This suggests that more male will prefer social media platforms for doing business than their female counterparts. It also suggests that male interest on social media is different from female interest. Could security reasons account for less female interest since the male gender are higher risk takers as compared to the female gender. A future study will consider whether the female gender will rather patronize social media for other purposes rather than doing business.

Table 2: Age range of respondents

Age range (years) No. of respondents % of respondents
18yrs – 28yrs 36 28.6
29yrs – 39yrs 44 34.9
40yrs – 50yrs 43 34.1
51yrs and above 3 2.4
Total 126 100

Source: Author’s fieldwork, 2017

Table 2 shows the age range of respondents. 34.9% of the respondent are between the age ranges of 29yrs – 39yrs representing the highest percentage of respondents. The age range are the most active from the sample size of the study. They are more dynamic and interested in doing business on social media. The age range is considered critical because it represents a threshold of adulthood into maturity and therefore society expects those in that age bracket to self-sufficiency and acquired the necessities of life. This and other reasons will propel people of that age to stridently explore opportunities so as not be left behind in economic life.

34.1% represents the second highest number of respondents who will do business on social media. Their age range 40yrs – 50yrs is considered life’s age. The popular saying that “life begins at 40yrs” compels people from 40yrs to assume a certain approach to life so as to make living worthwhile. Also people at that age have acquired good experiences in their employment history and are therefore expected to be strategic in making business decisions. For majority of them to have responded to do business on social media shows that they have carefully considered the options and concluded that doing business on social media presents a better advantage.

28.6% of the respondents are between the age ranges of 18yrs – 29yrs. This low percentage among other reasons may be because majority of the population may still be pursuing their education and are therefore not ready to do business.

2.4% represents respondents who are 51yrs and above and the lowest percentage of respondents in the study. At this age, people are less enthused about doing business since they are near retirement and would therefore not prefer high risk ventures like doing business. Majority of people at this age who would do business are those who are already doing business and will choose social media as another platform for promoting their business rather than for starting a business.

Table 3: Occupation of respondents

Occupation No. of respondents % of respondents
Lectures 6 4.8
Administrators 30 23.8
Entrepreneurs 9 7.1
Marketers 7 5.6
Accounting & Finance 3 2.4
Bankers 5 3.9
Insurers 2 1.6
Media 5 3.9
Civil Servants 8 6.3
Clergy 4 3.2
Security 2 1.6
Teachers 6 4.8
Students 20 15.9
Others 19 15.1
Total 126 100

Source: Author’s fieldwork, 2017

Table 3 shows the occupational distribution of respondents. Administrators represents 23.8% and constitute the highest percentage of respondents who will do business on social media.  Is it the case that administrators by the nature of their work have to use social media to enhance their clients’ services or they have ample time at hand for which reason they will want to do business to increase their income flow? These are mostly administrators in private organisations. Do they want to quit their jobs or are probably looking for other organisations that will give them better conditions of service?

Students represent 15.9% of respondents making it the second highest respondents for the study. It is important to state that all students’ respondents are in different universities studying different courses. The introduction of entrepreneurship in universities has precipitated students’ interest in doing small businesses while in school.

The development of e-commerce has further made entrepreneurial strides easy by eliminating lots of human involvement in the business process. Soon the efforts of universities at teaching entrepreneurship will begin to yield great harvest as graduates will prefer to do their own businesses rather than seeking employment in organisations. When this happens, the increasing levels of graduate unemployment in many developing countries will reduce significantly.

Also worthy of mention is the number of people who fell in the category of “others” representing 15.1% cumulatively. This category of respondents are different professions ranging from lawyers, educational workers, diplomats, farmers and what have you. Their response to the study shows how varied and wide people will use social media for business.

All other professions represent 39.6% of respondents. This is a broad spectrum of professionals across very important sectors of the economy who are willing to do business on social media. This further supports the argument that social media has more to offer for business development than mere social chats.

Table 4: Which social media platform will be your first choice for doing business?

Choice of social media platform for business No. of respondents % of respondents
Facebook 89 70.6
Instagram 13 10.3
LinkedIn 13 10.3
Pinterest 1 o.8
Twitter 0 0
Other / name it 10 8.0
Total 126 100

Source: Author’s fieldwork, 2017

Table 4 shows the distribution of the choicest social media platform that respondents will prefer to do business on. Of the sample size of 126 respondents, 89 respondents representing 70.6% chose Facebook as their first choice of social media platform for doing business.

Facebook is estimated to have about 2 billion active users which means that doing business on Facebook has a higher propensity of reaching many Facebook users. Facebook as a profit making entity makes it difficult for other business users of the platform to generate organic traffic rather it is the best tool for targeting specific audience through paid campaigns. Facebook has a viable database of its users and therefore able to use that information to the advantage of businesses who purchase advertisement space for boosting their businesses on Facebook.

Besides the huge popularity of Facebook, some mobile phone networks in Ghana offer free usage of Facebook without credit. This makes its affordable as compared to the usage of other social media platforms. Some social media users thinks that some social media platforms are expensive to use hence they will prefer platforms which costs less and gives them most exposure for their business.

Instagram and LinkedIn had an equal respondent rate of 10.3% each. Pinterest 0.8% respondents with no respondents for Twitter. It is amazing how Twitter is not popular as a social media business tool among respondents in this study. All 8.0% respondents mentioned WhatsApp as their “other” social media platform tool for business.

Conclusion

Doing business via social media platforms has come to stay. The growing world’s literacy population makes social media viability and usage more pronounce. Social media speedily spreads businesses globally when the social media strategies are adopted. In Ghana, social media has gained popularity and usage for many reasons of which business cannot be ruled out. With the growing percent of social media users, it is important for businesses particularly in developing countries not to be left out in the social media for business revolution.

Maximising your business potential on social media will require that businesses choose the best social media channels to engage the customers and the public. They need to have firm understanding of the various social media networks particularly demographics of users of the various platforms. This can be obtained through analytics from the social media network companies. Investment in social media for business does not compete with others forms of business promotion strategies rather it complements your efforts to enhancing the business potential.

Afreximbank to bridge intra-African trade financing gap

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The African Export-Import Bank, Afreximbank, is putting strategies in place within the next four years to remove all intra-African trade financial bottlenecks – basically to bridge the intra-African trade financing gap of about US$25 billion.

Within this four-year period of strategising to deepen and enhance effective trade finance within the African trade boarders, the Bank targets growing its total loans and advances portfolio by 12% and growing its intra-African trade portfolio to US$4billion as well as achieving a US$53.5billion capitalisation within the same period.

Other key targets within this four-year period is to contribute toward increasing Africa’s share of global manufactured exports as well as creating 3,000 hectares of industrial parks & special economic zones across the continent – with the Africa-sourced component of the Bank’s total liability hitting not less than 60% within the same period.

The key initiatives of this strategy are to fully implement the intra-African Trade and African Customer Due Diligence Repository platforms. The strategy also seeks to facilitate the emergence and expansion of Export Trading companies across Africa, and create a fund for export development that will be available for investment partners and other financial institutions interested in investing in Africa.

Addressing participants at the just-ended Advanced Structured Trade Finance Seminar held in Sal Island, Cape Verde, the President and Chairman of the Board of Directors of Afreximbank, Dr. Benedict Oramah, has indicated that there has been a growing realisation among Africans of the urgent need for the continent to become more integrated, trade more with itself, and create the necessary environment to drive intra-regional investments as a means to accelerating development of the continent.

It is also generally accepted that intra-African trade can only expand if Africa produces more diversified products – if risks associated with financing the trade can be adequately mitigated.

According to him, industrialisation and export manufacturing have become critical components of the efforts to expand intra-African trade. Creating the export manufacturing capacity that the continent needs requires billions of dollars for financing the enabling infrastructure, as well as acquisition of equipment the factories will need. Thus, he said, Afreximbank also estimates that the annual amount of the intra-African trade financing gap is about US$25billion.

In the past, international banks had not supported intra-African trade for various reasons: those banks had traditionally favoured commodity financing, which lent itself to the use of classical structured trade financing techniques to mitigate perceived risks in the continent.

Dr. Oramah stressed that the just-ended Structured Trade Finance Seminar, which was the seventieth in the series, was not only meant to equip participants with skills to structure bankable trade and supply chain finance deals of varying levels of complexity, but also to prepare each and every one of the participants as agents for driving intra-African trade and the structural transformation of Africa.

The seminar was also intended to bring to the fore the rapid changes that are affecting trade financing, and what they mean for the way transactions are originated and structured.

It will also help bankers to create networking opportunities that would enable them to jointly build useful banking partnerships and share ideas on innovation. “It is such cross-fertilisation of ideas that will keep us all abreast of developments in the increasingly technology-driven world,” he stressed.

Sanitation: a sorry state that needs immediate remedy

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It is 2pm and the sun is hot, as usual, and Kwame Danso (not real name) is seated at the back of a trotro heading to Circle, Accra. Kwame is with two friends and having a good conversation whiles the trotro stops and pick passengers at virtually every bustop.

With the sun burning, it didn’t take long for Kwame to beckon a hawker who sold ice cold water and bought three, one for him and two for his friends. They down the water and within the twinkle of an eye, the empty sachets were lying by the roadside, instead of keeping them in the car where they would have been properly disposed off.

That sight is not a one off. This is the sorry story of the everyday life of Ghanaians. Throwing of rubbish from windows of moving cars is just one arm of the problem of trying to keep the cities, towns and villages clean.

Apart from throwing rubbish through windows, Ghana is faced with the issue of open defecation at the beaches, drains, dump sites and bushes. Our drainages, instead of freely flowing with water are chocked with rubbish due to the daily rituals of throwing debris into our drainage systems.

The United Nations Children’s Fund (UNICEF) recently noted that three out of five Ghanaians practice open defecation, adding that Ghana could take 500 years to eliminate the practice due to the slow pace at which strategies, laws and interventions are being implemented.

The Chief Officer at the Water, Sanitation and Hygiene, WASH, Unit of UNICEF Ghana, David Duncan, notes that in the last 25 years, Ghana made one percent progress at eliminating the practice.

According to him, though the current pace is nothing to write home about, he was hopeful Ghana could achieve an Open Defecation Free society within the four-year national target if actions are expedited on all fronts.

Ghana had also been ranked second after Sudan in Africa for open defecation, with five million Ghanaians not having access to any toilet facility. The country has also been performing poorly with sanitation coverage of only 15percent, making the practice of open defecation a key sanitation challenge because people do not have access to key basic facilities.

With a sanitation coverage of 15percent, the nation is ranked after South Sudan, which has a 7percent coverage, Niger, 11percent, Chad, Madagascar and Togo, 12percent each and Sierra Leone which has a 13percent access to household toilets, the measurement used for the ranking.

Poor sanitation, according to Kweku Quansah, a programmes officer at the Environmental Health and Sanitation Directorate (EHSD) of the Ministry of Sanitation and Water Resources, costs Ghana US$290million every year.

The cost incurred is as a result of poor sanitation delivery arising from time spent on accessing water and sanitation facilities, deaths due to poor sanitation, exposure to preventable diseases, among others.

“If we have 2,000 pan latrines in Accra alone, then we are not safe as a country,” he recently said, adding that open defecation alone cost Ghana US$79million per annum and, therefore, stressed the need for the issue of open defecation to be taken seriously in Ghana.

Mr. Quansah indicated that households used other means for defecation, including using plastic bags, a situation that exposed children to preventable diseases.

“Children play where people defecate. Child safety, especially for the girl child, is compromised, while children are exposed to snakes and other animals. The strategy to stop open defecation is cheap, but the benefits are so many,” he stated.

He stated that in 2014, preventable diseases, including diarrhoea, killed over 4,500 children in Ghana, while cholera killed 247. He attributed the bad hygienic attitude among Ghanaians to the poor sanitation situation in the country.

What can be done by me, you and the government?

To a large extent, the challenges to sanitation in Ghana and many other developing nations are linked to the inability to create proper disposal points for solid waste, lack of enforcement of sanitation laws, population growth, poor financing of sanitation policies, rural-urban migration, poor sanitation infrastructure, lack of sanitation technologies among others.

It is important to note that because these factors are intertwined and not mutually exclusive of each other, there is the need to approach interventions to sanitation by using a systems approach. The experience of the user of sanitation facilities must be considered and connected to the collection of wastewater, solid waste and excreta to their transportation, treatment and result in their recycling and reuse.

In addition, there are also disparities between rural and urban areas with regard to the factors that limit access to sanitation, the extent of their influence and the nature of the interventions. These should be taken into proper cognizance when formulating sanitation policies or interventions.

The government, three years ago, declared that every first Saturday of each month must be marked as a National Sanitation Day following the unforgettable cholera outbreak that claimed over 150 lives in Ghana that year, Ghana is still lagging behind it terms of attaining its target.

To tackle the issue of inadequate sanitation infrastructure, government must collaborate with the private sector as well as Non-Governmental Organizations to provide widespread sanitation infrastructure such as public toilets, sewage systems, septic tanks and container Based Sanitation equipment.

It is not enough for government to always lash out at the public for doing open defecation and throwing faecal matter into drains. People know that it is not good to defecate in public because they value their privacy and safety, people are shameful enough not to throw faeces into gutters in polythene bags, and they know that government can’t do everything for them and they don’t expect it to.

But government must not expect in its wildest expectations that its citizens will walk two kilometres daily to defecate even though they know the implications of open defecation.

Moreover, government itself should not be seen to be sleeping on its own laws regarding sanitation responsibilities. Very too often, the government is loudest to lament about commercial residences not having toilet facilities especially in the cities whiles forgetting that it has the backing of the people of Ghana to enforce the laws to ensure order and responsibility.

As much as open defecation is condemnable, it is not only foolish but criminal for people to build houses without toilets for the sole purpose of renting them out. In this case, tenants are culprits as much as landlords. In the face of local government units concentrating on financial benefits they receive from businesses whiles compromising the law, it is important for central government to take much interest in the enforcement of sanitation laws by local government units.

Another important way to reduce the menace of sanitation and promote access is to address the issue of rural-urban migration.

According to Professor George Owusu of the Centre for Migration Studies of the University of Ghana, over 80percent of national investment has been concentrated in Accra alone since 2008. What this means is that, the resultant infrastructure, services and a whole lot of other investments from this concentration will form the congruent of factors pulling migrants from the edge to the centre. For Professor George Owusu, it must be expected that more of the slums in the capital will be seen in the coming years if the current trends continue.

Concentrating resources in Accra means that other regions are deprived of essential services and infrastructure. This results in people moving to Accra in search of services and opportunities that they have been deprived of in their region.

Consequently, this concentration means existing sanitation facilities become limited against the increased demand caused by a larger population. Also, shanty houses spring up causing an upward surge in the number of slums in the country thereby worsening the problems of sanitation as squatters must also have their way.

What is therefore expected of government is to spread investment of resources equitably across the country to create opportunities in other places outside the capital city.

To this end, the growth poles (Northern Development Authority, Middle-Belt Development Authority and Coastal Development Authority) that the current government promised to establish must be given serious attention and consideration. Government must prioritize the needs of the various growth poles over corruption and mismanagement to revenge the failure of the Savana Development Authority.

It is without any shred of doubt that if rural-urban migration is curtailed, the sanitation problem which is predominantly deplorable in the urban areas will be minimized.

Another pair of factors that cannot be overlooked when it comes to providing sanitation is population growth and poor financing for sanitation interventions. The rate of population growth has continued to exceed the rate at which sanitation facilities are provided in Ghana.

A WaterAid financial report indicates that 7million more people in Ghana lack access to sanitation than in 1990. This logically means that with so much increase in population over the period, not much has been added in terms of sanitation facilities or services.

These are all indications of the poor funding for sanitation facilities. It therefore behoves of government to do more to provide sanitation by allocating more money to finance a greater number of sanitation facilities than previously.

Most importantly, any sanitation intervention must end in making the waste disposed usable. In view of this, government must commit to making room for new technologies to treat and recycle waste. In this regard, the solid waste collected and deposited at designated dumpsites, the faecal matter in our toilets as well as the wastewater collected should all be treated and reproduced for use in various ways.

We need systems that will yield long-lasting production capacity and survive changes in government. Ghana’s premier technology institution, the Kwame Nkrumah University of Science and Technology alongside the newly converted technical universities, other technical institutions as well as the private sector should be given the chance to tackle this challenge.

Government should work with these institutions to introduce courses and develop curricula to train and produce students on a yearly basis with the capacity to treat wastewater, recycle solid waste and excreta for use in further production and energy generation. Government should also have the will to part with a few millions of Cedis to invest in providing the human resources as well as the materials and equipment necessary for the training of students in the various schools for that matter. This should be the new page in the country’s industrial transformation drive.

Finally, as much as government can do and must do, the public need to be thoroughly educated in words and deeds about the benefits of sanitation. There is a lack of information to the public about how diseases spread because of germs and poor sanitation. Most people are not aware that Accra’s trash problem is a growing cause of many of its diseases.

In 2008 over US$700million dollars was spent on treating malaria in Ghana. That figure has not slowed down. Malaria is the number one health problem all over Ghana, especially in Accra.

Malaria accounted for 53percent of Accra’s illnesses last year. According to the National Malaria Control Programme, “During 2009, a person in Ghana died from malaria about every three hours. This means about 3,000 people died of malaria in Ghana that year alone, most of them children.

Cholera is another big problem in Ghana. As of November 2011, cholera has claimed 101 lives. There have been 10,002 cases reported in Ghana. The cholera outbreak has been directly linked to a lack of proper refuse dumping sites and improper disposal of waste.

The biggest problem facing Ghana is that of mindset. We need to adjust our mindset to the changing times. It is no longer okay to throw trash on the ground and in their gutters. People must educate themselves on the dangers of inadequate sanitation and begin using garbage containers. Authorities from the Accra Metropolitan Assembly (AMA) must implement proper sanitation planning.

Sanitation is a human right. The right to water and sanitation are an important part of the right of every citizen to an adequate standard of living as recognized by a resolution of the United Nations Human Rights Council. It should therefore be the quest of every citizen to enjoy the full complement of human rights by contributing actively to promote sanitation.

As we call on government to take a lead role in promoting sanitation, we all as Ghanaian citizens must push our efforts therefore a little bit farther, and embolden our commitment much more broader, to secure for this and future generations a nation that is safe, sound and free from the fear of disease.

We can do this as individuals in our homes, we can lead our households to rid ourselves of filth, we can play an active role in promoting sanitation in our communities, and we can advocate for all stakeholders to play their roles in sanitizing our environment and making it safer. We do these in our realization that this is our responsibility and contribution as true and active citizens to create a society in which all are strong and sound to pursue their own measure of happiness.

References

Curley K. 2017: Sanitation in Ghana-A Disaster or a Challenge? https://www.huffingtonpost.com/karen-curley/sanitation-in-ghana-a-dis_b_1197217.html

Azuliya D. 2017: Sanitation In Ghana: What Government Must Do https://www.modernghana.com/news/765905/sanitation-in-ghana-what-government-must-do.html

Accra Brewery Limited supports National Farmers Day

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Accra Brewery Limited (ABL), producers of CLUB Premium Lager, CLUB Shandy, Eagle Lager, Castle Milk Stout, Chairman Bitters, and non-alcoholic beverage, Beta Malt, has donated 20 cartons each per brand towards the 33rd National Farmers Day celebration themed “Farming for Food and Jobs”

An annual sponsor of the National Farmers Day event since its inception, this support is in furtherance of its commitment to invest in a Growing World where everyone has the opportunity to improve their livelihood.

Making the presentation of the donation to the Ministry of Food and Agriculture (MoFA) through  Nurah Gyele, Minister of State at the MoFA and chair of the National Farmers’ Day Planning Committee, Mr. Richard Eghan, ABL’s Plant Manager, said it is the company’s desire ‘to help create a world where land is used responsibly, food supply is secure, biodiversity is protected, and crops to feed our Plant can be accessed at reasonable prices’.

‘For us, this means going beyond our core business of brewing quality, great-tasting beverages, to actively ensuring those upon whom we depend for brewing crops such as maize and cassava, are capable of doing so.  That is why we have evolved past merely supporting the Farmers’ Day celebrations, to changing the fortunes of farmers themselves through our Eagle Farmer Project (EFP)’.

He continued that ‘through the EFP, we have built solar-powered furrow irrigation systems for communities in the Volta, Western, and Upper East regions, to supplement erratic rain-fed agriculture.  And while we have, thus far, directly impacted over 1, 700 persons, we are on course to impacting 30,000 more across the country by 2020, providing a much-needed reprieve from the financial burdens that plague our small-holder farmers’, he concluded.

The Chairman of the National Farmers’ Day Planning Committee, Dr. Gyele, expressed government’s gratitude to ABL for its unwavering support to farmers in the country since the inception of the awards scheme.  It was in honour of this unflinching loyalty that ABL was awarded a MoFA certificate in recognition of its outstanding contribution to agriculture in Ghana.

ABL, now a subsidiary of Anheuser-Busch InBev (ABInBev), the world’s leading brewer, currently brews beverages whose production relies heavily on local raw materials. These brands are Eagle Lager (cassava); CLUB Shandy (maize) and Ghana’s number one selling beer, CLUB Premium Lager (maize).

Okow Waves condemn attacks on Ada East Assembly Members

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Okor Waves, a non-governmental welfare group of Ada East, are saddened by the unwarranted attack, by a group of people purported to be members of the Invisible Forces, on the Hon. Assembly Members of the Ada East Assembly, who were in the process of undertaking their legally mandated duty of confirming the President’s nominee to the position of District Chief Executive on 3rd November, 2017.

The group disclosed that they condemn without any reservation the attack on the Assembly members and the unprofessional conduct of the Ghana Police personnel who stood aloof as the crime was being committed during voting process.

Okor Waves group wish to sympathise with the victims of the cruel attack.

A statement from Julius Odoi, Acting Secretary General of Okor Waves wishes to state that, per the tenets of democracy, leadership is not to be imposed on people. Authority lies in the express will of the people and in this situation, the assembly members. We are very much scandalised by what appears to be a well-orchestrated

plan to empower the so-called Invisible Forces to visit mayhem on the assembly members of Ada East so they can achieve a certain desired end.

Mr. Odoi further stated that, they are not only condemning the attacks that occurred at the DCE elections in Ada but the rest of the districts in Ghana.

Okor Waves wish to call on the Inspector General of Police to institute investigations into the professional conduct of the Police command in Ada and crack the whip on those of his men who were culpable.

 

“We further wish that the IGP would, with immediate effect, apply all powers at his disposal to clamp down on those hooligans called Invisible Forces who, with impunity, are disturbing the peace of our country.

Going forward, we call on all well-meaning Ghanaians to offer the needed support to the

victims of this brutality to obtain justice and to ensure that the perpetrators of this

senseless brutalities are brought to book.”

The non-governmental group; Okor Waves, are soon embarking on a “Feed a Child” campaign that will be happening around the Ada East islands in December 2017.

 

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