The banking industry of the country has witnessed massive development in its assets, recording a 4.4 per cent growth at the end of March 2008.
Total assets of the banking industry recorded GH¢8,437.7 million in May this year, compared to GH¢6,156.6 million of the previous year.
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The banking industry has over the period, shifted their attention from investing in financial assets, to lending to the private sector, a situation the Governor of the Bank of Ghana, Dr. Paul Acquah, says has resulted in the decline of assets invested in government securities.
According to the Governor, since the abolishing of the secondary reserve requirements in the country, the banking industry's investments in government securities had declined from 15.6 per cent in May 2007, to 1.6 per cent in May this year.
This, he said, was mainly funded by deposits, which amounted to GH¢5,499.4 million, representing a growth of 3.3 per cent over the level recorded in March 2008.
This feat, by the banking industry, represents an annual growth of 38.5 per cent. Savings and Time deposits increased by 37.0 per cent, to GH¢2,004.9 million in the twelve month period to May 2008, compared with GH¢1,463.0 million, representing 54.5 percent for the same period, in the previous year (2007).
The Governor of the Central Bank further noted that foreign currency deposits, also increased by 33.2 per cent, to the equivalent of GH¢1,273.9 million in the twelve month period to May 2008, compared with GH¢955.3 million, representing 32.9 per cent recorded for the same period, in the year 2007.
That notwithstanding, the banking industry's loan portfolio remained strong, whilst Non-Performing Loans (NPL), which stood at 8.7 per cent at the end of March 2008, inched up to 8.8 percent at the end of May 2008.
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Friday, July 25, 2008
Public Debt Shoots Up to $7.8 Billion
At the end of the month of June 2008, Ghana's total public debt stood at US$7.8 billion, from an initial amount of almost US$7.3 billion, at the beginning of the year.
This represents an increase of 7.1 per cent, over the period of six months. The stock of domestic debt, which stood at GH¢3,708.2 million, representing 26.5 per cent of Gross Domestic Product (GDP), at the end of the previous year (2007), increased to GH¢4,005.9 million, representing 24.6 per cent of GDP, at the end of the June this year (2008).
At a press briefing in Accra on Monday, the Governor of the Bank of Ghana, Dr. Paul Acquah, said the country's debt stand was not rising, as compared to a budget ceiling of 60 per cent of GDP. Meanwhile, the country's external debt, increased from US$3,590.4 million, in the month of June 2008, from 24.9 percent of GDP, to US$3,809.3 million, representing 24.1 per cent of GDP. This brings the total public debt stock of the country, to 48.7 per cent of GDP, by the end of the first half of the year.
This represents an increase of 7.1 per cent, over the period of six months. The stock of domestic debt, which stood at GH¢3,708.2 million, representing 26.5 per cent of Gross Domestic Product (GDP), at the end of the previous year (2007), increased to GH¢4,005.9 million, representing 24.6 per cent of GDP, at the end of the June this year (2008).
At a press briefing in Accra on Monday, the Governor of the Bank of Ghana, Dr. Paul Acquah, said the country's debt stand was not rising, as compared to a budget ceiling of 60 per cent of GDP. Meanwhile, the country's external debt, increased from US$3,590.4 million, in the month of June 2008, from 24.9 percent of GDP, to US$3,809.3 million, representing 24.1 per cent of GDP. This brings the total public debt stock of the country, to 48.7 per cent of GDP, by the end of the first half of the year.
Friday, July 18, 2008
Combating Environmental Degradation
On May 1,1998, many organizations including the World Resources Institute (WRI), United Nations Environmental Programme (UNEP), United Nations Development Programme (UNDP) and the World Bank made public an important report on health and the environment sighting how the activities of man has contributed to the degradation of the environment and how the situation can be rectified.
In spite of these campaigns, it is quite disheartening that people are still degrading the environment to the suffering of the mass. Environmental degradation is the deterioration of the environment through depletion of resources such as air, water and soil, the destruction of the ecosystems and the extinction of wildlife.
The landmark report of the World Commission on Environment and Development, entitled "Our Common Future", warned that unless we change many of our lifestyle patterns, the world will face unacceptable levels of environmental damage and human suffering.
The Commission, echoing the urgent need for tailoring the pace and the pattern of global economic growth to the planet's carrying capacity, said that: "Humanity has the ability to make development sustainable and to ensure that it meets the needs of the present without compromising the ability of future generations to meet their own needs."
In the final analysis, the environmental crisis affects everyone on the planet, but the degree to which the inhabitants of different parts of the world contribute to this crisis depends on the level of their economic development and their consumption patterns.
As much as 70% of the world's consumption of fossil fuel and 85% of chemical products is attributable to 25% of the world's population. Water consumption is also unevenly distributed. Consumption of water in developing countries ranges between 20 to 40 m_.
The consumption patterns for forest products and many other commodities have the same direct inverse proportion to the size of population of the top 20% of the richest societies. This wasteful demand puts excessive pressure on both national and global natural resources.
The rest of the world, comprising 80% of its population with a share of less than 20% of global income, has a far more modest consumption level.
While international environmental concerns are often expressed in broad terms such a desertification or climatic change, the environmental problems of concern to vulnerable groups in marginal areas are generally quite localized in nature, revolving around immediate issues, such as the degradation of a particular rangeland or soil erosion on farmland or the progressive shortening of fallow. These affect the poor because they are directly related to household food security. Degradation of the resource base generally translates into decreases in production or income and thus in the availability of food.
Declining soil fertility leads to lower crop yields while rangeland depletion reduces offtake, and any deterioration in water quality adversely affects the fish catch.
Degradation of common property resources pulls labour away from directly productive activities towards gathering - simply collecting non-wood and minor forest products - and probably diminishes opportunities for deriving income from this source.
Linkages with food security can also be less direct. Shortages of biomass may result in a transition to lower-nutrition foods that require less fuel for cooking. In addition, recurrent drought or natural calamities also directly result in progressive loss of food security prospects.
In their quest for food security, the rural poor have sometimes little choice but to overuse the limited resources available to them. The resulting environmental degradation imposes further constraints on their livelihood in what has been called a "downward spiral" or "vicious circle".
They are often forced to make trade-offs between immediate household food requirements and environmental sustainability both in production and consumption. Their negligible man-made capital assets, ill-defined or non-existent property rights, limited access to financial services and other markets, inadequate safety nets in time of stress or disaster, and lack of participation in decision-making can result in their adopting "short time horizons", which favour immediate imperatives over longer-term objectives.
This can result in coping strategies that rely on the drawing down of the capital available to them, mainly in the form of natural resources. It also makes them more vulnerable to environmental degradation, including degradation wrought by others than the poor themselves.
The poor may be both agents and victims of environmental degradation, especially in marginal areas, where the resource base is ill-suited to agriculture. But it cannot be assumed that the poor have an intrinsic propensity to degrade environmental resources. On the contrary, many poor traditional communities demonstrate an admirable environmental ethic and have developed complex resource management regimes.
In spite of these campaigns, it is quite disheartening that people are still degrading the environment to the suffering of the mass. Environmental degradation is the deterioration of the environment through depletion of resources such as air, water and soil, the destruction of the ecosystems and the extinction of wildlife.
The landmark report of the World Commission on Environment and Development, entitled "Our Common Future", warned that unless we change many of our lifestyle patterns, the world will face unacceptable levels of environmental damage and human suffering.
The Commission, echoing the urgent need for tailoring the pace and the pattern of global economic growth to the planet's carrying capacity, said that: "Humanity has the ability to make development sustainable and to ensure that it meets the needs of the present without compromising the ability of future generations to meet their own needs."
In the final analysis, the environmental crisis affects everyone on the planet, but the degree to which the inhabitants of different parts of the world contribute to this crisis depends on the level of their economic development and their consumption patterns.
As much as 70% of the world's consumption of fossil fuel and 85% of chemical products is attributable to 25% of the world's population. Water consumption is also unevenly distributed. Consumption of water in developing countries ranges between 20 to 40 m_.
The consumption patterns for forest products and many other commodities have the same direct inverse proportion to the size of population of the top 20% of the richest societies. This wasteful demand puts excessive pressure on both national and global natural resources.
The rest of the world, comprising 80% of its population with a share of less than 20% of global income, has a far more modest consumption level.
While international environmental concerns are often expressed in broad terms such a desertification or climatic change, the environmental problems of concern to vulnerable groups in marginal areas are generally quite localized in nature, revolving around immediate issues, such as the degradation of a particular rangeland or soil erosion on farmland or the progressive shortening of fallow. These affect the poor because they are directly related to household food security. Degradation of the resource base generally translates into decreases in production or income and thus in the availability of food.
Declining soil fertility leads to lower crop yields while rangeland depletion reduces offtake, and any deterioration in water quality adversely affects the fish catch.
Degradation of common property resources pulls labour away from directly productive activities towards gathering - simply collecting non-wood and minor forest products - and probably diminishes opportunities for deriving income from this source.
Linkages with food security can also be less direct. Shortages of biomass may result in a transition to lower-nutrition foods that require less fuel for cooking. In addition, recurrent drought or natural calamities also directly result in progressive loss of food security prospects.
In their quest for food security, the rural poor have sometimes little choice but to overuse the limited resources available to them. The resulting environmental degradation imposes further constraints on their livelihood in what has been called a "downward spiral" or "vicious circle".
They are often forced to make trade-offs between immediate household food requirements and environmental sustainability both in production and consumption. Their negligible man-made capital assets, ill-defined or non-existent property rights, limited access to financial services and other markets, inadequate safety nets in time of stress or disaster, and lack of participation in decision-making can result in their adopting "short time horizons", which favour immediate imperatives over longer-term objectives.
This can result in coping strategies that rely on the drawing down of the capital available to them, mainly in the form of natural resources. It also makes them more vulnerable to environmental degradation, including degradation wrought by others than the poor themselves.
The poor may be both agents and victims of environmental degradation, especially in marginal areas, where the resource base is ill-suited to agriculture. But it cannot be assumed that the poor have an intrinsic propensity to degrade environmental resources. On the contrary, many poor traditional communities demonstrate an admirable environmental ethic and have developed complex resource management regimes.
Tuesday, July 15, 2008
French government lauds implementation of GPRS in Ghana
French gov’t lauds implementation of GPRS
The French government on Monday lauded the government of Ghana for its role played in the implementation of the Growth and Poverty Reduction Strategy (GPRS) to improve living conditions in the country.
The French government has been supportive in this initiative spearheaded by the government of Ghana in order to attain a middle income status by the year 2015.
The Deputy Resident Manager Yves Guicquero in an interview with the paper at the residence of the French Ambassador in Accra said his government was satisfied with the implementation of the GPRS and the level of development in the country.
He was optimistic that the country’s priority of attaining a middle income status was on course.
“My government is satisfied with the implementation of the GPRS towards improving living conditions in the country. We believe that Ghana would be the first country in Sub-Sahara Africa to reach a middle income status”, he said.
The French government through its multi donor support agency, French Development Agency (AFD), has over the years contributed significantly towards the GPRS.
The French co-operation in the country has increased significantly in the recent past to reach an average amount of €42million over the past four years.
According to Guicquero, his government has been contributing €17million into water and sanitation projects in the country each year.
He noted that after successful execution of the rural water projects in Northern Region, his government had plans to do same in the Brong Ahafo Region beginning next year (2009).
“We have plans to fund a new rural and semi-urban water project in the Brong Ahafo Region. This project would begin in the early months of next year. Once the Brong Ahafo project is completed, we would consider elsewhere”, he added.
The French government has over the past years being supportive to the country’s economy, providing assistance to the Private sector. It has financed investment projects in eight companies operating mainly in export oriented sectors of the economy.
It also set up a strong partnership with the banking sector by providing medium term lines of credit to finance the investment projects of Small and Medium sized Enterprises in the country. The French government has also been supportive in the Agriculture sector as well as the promotion of cultural diversity in the country.
The French government on Monday lauded the government of Ghana for its role played in the implementation of the Growth and Poverty Reduction Strategy (GPRS) to improve living conditions in the country.
The French government has been supportive in this initiative spearheaded by the government of Ghana in order to attain a middle income status by the year 2015.
The Deputy Resident Manager Yves Guicquero in an interview with the paper at the residence of the French Ambassador in Accra said his government was satisfied with the implementation of the GPRS and the level of development in the country.
He was optimistic that the country’s priority of attaining a middle income status was on course.
“My government is satisfied with the implementation of the GPRS towards improving living conditions in the country. We believe that Ghana would be the first country in Sub-Sahara Africa to reach a middle income status”, he said.
The French government through its multi donor support agency, French Development Agency (AFD), has over the years contributed significantly towards the GPRS.
The French co-operation in the country has increased significantly in the recent past to reach an average amount of €42million over the past four years.
According to Guicquero, his government has been contributing €17million into water and sanitation projects in the country each year.
He noted that after successful execution of the rural water projects in Northern Region, his government had plans to do same in the Brong Ahafo Region beginning next year (2009).
“We have plans to fund a new rural and semi-urban water project in the Brong Ahafo Region. This project would begin in the early months of next year. Once the Brong Ahafo project is completed, we would consider elsewhere”, he added.
The French government has over the past years being supportive to the country’s economy, providing assistance to the Private sector. It has financed investment projects in eight companies operating mainly in export oriented sectors of the economy.
It also set up a strong partnership with the banking sector by providing medium term lines of credit to finance the investment projects of Small and Medium sized Enterprises in the country. The French government has also been supportive in the Agriculture sector as well as the promotion of cultural diversity in the country.
AngloGold Ashanti to inject $174.4m in Obuasi mine
…but faces threat to fold up if new electricity tariff remains
Anglogold Ashanti Company Limited is set to inject US$174.4million in its operations in the Obuasi mine in the Ashanti Region of Ghana.
The investment volume is aimed at expanding and modernising the mine which forms part of the company’s turn around strategy to transform the mine into a world class category.
Out of the initial amount, $44.4million has been earmarked for the modernization and expansion project with the remaining $130million for capital consideration.
The company has however given indications that if government continues to stick to intention to increase power tariff by 100% on mining, steel and high voltage consuming companies, the transformation of the Obuasi mine project may not be a reality.
“Currently Obuasi mine is a loss entity because we don’t gain from the spot because of the hedge and cost of production in the country. Government should look at the situation which Obuasi is going through and review its policy towards the new power tariff”, said Anglogold Ashanti’s General Manager for Corporate and Community Relations, John Owusu in an interview with the paper in Accra over the weekend.
For him, “the situation is a delicate one, but the fact on the ground is that even at about $0.9cent per kilowatt per hour, power tariff is breaking our neck, we don’t have cash flow to talk about. So additional power cost will turn our cost structure and new projects asunder.”
As part of its full cost recovery programme, government announced a Bulk Generation Tariff of Gp 16.91 per kilowatt an hour for mining firms, steel mills and other high voltage consumers.
This translates into an End User Tariff of Gp 22.31per kilowatt per hour with immediate effect from July 1st, 2008.
This announcement did not go down well with the mining firms and thus resorted in series of discussions and deliberations on the issue with the Ghana Chamber of Mines, regulator of mining firms in the country.
According to John Owusu, Anglogold Ashanti is still talking to government on the issue and hopes something good would come out of it.
“Thanks to the government, the mining industry is talking to the Volta River Authority and other parties concerned, through the Ghana Chamber of Mines. We hope something good and acceptable to all parties will come out of these meetings in the near future”, he said.
Since the announcement of this increment by government, several companies including RedBack Mining Incorporated, operating in Ghana as Chirano Gold Mine have had cause to complain about its hefty implications on their operations.
Anglogold’s Obuasi underground gold mine is one of the richest in the world but the current gold rally on the market of $410 per ounce in 2004 to $900 plus this year, has led to a sudden decline in production and faces a challenge of folding up if the new power tariff announced by the government remains un-reviewed.
Since the year 2004 to date, Anglogold Ashanti has invested $220million in the Obuasi mine but its operations have not been successful due to cost of production which keeps increasing year after year, according to John Owusu.
Employees of the company (7,200) are likely to be affected if the company folds up.
This also has the tendency of affecting annual dividends paid to government.
Anglogold Ashanti Company Limited is set to inject US$174.4million in its operations in the Obuasi mine in the Ashanti Region of Ghana.
The investment volume is aimed at expanding and modernising the mine which forms part of the company’s turn around strategy to transform the mine into a world class category.
Out of the initial amount, $44.4million has been earmarked for the modernization and expansion project with the remaining $130million for capital consideration.
The company has however given indications that if government continues to stick to intention to increase power tariff by 100% on mining, steel and high voltage consuming companies, the transformation of the Obuasi mine project may not be a reality.
“Currently Obuasi mine is a loss entity because we don’t gain from the spot because of the hedge and cost of production in the country. Government should look at the situation which Obuasi is going through and review its policy towards the new power tariff”, said Anglogold Ashanti’s General Manager for Corporate and Community Relations, John Owusu in an interview with the paper in Accra over the weekend.
For him, “the situation is a delicate one, but the fact on the ground is that even at about $0.9cent per kilowatt per hour, power tariff is breaking our neck, we don’t have cash flow to talk about. So additional power cost will turn our cost structure and new projects asunder.”
As part of its full cost recovery programme, government announced a Bulk Generation Tariff of Gp 16.91 per kilowatt an hour for mining firms, steel mills and other high voltage consumers.
This translates into an End User Tariff of Gp 22.31per kilowatt per hour with immediate effect from July 1st, 2008.
This announcement did not go down well with the mining firms and thus resorted in series of discussions and deliberations on the issue with the Ghana Chamber of Mines, regulator of mining firms in the country.
According to John Owusu, Anglogold Ashanti is still talking to government on the issue and hopes something good would come out of it.
“Thanks to the government, the mining industry is talking to the Volta River Authority and other parties concerned, through the Ghana Chamber of Mines. We hope something good and acceptable to all parties will come out of these meetings in the near future”, he said.
Since the announcement of this increment by government, several companies including RedBack Mining Incorporated, operating in Ghana as Chirano Gold Mine have had cause to complain about its hefty implications on their operations.
Anglogold’s Obuasi underground gold mine is one of the richest in the world but the current gold rally on the market of $410 per ounce in 2004 to $900 plus this year, has led to a sudden decline in production and faces a challenge of folding up if the new power tariff announced by the government remains un-reviewed.
Since the year 2004 to date, Anglogold Ashanti has invested $220million in the Obuasi mine but its operations have not been successful due to cost of production which keeps increasing year after year, according to John Owusu.
Employees of the company (7,200) are likely to be affected if the company folds up.
This also has the tendency of affecting annual dividends paid to government.
Tuesday, July 8, 2008
Ghana gets $15.560m Swiss grant
The Swiss Government through its economic and trade policy measures on priority countries including Ghana, has earmarked an amount of $15.560 million as part of its commitment towards improving living standards in the country.
Part of the amount is aimed at improving the electricity sector and its regulatory agency, the Public Utilities Regulatory Commission (PURC) through the Ministry of Energy.
The financial volume is $12 million which would be used to support three main components in the electricity sector namely; management support to Electricity Company of Ghana (ECG), rural electrification and capacity building to the PURC.
Out of the initial amount, $760,000 is earmarked to provide technical assistance to modernise the national Intellectual Property (IP) programme being spearheaded by the government of Ghana.
The Ministry of Trade and Industry, Private Sector Development (PSD) and President’s Special Initiative (PSI) is the main partner in this regard.
In an interview with the Swiss Ambassador to Ghana in Accra, His Excellency Nicholas Lang told the paper that his Government was concerned with strengthening standardisation and conformity assessment Institutions in the country to facilitate trade, hence the grant. The money involved is a whooping $2.8 million.
In effect, the Ministry, (Trade and Industry, PSD & PSI) has been mandated to develop credible conformity assessment bodies to enhance the country’s integration into the multilateral trading system.
According to Ambassador Lang, assistance would also be given to strengthen local consumer participation in the national standardisation process.
These initiatives by the Swiss Government forms part of its four year credit programme to assist developing countries strengthen their economies towards poverty alleviation whilst improving living standards.
“The primary objectives of the measures are to integrate partner countries into the global economy and to promote their sustainable economic growth, thereby making an effective contribution to long term poverty reduction”, said the Swiss Ambassador to Ghana.
The Ghanaian economy is among other six countries to benefit from a US $800 million over a period of four years.
Out of the amount ($800m), Ghana is expected to earn about US$60 million within the stipulated period of four years.
Part of the amount is aimed at improving the electricity sector and its regulatory agency, the Public Utilities Regulatory Commission (PURC) through the Ministry of Energy.
The financial volume is $12 million which would be used to support three main components in the electricity sector namely; management support to Electricity Company of Ghana (ECG), rural electrification and capacity building to the PURC.
Out of the initial amount, $760,000 is earmarked to provide technical assistance to modernise the national Intellectual Property (IP) programme being spearheaded by the government of Ghana.
The Ministry of Trade and Industry, Private Sector Development (PSD) and President’s Special Initiative (PSI) is the main partner in this regard.
In an interview with the Swiss Ambassador to Ghana in Accra, His Excellency Nicholas Lang told the paper that his Government was concerned with strengthening standardisation and conformity assessment Institutions in the country to facilitate trade, hence the grant. The money involved is a whooping $2.8 million.
In effect, the Ministry, (Trade and Industry, PSD & PSI) has been mandated to develop credible conformity assessment bodies to enhance the country’s integration into the multilateral trading system.
According to Ambassador Lang, assistance would also be given to strengthen local consumer participation in the national standardisation process.
These initiatives by the Swiss Government forms part of its four year credit programme to assist developing countries strengthen their economies towards poverty alleviation whilst improving living standards.
“The primary objectives of the measures are to integrate partner countries into the global economy and to promote their sustainable economic growth, thereby making an effective contribution to long term poverty reduction”, said the Swiss Ambassador to Ghana.
The Ghanaian economy is among other six countries to benefit from a US $800 million over a period of four years.
Out of the amount ($800m), Ghana is expected to earn about US$60 million within the stipulated period of four years.
Effort to revive vocational education underway
A group of experts in the educational sector over the weekend ended a three day workshop aimed at implementing Competency-Based Training (CBT) to reform the Technical and Vocational Education Training in the country.
The workshop was organized by the Council for Technical and Vocational Education and Training (COTVET) and supported by the Japanese Government, through the Japan International Cooperation Agency (JICA).
The reform of TVET forms part of the overall Educational Reform Programme (ERP) launched by the President of the Republic of Ghana, His Excellency John Agyekum Kufuor in 2007.
TVET has been dormant for sometime and this initiative by COTVET seeks to revive the sector for sustainable economic development.
Addressing a group of media practitioners in Accra, Chairman of the Governing Council of COTVET, Napoleon K. Bulley noted that the country’s TVET system was faced with considerable challenges in the areas of demand and supply which according to him was marring the development of the economy in the area of capacity building.
He explained that technological and workplace changes have had major impact on the way work is done and the types of skills required in performing the task, especially on the advent of the knowledge economy where higher skills are required to compete successfully in the global market.
In effect, he advised that the country must develop programmes that would help TVET providers to equip learners with the requisite skills.
On the supply side, Bulley said TVET programmes have had to prepare a number of unemployed youth for formal work and employment.
According to him, about 160,000 students who finish Junior High School (JHS) every year do not progress to second cycle institutions because of lack of places.
“This cannot be allowed to continue, as it is a serious waste of human resource as this group of children have no skills whatever to equip them for work”, he said.
He averred that government, recognizing how serious the issue was affecting the country decided to offer one year apprenticeship training to those who were willing to avail themselves of that opportunity.
Mr. Bulley therefore advised the general public to change their mindset that TVET was meant for non performers in the country.
He also called on all individuals, NGO’s and corporate bodies to be concerned with education and come to their aid as government alone cannot shoulder all the costs of reforming the TVET sector to meet the needs of the industry.
“If the reform of TVET is to be successful, it is imperative that funding of TVET is diversified”, he stressed.
Three centers have been selected for piloting of the CBT approach in reviving TVET. The areas include Accra Polytechnic, National Vocational Training Institute (NVTI) Pilot Training Center and Accra Technical Training Center.
The Chief Advisor of TVET’s projects, Kenji Kimura also advised the general public to change from the wrong perception that TVET is only for low achievers and school dropouts to the positive vision that new TVET is for promising young human resources for the next-generation industry as a national foundation.
TVET projects would be supported by JICA to assist COTVET in the reform process up to 2011.
According to Kimura, the occupational standards that were generated from the first training workshop would be validated by industry representatives present and would be used to write units or modules specification for use in education and training environment.
The workshop was organized by the Council for Technical and Vocational Education and Training (COTVET) and supported by the Japanese Government, through the Japan International Cooperation Agency (JICA).
The reform of TVET forms part of the overall Educational Reform Programme (ERP) launched by the President of the Republic of Ghana, His Excellency John Agyekum Kufuor in 2007.
TVET has been dormant for sometime and this initiative by COTVET seeks to revive the sector for sustainable economic development.
Addressing a group of media practitioners in Accra, Chairman of the Governing Council of COTVET, Napoleon K. Bulley noted that the country’s TVET system was faced with considerable challenges in the areas of demand and supply which according to him was marring the development of the economy in the area of capacity building.
He explained that technological and workplace changes have had major impact on the way work is done and the types of skills required in performing the task, especially on the advent of the knowledge economy where higher skills are required to compete successfully in the global market.
In effect, he advised that the country must develop programmes that would help TVET providers to equip learners with the requisite skills.
On the supply side, Bulley said TVET programmes have had to prepare a number of unemployed youth for formal work and employment.
According to him, about 160,000 students who finish Junior High School (JHS) every year do not progress to second cycle institutions because of lack of places.
“This cannot be allowed to continue, as it is a serious waste of human resource as this group of children have no skills whatever to equip them for work”, he said.
He averred that government, recognizing how serious the issue was affecting the country decided to offer one year apprenticeship training to those who were willing to avail themselves of that opportunity.
Mr. Bulley therefore advised the general public to change their mindset that TVET was meant for non performers in the country.
He also called on all individuals, NGO’s and corporate bodies to be concerned with education and come to their aid as government alone cannot shoulder all the costs of reforming the TVET sector to meet the needs of the industry.
“If the reform of TVET is to be successful, it is imperative that funding of TVET is diversified”, he stressed.
Three centers have been selected for piloting of the CBT approach in reviving TVET. The areas include Accra Polytechnic, National Vocational Training Institute (NVTI) Pilot Training Center and Accra Technical Training Center.
The Chief Advisor of TVET’s projects, Kenji Kimura also advised the general public to change from the wrong perception that TVET is only for low achievers and school dropouts to the positive vision that new TVET is for promising young human resources for the next-generation industry as a national foundation.
TVET projects would be supported by JICA to assist COTVET in the reform process up to 2011.
According to Kimura, the occupational standards that were generated from the first training workshop would be validated by industry representatives present and would be used to write units or modules specification for use in education and training environment.
Developing economies get a boost with $1.6bn EU support
By Stephen Odoi-Larbi with additional files from AP
Developing economies on Monday were relieved of their burden with a $1.6billion support from the European Union (EU).
The amount was set aside by the EU from its farm subsidies and aimed at boosting the agricultural sector of the economies of developing nations, who as a result of escalating oil and food prices on the global market, were facing difficulties to survive.
This announcement was made known by the European Commission’s President, Jose Manuel Barroso, at the ongoing Group of eight (G-8) summit in Rusutsu, Japan.
Some activists have long accused G-8 countries of sparing on aid to Africa and developing countries after making initial pledges on increasing aid to the continent.
Three years ago in Gleneagles, Scotland, where the Group of eight met to discuss and deliberate on matters affecting the global economy, aid to Africa was the center piece. Member countries of the G-8 pledged to increase foreign aid by $50billion a year by 2010 with half of the amount ($25bn), going directly to Africa. Members also pledged to cancel the debt of the most Heavily indebted Poor Countries (HIPC).
But a research conducted by Debt, AIDS and Trade in Africa (DATA) revealed that out of the $50billion pledge that was made at Gleneagles, Scotland, only $3billion had been delivered.
According to DATA’s report, Germany, United States of America (USA) and Britain were the countries following through on commitment, while progress from Japan, France, Italy and Canada was either unclear or weak.
The Organization for Economic Cooperation and Development (OECD) in April, reported that foreign aid by major donor countries slumped (dropped) in 2007 as debt relief plans did not go on as planned amid global economic downturn in Japan and some other rich nations.
But Japan disputes that saying there was been no backtracking on the commitments made to Africa. “I don’t understand the criticism. The G-8 leaders are very aware of the commitments they have made to African leaders”, said Japanese Foreign Ministry Spokesman Kazuo Kadama.
USA President, George Bush also emphasized the urgency of providing aid to Africa. He called on wealthy nations to provide mosquito nets and other aid to prevent children from “needlessly dying from mosquito bites”.
“Now is the time for comfortable nations to step up and do something about it”, Bush said.
Next on the agenda of the summit is climate change. The United Nations (UN) and the World Bank (WB) called on top industrialized nations to push forward global talks on climate change and also demonstrate their commitment to help poorer nations grapple with rising food prices.
Developing economies on Monday were relieved of their burden with a $1.6billion support from the European Union (EU).
The amount was set aside by the EU from its farm subsidies and aimed at boosting the agricultural sector of the economies of developing nations, who as a result of escalating oil and food prices on the global market, were facing difficulties to survive.
This announcement was made known by the European Commission’s President, Jose Manuel Barroso, at the ongoing Group of eight (G-8) summit in Rusutsu, Japan.
Some activists have long accused G-8 countries of sparing on aid to Africa and developing countries after making initial pledges on increasing aid to the continent.
Three years ago in Gleneagles, Scotland, where the Group of eight met to discuss and deliberate on matters affecting the global economy, aid to Africa was the center piece. Member countries of the G-8 pledged to increase foreign aid by $50billion a year by 2010 with half of the amount ($25bn), going directly to Africa. Members also pledged to cancel the debt of the most Heavily indebted Poor Countries (HIPC).
But a research conducted by Debt, AIDS and Trade in Africa (DATA) revealed that out of the $50billion pledge that was made at Gleneagles, Scotland, only $3billion had been delivered.
According to DATA’s report, Germany, United States of America (USA) and Britain were the countries following through on commitment, while progress from Japan, France, Italy and Canada was either unclear or weak.
The Organization for Economic Cooperation and Development (OECD) in April, reported that foreign aid by major donor countries slumped (dropped) in 2007 as debt relief plans did not go on as planned amid global economic downturn in Japan and some other rich nations.
But Japan disputes that saying there was been no backtracking on the commitments made to Africa. “I don’t understand the criticism. The G-8 leaders are very aware of the commitments they have made to African leaders”, said Japanese Foreign Ministry Spokesman Kazuo Kadama.
USA President, George Bush also emphasized the urgency of providing aid to Africa. He called on wealthy nations to provide mosquito nets and other aid to prevent children from “needlessly dying from mosquito bites”.
“Now is the time for comfortable nations to step up and do something about it”, Bush said.
Next on the agenda of the summit is climate change. The United Nations (UN) and the World Bank (WB) called on top industrialized nations to push forward global talks on climate change and also demonstrate their commitment to help poorer nations grapple with rising food prices.
Friday, July 4, 2008
Minister commends Banking Industry...for contibuting to the growth of the economy
The Minister of State, at the Ministry of Finance and Economic Planning, Dr. Anthony Akoto Osei, has commended the banking industry for the role it played towards the success story of the economy.
He made this known, when he officially commissioned the Osu branch of Amalgamated Bank, in Accra on Thursday.
This brings to 12, the number of branches it has nationwide.
According to the Minister, Government’s stand of liberalising the economy would have been meaningless, had it not been for the support of the financial industry, particularly the banking sector.
“Banks were instrumental in achieving this feat. Banks have deepened financial inter-mediation in the country, by expanding credit to worthy individuals and businesses. All these helped fuel economic activities, and gave crucial momentum to the growth of our economy. Now banks account for about 70% of the financial sector,” he noted.
He added that “the financial sector of the country has been contributing greatly to the upward trajectory of GDP growth rate. Since the onset of the financial sector reforms, GDP growth rate has increased steadily, reaching 6.3% in 2007, from 4.5% in 2002.”
Dr. Akoto Osei indicated that due to the pragmatic measures taken by the government, the financial industry was now bearing the fruits.
“The result is clearly the vibrancy and fierce competition we are all witnessing, particularly in the banking industry,” he said.
He has thus challenged players in the industry, to make the sector more robust and sophisticated, in order to anchor the country’s integration into the global economic and financial system.
Dr. Akoto Osei, however, lauded Amalbank’s continuous contribution towards innovation and aggressiveness in the country’s banking industry.
On his part, Managing Director (MD) of Amalbank, Mr. Oluwole Ajomale, noted that his outfit was poised to capture the Ghanaian market, hence the need to bring banking services closer to its numerous clients nationwide.
“Our decision to locate an office in Osu Oxford Street is part of our drive to make out convenient, customer-centric brand of banking solutions, available to a wider range of the Ghanaian populace, in order to capture the market,” he said.
According to the MD, his outfit had outlined a number of brand services, which were focused to change the banking landscape in the country.
Among these products, he said, include internet banking, SMS banking, Automated Teller Machine (ATM) services, Amal Cheque Guarantee and AmalKids and Teens products.
With this array of products, Ajomale believes his outfit is poised to capture the market within the next five years.
“We set for ourselves the mission to lead the market, in providing customer-focused financial services, to meet the peculiar needs of our dear customers,” he added.
Focused on its plans to capture the market, the bank recently added Saturday banking services, aimed at providing convenient banking services to its clientele.
The MD reiterated that his outfit had well-tailored plans for Small and Medium Scale Enterprises (SME), as well as the Agriculture sector, hence the need for Ghanaians to partner with the bank in order to achieve their dreams.
“When you partner with us, you have the right partner. You have a partner that shares with you the ambition for growth, and the passion for success. We are a bank determined to achieve our vision, of being the leading financial institution in the country, providing professional and innovative services to meet the customers’ peculiar needs,” he stressed.
He made this known, when he officially commissioned the Osu branch of Amalgamated Bank, in Accra on Thursday.
This brings to 12, the number of branches it has nationwide.
According to the Minister, Government’s stand of liberalising the economy would have been meaningless, had it not been for the support of the financial industry, particularly the banking sector.
“Banks were instrumental in achieving this feat. Banks have deepened financial inter-mediation in the country, by expanding credit to worthy individuals and businesses. All these helped fuel economic activities, and gave crucial momentum to the growth of our economy. Now banks account for about 70% of the financial sector,” he noted.
He added that “the financial sector of the country has been contributing greatly to the upward trajectory of GDP growth rate. Since the onset of the financial sector reforms, GDP growth rate has increased steadily, reaching 6.3% in 2007, from 4.5% in 2002.”
Dr. Akoto Osei indicated that due to the pragmatic measures taken by the government, the financial industry was now bearing the fruits.
“The result is clearly the vibrancy and fierce competition we are all witnessing, particularly in the banking industry,” he said.
He has thus challenged players in the industry, to make the sector more robust and sophisticated, in order to anchor the country’s integration into the global economic and financial system.
Dr. Akoto Osei, however, lauded Amalbank’s continuous contribution towards innovation and aggressiveness in the country’s banking industry.
On his part, Managing Director (MD) of Amalbank, Mr. Oluwole Ajomale, noted that his outfit was poised to capture the Ghanaian market, hence the need to bring banking services closer to its numerous clients nationwide.
“Our decision to locate an office in Osu Oxford Street is part of our drive to make out convenient, customer-centric brand of banking solutions, available to a wider range of the Ghanaian populace, in order to capture the market,” he said.
According to the MD, his outfit had outlined a number of brand services, which were focused to change the banking landscape in the country.
Among these products, he said, include internet banking, SMS banking, Automated Teller Machine (ATM) services, Amal Cheque Guarantee and AmalKids and Teens products.
With this array of products, Ajomale believes his outfit is poised to capture the market within the next five years.
“We set for ourselves the mission to lead the market, in providing customer-focused financial services, to meet the peculiar needs of our dear customers,” he added.
Focused on its plans to capture the market, the bank recently added Saturday banking services, aimed at providing convenient banking services to its clientele.
The MD reiterated that his outfit had well-tailored plans for Small and Medium Scale Enterprises (SME), as well as the Agriculture sector, hence the need for Ghanaians to partner with the bank in order to achieve their dreams.
“When you partner with us, you have the right partner. You have a partner that shares with you the ambition for growth, and the passion for success. We are a bank determined to achieve our vision, of being the leading financial institution in the country, providing professional and innovative services to meet the customers’ peculiar needs,” he stressed.
MTN closes Yellow Care
Mobile Telecommunications Network (MTN) Ghana has rounded up the 21days of Y’ello Care challenge programme, which made its staff to engage in various activities in communities across the country.
Speaking at the closing ceremony on Wednesday, the Acting Chief Executive Officer and Chief Technical Officer, Mr. Eben Albertyn, commended the company’s staff for their cooperation, in taking part in the programme.
According to him, MTN was very interested in executing its social responsibilities, hence their decision to establish the MTN Foundation, which was aimed at assisting communities in which they operate.
“While there is a corporate external focus on corporate social responsibility activities, through MTN Ghana Foundation activities, 21 Days of Y’ello Care Challenge was instituted as an MTN internal activity, that seeks to encourage employees of MTN in Ghana, and across its global operations, to become personally involved in community-development projects,” he said.
He listed some of the activities undertaken by staff, during the period, including painting, landscaping of schools, selected by the Ghana Education Service, and health walk.
The Corporate Services Executive of MTN Ghana, Mawuena Dumor, observed that there had been improvement on the various activities, adding that they recorded a total of 806 staff participating, representing 52.3%, which comprised 16 projects and 45 activities, compared to 254 staff for last year.
She indicated that MTN recognized the employees, and all partners, as the key to the success of the company.
Speaking at the closing ceremony on Wednesday, the Acting Chief Executive Officer and Chief Technical Officer, Mr. Eben Albertyn, commended the company’s staff for their cooperation, in taking part in the programme.
According to him, MTN was very interested in executing its social responsibilities, hence their decision to establish the MTN Foundation, which was aimed at assisting communities in which they operate.
“While there is a corporate external focus on corporate social responsibility activities, through MTN Ghana Foundation activities, 21 Days of Y’ello Care Challenge was instituted as an MTN internal activity, that seeks to encourage employees of MTN in Ghana, and across its global operations, to become personally involved in community-development projects,” he said.
He listed some of the activities undertaken by staff, during the period, including painting, landscaping of schools, selected by the Ghana Education Service, and health walk.
The Corporate Services Executive of MTN Ghana, Mawuena Dumor, observed that there had been improvement on the various activities, adding that they recorded a total of 806 staff participating, representing 52.3%, which comprised 16 projects and 45 activities, compared to 254 staff for last year.
She indicated that MTN recognized the employees, and all partners, as the key to the success of the company.
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