MiDA revives horticultural industry

22 September 2008Posted to the web 22 September 2008

The Millennium Development Authority (MiDA) on Friday, in Accra, sealed an agreement worth US$ 2.171 million with the Sea-Freight Pineapple and Exporters Group (SPEG), as a grant to help revive the horticulture industry.
The amount would be used to purchase pre-coolers which would be positioned at the farms of members under SPEG to store their produce that has immediately been harvested to protect their value for export.
In addition to the grant facility, a four-member delegation from the Group would this week emplane to the United States of America to have discussions with Chikita (one of the biggest importers of horticultural produce in the world), on how best to put the sector back on track to raise standards of living whilst maximizing profit for the country.
The Chief Executive Officer of MiDA, Mr. Martin Esson-Benjamin and the Chairman of SPEG, Mr. Korang-Amoako signed the agreement to that effect.
According to Mr. Esson-Benjamin, the grant facility from his outfit was made possible because of their commitment to raise standard of living in the country through the support of farmers in the country.
"The potential in the horticultural industry is huge and our support to this industry is immense. Our intension is to strengthen and move forward the industry by given farmers value for their produce", noted Mr. Esson-Benjamin.
In all, 27 companies would benefit from the facility. The amount would be released at the end of this month and would be shared among seven (7) companies who have satisfied the Group's requirements for the first phase of the project.

Trade liberalisation undermining Africa's exports

Africa has for the past decade, undergone massive developmental change, through a number of reforms embarked upon to improve living standards. The continent (Africa) has now become a safe haven for doing business, thereby attracting lots of foreign investors, which has resulted in the continent experiencing rapid economic inflows.
Ghana, for three consecutive years, has been ranked by the World Bank and International Finance Consortium (IFC), as the best country to do business in West Africa, and is ranked 87th in the Bank’s overall rankings, in its outlook on “Doing Business 2009,” which was released recently.
Despite all the praises from these international financial bodies, trade liberalisation is said to be undermining Africa’s exports to the outside world.
A 114-page report by the United Nations Conference on Trade and Development (2008), has revealed that trade liberalisation had not improved the continent’s export performance, despite the removal of policy barriers, considered to be the main impediments hampering Africa’s exports.
The report, which examines the performance of Africa’s export after trade liberalization, in order to draw lessons for use in the design of future development strategies, argues that the level and composition of Africa’s exports have largely remained the same.
“Africa has actually lost grounds in world export markets,” noted the report, which was launched in Accra on Monday.
Trade liberalisation, which falls under the Doha Round to globalise world markets, was seriously affecting Africa’s export performance, in the area of capital inflows.
The Doha Round seems dead in its tracks, due to a combination of unwillingness by the rich countries to offer substantial cuts in agricultural supports and markets access, and the reticence of developing nations to offer low enough bindings on their own tariffs.
“Globalisation in some appropriate form, is a major engine of economic growth, but the current “Gung-ho” process of globalisation, has produced paradoxes in both rich and poor countries, and is creating a backlash, requiring a rethink of rules and policies to save globalisation from its cheerleaders,” according to Dani Rodrik, Professor of International Political Economy at Havard’s JFK School of Government.
In a research report by Professor Rodrik, titled “How to save Globalisation from its cheerleaders,” the Professor argued that in the current realities of the world, the pursuit of perfect globalisation and more openness, endangers the present imperfect, but still remarkable globalisation, by intensifying conflicts that the system inevitably generates.
The report concedes that that there had been some improvement, but this falls far short of expectations, and has been relative to the experience of other developing regions.
According to the report, Africa’s share of world exports has dwindled from six (6) percent in 1980, to three (3) in 2007. The report identifies Africa’s weak supply response, as a major factor responsible for the continent’s non-preparedness to take advantage of recent commodity booms.
Africa’s export performance in agriculture, also comes under scrutiny, as well as why Africa has failed to diversify into the manufacturing sector.
To rectify the situation, the report called for Africa to refocus its development priorities on structural transformation, in order to increase the continent’s supply capacity and export response.
An economist, Dr. Nii Moi Thompson, who aided in the launch of the UNCTAD report, noted that African governments had under-invested in Agriculture and services.
This, he attributed to institutional weaknesses, lack of insurance policies to govern the agriculture industry, lack of ready access to roads, and lack of adequate funds for research in the agricultural sector.
Mr. Thompson averred that lack of adequate funds into research, ends up in slow performance, and declines labour productivity in the agriculture sector.
“These are structural problems that we face. We seem to be making money policies in one area, whilst policies in research are sidelined,” he said.
Mr. Thompson, therefore, called for sufficient investment in the field of research, in order to make our scientists useful, to improve productivity on the continent.
He also stressed on the need for market intelligence, and the empowering of the private sector, to boost production on the continent.
To reap the benefits of globalisation, the report recommended the need for Africa to prioritise its productivity, competitiveness, market access, and access to factors of production in agriculture and manufacturing, if the continent wants to make progress.
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Integrate risk management-IAA tells public sector organisations

The Director-General of the Internal Audit Agency, Mr. Patrick Nomo has called on public sector organizations to integrate risk management into their daily operations in order to reduce risk.
“I am sure you will agree with me that there is no such thing as a risk-free environment. However, many risks can be avoided, reduced or eliminated through effective risk management practice. Risk management is an explicit function of management without exception. Therefore, public sector organizations should integrate risk management into their everyday work”, he noted.
This he said, would improve service and business practices in the public institutions in the country.
Mr. Nomo made this passionate appeal at a two day forum organized by the IAA in Accra to raise awareness on the need to manage risks in their daily operations in public institutions in the country.
Dubbed- “Risk Management in the public sector, the role of Internal Auditing”, the forum seeks among other things to sensitize the public sector institutions on the role of internal auditing in fostering good corporate governance, provide the basic tools required by managers to manage risks in the public sector and to challenge
Ministries, Departments and Agencies (MDAs) and Metropolitan, Municipal and District Assemblies (MMDAs), to implement a structured risk management framework to help them mitigate the risk they face.
Participants at the forum would be introduced to the basic principles, concepts, methodology and tools required for effective risk management in the public sector. The Chairman of the Internal Audit Board, Mr. S.K.A Crabbe underscored the importance of risk management in the public sector institutions as a measure to eliminate fraud whilst improving on efficiency.
According to him, unlike the private sector, public organizations are generally slow-moving when it comes to change, making it difficult to get any sort of risk management plan up and running, hence the need to manage risk in the public sector.
“Risk management is not the preserve of private sector organizations, but public and central government as well. Senior management must be made aware of the opportunity cost of not managing risk. Internal control systems translate risks into systems, such as early warning mechanisms and compliance violation alerts”, he noted.
The Chief of Staff, Mr. Kwadwo Mpianim, who was the Chairman for the occasion, in his address debunked the notion that risk is taken only as a natural phenomenon of which nothing can be done.
According to him, effective governance and public accountability are essential in enhancing credibility and effectiveness of government apparatus.
He therefore, challenged all Chief Executive in the public sector to ensure that their respective organizations develop and implement risk management frame work by June 2009, with clearly defined responsibilities for risk owners.

Financial Literacy week begins Monday

The lack of personal financial literacy in the country has been a major hindrance to the development of the financial sector, and the economy.
To this effect, the Ministry of Finance and Economic Planning, in collaboration with players in the financial industry, would on Monday (September 22nd 2008) launch a Financial Literacy Week in Accra, aimed at educating the general public to improve their financial literacy skills, in order to make informed decisions.
The week-long celebrations, became possible, based on Recommendation 98 of the Finance Sector Strategic Plan (FINSSP), which states that “Regulatory agencies and the Ministry of Finance, should launch an annual Financial Literacy week, in cooperation with industry associations and financial institutions, to raise awareness of the range of products and services available to consumers, to help them better understand and manage their finances.”
The idea of this initiative, according to a Technical Advisor to the Ministry of Finance and Economic Planning (MOFEP), Dr. Sam Mensah, was to focus attention, each year, for one week on financial literacy.
The initiative, which begins on Monday, September 22nd 2008 and ends on September 27th 2008, also aims to facilitate savings mobilisation, by bringing a larger proportion of the society into the financial system.
Consumers would also have the opportunity to be educated on the role of the regulatory agency, the characteristics of the products and services offered by the industry, and remedies available to consumers, who have grievances against industry practitioners.
“Financial literacy should be part of any comprehensive strategy to develop the financial sector, and to achieve accelerated growth and poverty reduction,” noted Dr. Mensah.
Major stakeholders to engage consumers in the week long literacy awareness program, include the Association of Bankers, Insurers Association, Ghana Securities Industry Association, Credit Union Association, Association of Rural Banks and consumer associations. Activities for the week-long programme include Radio and Television Panel discussions (Investing in Shares and Bonds), public education and outreach, Bizliteracy workshop (Saving to build wealth, managing your money), public forum (knowledge is money) and Community financial fitness day

Ghana's hidden treasure in Switzerland

Youth Activists call for gov’t intervention…in retrieving $bn from UBS

Friends of Oman Ghana Trust Fund (FOGTF), a youth activist group has called on the political leadership of the country to intervene and help to retrieve a chunk of money which is under safe keeping at Union Bank of Switzerland (UBS).
In a discussion with a group of media practitioners in Accra yesterday, the group contended that the Fund was set up by Dr. Kwame Nkrumah and Dr. W.E. B Dubois in 1957 and it was meant for development projects in 27 sectors of the Ghanaian economy, including communications, roads, housing, education, health and farming among others.
According to the group, the fund, which is in safe keeping under the Swiss bank (UBS), first matured in 1975 and increased in 1986 to the tune of $400billion? However, due to some human error on the part of the Ghana government, access to the fund has become difficult, whiles interest keeps accumulating on the seed money.
The Country Director of the Country Awards Council -Ghana, His Awardship Kobla Asamani, in his explanation noted that the investment portfolio in UBS has 7 accounts, including a current account consisting of $47 billion which can be accessed at the bank (UBS) and can be operated by a code number and a word.
According to him, after several failed attempts by government officials, there is only one Survivor who has access to those code numbers and word, and it would therefore be prudent for government to engage him in accessing the money for development projects in the country.
He said the group showed keen interest in demanding government’s support in retrieving the money, because “the money belongs to Ghana and we want to see Ghana developed to a middle income status country”.
He contended that the Fund is operated by a sole Trustee, who is the sitting President of Ghana and the sole beneficiary is the people of Ghana, who can also be represented by any person appointed by the President in retrieving the money.
The group averred that ever since the issue came to the fore, government has investigated the issue and is fully aware that the money exists. The group was, however, worried about the research findings by the legal board of the Finance Ministry, which has not been presented to the President. To this effect, the group demanded that the research findings be presented to President Kufuour in order to facilitate the speedy recovery of the fund.
The group pleaded that government should partner Mr. Gregory Fraizer, the only survival who has access to the codes and password to the Fund in order to help assist in the recovery of the money. The group believes that Gregory Fraizer, who is an African American, is the only one who can aid the country in having access to the Fund.
“The money could be retrieved if only we follow the right mechanics”, noted Kafui Deiba, a member of the group.
Meanwhile, in a letter dated July 20th 2007, and addressed to the then Minister of National Security, Mr. Francis Poku by Gregory Frazier, he outlined how the money could be reclaimed, and he promised government of his unflinching support towards the retrieval of the money.
“Mr. Opoku, on my honour, I will not disappoint you or the People of Ghana, I implore you to give me one chance to serve. I have seen the deceptions and object stupidity that has caused the past failures. If I fail, I am prepared to be jailed for lying to government officials, and I will sign a Bond to that effect with your National Security Agency. I will not fail”, he added in the letter.
The group therefore have decided to embark on a peaceful nationwide demonstration if government fails to adhere to their request, which they believed is in the interest of the country.

Ministry sets up committee to check fraud

The Ministry of Ports, Harbours and Railways has set up a committee to investigate the activities of service providers who charge illegal fees on goods imported into the country at the ports.
This was disclosed by the Deputy Chief Executive of the Ghana Shippers Council, Mr. Emmanuel Martey, in a forum organized to educate Journalists on the activities of the Ghana Maritime Industry.
The Ministry, according to Mr. Martey, would immediately address the committee’s findings upon submission to ensure that importers are not cheated.
He said some portion of the existing laws of the Maritime Industry bars it from imposing any sanctions on service providers who indulge in such acts, as it always has to rely on the Ministry for directives in addressing the issue.
Mr. Martey was optimistic that the Committee’s findings would help eliminate the nuisance from the country’s ports. He advised clearers to seek clarification from the Shippers Council to avoid falling into such a situation.
Importers have over the years complained bitterly about illegal fees charged at the ports which according to them were having negative impact on their operations.
However, findings according to the Tema Port Coordinator, Mr. Samuel Ntow have shown that some of the monies collected by service providers are in the form of bribes to enable them find their way in clearing their goods.
“Some charges relate to people wanting to expedite their operations”, he noted.
Mr. Ntow, however, observed that the situation at the country’s ports is mainly due to imperfection in the Maritime Industry. He therefore called for legislation and a specific minimum charge to those found guilty in charging illegal fees at the ports.

CSOs call for elimination of conditionality on aid

Civil Society Organisations (CSOs) have called for the immediate removal of conditionalities attached to aid by donor Countries to the developing world, for better and efficient utilization of aid by the recipients (developing world). The CSOs hold the view that conditionalities attached to aid undermines the democratic ownership which is the freedom of countries to choose what they want to do with their developments.
The elimination of conditionalities by donor Countries according to the CSOs would enable the developing world to be dependent in their decision making without external interferences and influences towards the utilization of the aid.
“To impose policies on aid by donor Countries is not a good thing. There should be no conditionalities attached to aid by donor Countries. This will help the developing world to make effective utilization of aid to improve living standards in their respective communities in order to achieve the objectives of the Millennium Development Goals (MDGs) by 2015”, said Mr. Yao Graham, from the Third World Network in an interview with the paper at the ongoing CSO parallel conference on aid effectiveness in Accra yesterday.
According to him, donor Countries and their recipients (developing world) all have equal responsibilities in making sure that aid is effectively used for its intended purpose. “Our attacks on conditionalities have never been that there should be no system of making sure that aid money is spent as intended. This is because we also have a position against corruption and the misuse of resources. It is in our interest as a small country to insist that we have freedom to make our own development choices without any conditionality imposed on us”, he added.
Mr. Graham therefore urged the developing world to welcome development assistants that does not constrain the freedom of developing countries in order to choose the direction of where they should go.
Aid effectiveness have over the years been canvassed by CSOs which had led to a number of fora to enable participants to deliberate on how best to eliminate hunger and poverty in the developing world. The dialogue and rhetoric on aid effectiveness is constantly changing, all in the name of positive transformation of the developing world to improve living standards among its citizens.
The Paris Declaration, which sought among other things on the direction for reforming aid delivery and management to achieve improved effectiveness and results was seen by many as an attempt to revolutionize international aid by combining the concepts of country ownership and accountability. However, the resulting Declaration has been seen as a failure by Civil Society Organisations for ignoring the unique and essential role of civil society in executing the principles of the Declaration.
“We are disappointed that our views on previous drafts have not been taken into account”, contended the CSOs.
To them, the Accra Agenda for Action forum would create a space for agreement on principles to guide the effectiveness of CSOs, on guidelines for applying such principles and for documenting good-practice.
They therefore stressed the need for effective aid to be based on the principle of democratic ownership.
“Effective aid must be based on the principle of democratic ownership and have poverty reduction and the realization of human rights, gender equality, environmental sustainability and decent work as its objectives. Poor and vulnerable people’s voices need to be heard if aid is to be effective. When donors impose their own policies, systems and priorities, they drown out those voices”, noted the CSOs.