Some of the facility at the site.INSET: Nana Appiagyei Dankawoso, Second Vice President, Ghana Chamber of Commerce and Industry cutting the tape to commission the facility. With him is Awuah Darko (2nd left).

Members of the pensions and provident fund schemes under the trusteeship of United Pension Trustees (UPT) can now heap a sigh of relief with the launch of ‘Homesure Benefit,’ a home ownership scheme.

Harold Awuah Darko, chairman of UPT and vice chairman of Vanguard Life Assurance Company, commenting on the scheme, described it as a breather for Ghanaians taking into account the complexity associated with building of late.

Launched at Meotsi, a suburb of Prampram, near Central University College, ‘Homesure Benefit’ allows workers to utilize their Tier 2 Pension Fund and Tier 3 Provident Fund to acquire a home over their working life.

Currently, UPT has completed and furnished 20 of the first 200 two-bed-room houses expected at the afore-mentioned site, which is also referred as Central Estates. It features two-bedroom apartments expandable to four with an estimated value of GH¢65,000.

Throwing light on how the scheme works, Mr Awuah Darko pointed out that members of UPT could benefit from the scheme.

“Members’ tier two pension fund serves as guarantee for the value of their mortgage loan. Members’ tier three provident fund is accumulated to pay off the mortgage loan principal,” he said, adding that beneficiaries pay only the interest on the mortgage loan secured in addition to life assurance and property insurance premiums over the term of the loan.

UPT was established in compliance with the National Pension Law, 2008(Act 766) and obtained license as a corporate trustee from the National Pension Regulatory Authority of Ghana (NPRA).

The first beneficiaries of the 20-completed Central Estates facility are some workers of the Ghana Ports & Harbours Authority (GHAPOHA).

Obafemi Banigbe

Obafemi Banigbe, Acting General Manager of Tigo Ghana, has stated that despite the keen competition in the telecommunication industry, his outfit is positioned to meet the demands of its subscribers.

He said “for us at Tigo, competition means an opportunity to become better and innovative and offer our subscribers with tailor made products.”

After the much-touted launch of the six mobile operator, Glo Mobile Ghana, in April this year, competition in the telecom industry is expected to be very keen.

However, Mr. Banigbe noted that Tigo is not perturbed by competition, but will rather continue to give its subscribers value for money.

The Acting General Manager stated this at the media launch of Tigo’s unlimited time-based internet prepaid plans in Accra.

The offer allows subscribers access to the internet till their package time duration expires.

He said “with this unlimited internet plan, our subscribers can be up to date and in constant connection with people and with what is happening around the world.

“Our subscribers can read the news, search google, listen to music, watch videos, download and stream movies and not bother about their internet data volume finishing.”

He noted that it is a one-time fixed fee package with no browsing limitations within the time duration subscribed to, which can be monthly, weekly or daily.

He added that customers also have the flexibility to access the internet through any mobile device or modems.

Mr. Banigbe explained that “subscribers with modems intending to subscribe for the unlimited daily plan will simply have to send the word “Day” to short code 2045 for the weekly plan, the subscriber will need to send the word “Week” to short code 2040 and for the unlimited monthly plan, the subscriber will have to send the “Month” to short code 2040.”

He added that “for subscribers, who want to enjoy the service using their handset in order to access the daily unlimited plans, the customer simply need to text the word “Day” to short code2045. For the weekly and monthly plans, customers must send “Weekly or “Monthly” to short code 2060.”

According to Mr. Banigbe, Tigo is set to position itself as the preferred internet service provider in Ghana and will continue to invest massively in the expansion of high speed wireless broadband network in order to meet the requirements of consumers.

 By Esther Awuah

George Blankson, Commissioner General of GRA (m) with Fiifi Kwetey, a Deputy of Finance (right) and Daniel A Witt (left)

Dr. Kwabena Duffour, Minister of Finance and Economic Planning, has stated that West Africa should be stern on tax evaders in order to maximize revenue through the indirect tax system.

At a recent conference in Turkey, a former senior economist at the International Monetary Fund (IMF) revealed that the sub-region and other less developed countries including Ghana lose revenue annually.

In 2008, the affected countries lost an amount of $20.2 billion at the end of the year through illicit financial flows, which is a form of illegal capital flight and occurs when money is illegally earned, transferred or utilized.

As a result of illicit financial flows, money intended to disappear from any record in the country of origin and earnings on the stock of illicit financial flows outside the country do not normally return to the country of origin.

“What we need is a capable tax administration system that is able to deal with tax evasion and criminal tax avoidance,” said the Finance Minister in a statement read on his behalf by a deputy Minister of Finance, Fifi Kwetey at the opening of the West African Tax Forum in Accra.

He noted that the adoption of indirect taxation, especially value added tax, is one of the important developments in taxation in modern times.

“In Ghana, the value added tax and tariffs on imports are a major source of government revenue and this trend is likely to continue as we grapple with the world economic crises and seek to increase economic growth,” he said.

Challenges in the tax system in the sub continent, he said, includes the complexities of taxation of African natural resources, the lack of exchange of information, difficulties associated with the taxation of international transactions.

He therefore urged delegates participating in the forum to come up with concrete strategies that would “go a long way to help African countries address these challenges.”

George Blankson, Commissioner-General of the Ghana Revenue Authority (GRA), in a welcome address, hinted that the challenges of indirect tax administration are formidable and “even more so for tax administrations that are in the process of tax reforms and modernization.”

He noted that Ghana’s plans to integrate the three main revenue agencies led to the establishment of the Ghana Revenue Authority two years ago.

Daniel A Witt of the International Tax Investment Center, which is hosting the forum with the African tax Institute and the Africa Tax Administration Forum, told DAILY GUIDE after the opening that the delegates, which included experts in tax policy, academia and industry, are expected to share experience and best practices.

The two-day forum, he said, would also provide a platform to conclude on how best to coordinate indirect taxes, among member states in common markets.

They would also look at issues regarding natural resource taxation and corporate taxation.

 By Emelia Ennin Abbey

UniCredit Ghana Limited is a non-bank financial institution which has been in operation since 1995. The company, formerly Kantamanto Savings and Loans Co. Limited, changed its name in June 2007 after the ownership of the company changed in April 2005.

The company is headquartered at Tarzan House, Kantamanto-Accra and currently has a network of five branches located at Kantamanto, Kaneshie, Apenkwa, Ashaiman and Dome.

The primary focus of uniCredit is to provide financial services that are specifically tailored to the needs of personal customers and micro, small and medium scale enterprises.

According to Stephen Ameyaw, Managing Director of uniCredit Ghana, its core objectives include the provision of financial services through innovative deposit mobilization and credit delivery strategies; the development and offer of attractive products to suit the varied needs of customers both in the formal and informal sectors of the Ghanaian economy.

It also intends to reach out to a large number of clients in its target market, help small savers and borrowers improve on the quality of their life through wealth creation and provide business advisory services to micro, small and medium scale entrepreneurs through training and counseling.

Mr. Ameyaw holds a BSc. degree from the University of Cape Coast, MSc. (Economics) Degree from the University of Ghana, Legon, and a Diploma in Economics of Banking from Finafrica, Italy. He resigned his position as Assistant Director at the Bank of Ghana after 30 years.

“Our primary focus is to provide financial services that are specifically tailored to the needs of personal customers, micro, small and medium scale enterprises. We do this by being the most efficient and effective Savings and Loans Company operating in the microfinance market,” the MD noted.

Products:

In the credit category, the company has ‘Dwetire’ loans, designed for Small and Medium-scale Enterprises (SMEs) who require facilities in excess of GH¢20,000 for working capital or fixed asset purposes. The client is able to operate an account for a minimum of three months to qualify for the facility while clients with active account operations and substantial turnovers may be offered concessionary interest rates. The period for the loan repayment is between 1 and 12 months and benefits to the customer include quick access to loan, flexible loan terms and free business advisory services.

‘Boafo ye na’ is another loan facility designed for SMEs and importers who need short term facilities to clear imported goods. It is a loan package for existing clients who are into importing and the loan tenure is between 1 and 3 months. Benefits include quick access to loan, flexible loan terms, free business advisory services and concessionary interest rates.

‘Adanfo pa’ trade loans is a facility carefully designed for micro clients who are already into trading (i.e. buying and selling) and wish to acquire more stocks. It requires the client to operate an account for a minimum of three months to qualify for the facility and the loan amount is between GH¢100 and GH¢20,000 while the repayment is between 3 and 12 months.

On debit products, the company has the children’s account (U-kid account) that is opened with the parent as a trustee. The child gets full control over the account when they turn 18, it comes with competitive interest earned on balances over GH¢100, any amount could be used to start and there is no minimum balance required. Benefits to the child include building a substantial bulk deposit, using the savings as collateral for a loan, providing insurance cover for them for a minimum balance over GH¢100.00 and helping the child to develop a savings habit. Requirements include the child’s birth certificate and a passport size photograph as well a recognized identity card of any of the parent or guardian.

U-check current account is another product targeted at the general public, particularly traders, workers and groups. To subscribe to this product, customers require an identity card and an initial deposit of GH¢10 to open account. They will also be offered real-time transactions in all our branches, i.e. account holders can transact their business in any of our branches irrespective of the branch of domicile of the account and customized cheque books and the convenience of third party withdrawals, among others.

Benefits: No commission on turnover (COT), account holders could get a loan for their business needs (easy access to loans) and earn competitive interest on balance over GH¢10,000.

Fan Milk

Fan Milk Limited (FML) is one of the most respected brands in the country. Over the past few months, it has invested heavily in vendor and retail equipment in order to improve on its revenue figures.

Commenting on the performance of the company, Karl Ocran, analyst at Frontline Capital Investments Limited stated: “We initiate coverage of FML with a recommendation based on a 12-month fair value target of GHS2.55 per share because we anticipate the situation regarding the macroeconomic fundamentals in the country to stabilize. In addition, with burgeoning economic activity, we anticipate high growth in disposable income levels which could provide significant opportunity for FML products.”

Company Profile:

Incorporated in 1960, FML became the first foreign company to become a public limited liability in 1967. The principal activity of the company is the manufacture and distribution of dairy product and fruits drinks.

Revenues:

Revenue within the period increased to GHS109.28 million which represented a 5 percent marginal increase from the prior period. The marginal increase in revenue can be attributed to the increase in the price of some of its product which occurred at the beginning of 2011.

Operating expense:

Total expense was at the high end of about 79 percent of total revenue. Significant components of this cost were cost of sales (47.5 percent of turnover) and distribution cost (23 percent of turnover). Raw material, promotion and adverts as well as employee benefit expenses accounted for over 70 percent of total expense.

Significant drop in bottom line:

Net income for the period dropped to GHS 18.8 million Ghana Cedis, representing a dip of about 2.6 percent. The fall in profit was due mainly to increased cost. Operating profit and profit before tax for the period declined by 5 percent and 2 percent respectively.

“With the construction of a new regional distribution center at Kasoa – a town located in the Central region and the acquisition of a new retail and vending equipment, growth is expected to be stimulated.

“On the other hand, increased cost of living could pose a great threat to the performance of the company as it could experience a slowdown in demand of its products. Rising costs such as raw material and fuel could negatively affect the bottom line. The lawsuit brought against the company in 2011 also presents a great risk,” noted Mr Ocran.

 By Samuel Boadi

Starbow aircraft

STARBOW has taken delivery of another BAe 146 aircraft.

This brings Starbow’s fleet to three, and a fourth one is expected to arrive in the country before the end of this month.

Archibald Kittoe, a Senior Marketing Officer of Starbow Airlines, who made this known said, “This latest aircraft is modeled like the existing BAes, but with eight luxurious business class seats. This means with the acquisition of this aircraft and the fourth one, which is due in the country soon, Starbow is now poised to commence its direct air services from Accra to the capital cities of the neighboring countries in the third quarter of this year. Some of the destinations include Cotonou, Abidjan, Monrovia, Abuja and Ouagadougou.”

According to Mr Kittoe, the current unprecedented growth in demand for domestic airlines services, which is due to the advent of Starbow airlines, will be met.

“For instance, flights from Accra to Kumasi will now be three times daily. Morning flights from Accra to Takoradi will also be commenced shortly.”

Also, Starbow has engaged eight new pilots, many of whom are fluent in French, to undergo training in Manchester, United Kindgom after which they will undergo a two-week intensive ground school training in Accra, Ghana.

30 newly-recruited cabin crew attendants will also start their training before the end of this month.

Starbow’s BAe 146 aircraft is well suited for regional routes planned by the airline. The aircraft’s high wing and four engine configuration is complemented by tail-mounted air brakes and optional steep approach modifications.

 From the business desk

Adu Anane Antwi

The Securities & Exchange Commission (SEC) has directed all listed multinationals in Ghana to put in place measures that will enable them offer 50 percent of their shares for indigenous acquisition.

Adu Anane Antwi, Director-General of SEC, speaking to the media in Accra recently, said the move will enable the capital market enjoy steady growth while it will also push foreign firms to list on the bourse.

Most multinationals have been found to be repatriating huge sums of money in the form of profits and offering little space for local acquisition. In cases where they list on the bourse, the percentage of profits apportioned to indigenes is often a pittance.

SEC will thus champion the cause for multinationals to prepare and list on the Ghana Stock Exchange (GSE). Should the proposal be accepted, all multinationals would begin to list on the bourse in five years’ time.

Mr Antwi asked all players in Ghana to, as a matter of urgency, accept the local content policy without hesitation to beef up the economy.

The SEC Director-General said if multinationals operating in Ghana are not pressurized to review their shareholding structure in such a manner, no other measure will get them to cooperate.

Already, he indicated that his outfit has started pushing the agenda and was optimistic that policy makers will agree to it.

By Samuel Boadi

30 years ago when Samuel Kojo Adu was growing up at Nsemere in the Wenchi Municipality of the Brong Ahafo region, there were giant trees everywhere.

Mr. Adu, now a teacher, loved the tall green trees and the fresh air and has fond memories of the area. He used to run around as well as take long walk near the forest on his way to the family’s farm.

Today, the story is different, considerable portions of the once-extensive forest, have been destroyed.

Large portions of the natural vegetation have been destroyed due to the clearing of land for agriculture and construction of houses.

Data at the Forestry commission show that there are 20 forest reserves covering a total of area of 233,469 hectors in the Brong Ahafo region, but the activities of illegal timer operators, which have been on the rise in recent times, have left the conserved areas with damaged trees.

Large tracts of forest in Ghana have been cleared for the cultivation of cash crops such as cocoa, Jetropha, which thrive in the rich soil of the rain forest while bulldozers of rich mining companies are cutting down trees to enhance their operations.

In the Northern part of the country, deforestation, overgrazing and periodic drought and soil erosion have increased desertification which negatively affects the lives of the people living in that area and the nation as a whole.

There has been rampant encroachment of our forest reserves in recent times due to the production of timber for export and the local market as well.

Kwabena A. Otu-Danquah, Head of the Renewable Energy Division of the Energy Commission, is worried about the indiscriminate felling of trees for charcoal and firewood which has become a very lucrative business.

“It is difficult to regulate the industry and put a stop to the practice because charcoal happens to be the major source of energy for cooking in most Ghanaian homes,” said Mr Out-Danquah.

He said his outfit discovered that large volumes of charcoal were being exported out of the country under the non–traditional export and “we decided that if we allow people to export without permit the country will become a desert in the not-too-distance future.”

Ghana’s rate of forest depletion has hit 62,000 hectares annually and the country’s forest is currently regarded as one of the most  degraded in the developing world.

The poor rating is due to the fact that country’s total forest cover of 8.2 million hectares during the 20th century has been declined to about one million presently.

In his book “Falling Into Places,” which was published in 2006, Prof. Nii Ashie Kotey, a natural resources law expert, projects that Ghana will lose all its forests in 23 years time if forestry laws are not strictly enforced.

The lost of forest is presenting a major challenge to policy makers and environmentalists, who are proposing various measures to address the problems.

To address the alarming level of degradation and depletion of the country’s forests, government announced plans to strictly enforce policies and associated legislation on forestry to ensure the sustainability of natural resource and bio-diversity conservation in the country.

In line with this, a National Plantation Development Programme was launched as part of efforts to reduce the rate of deforestation and significantly reduce its effects on rural communities.

Yet out of the targeted 51,000 hectares of forest projected to be planted by end of 2011 only 10,000 hectares of forest plantation was covered under the project. The programme created 40,000 jobs in districts across the country.

According to Afari Dartey, Chief Executive Officer (CEO) of the Forestry Commission, degraded forest reserves and off-reserve areas will be replanted to achieve a sustainable resource base that will satisfy future demands for industrial timber and enhance environmental quality.

The forestry sector has received attention in recent times.

Ghana has ratified international agreements protecting tropical forests, wetlands, and the ozone layer and this has led to the ban on the export of raw logs.

Mike Hammah, Minister of Lands and Natural Resources, admits that trees act as one of the largest storage for carbon on earth and helps to reduce emissions.

“The rate at which we are losing our forest cover is worrying, we need to act now,” said the worried minister.

“We have virtually lost all of our forest cover and we are now considering importing logs from Cameroon,” he disclosed.

Mr Hammah stated that he led a team to Cameroon to explore the possibility of Ghana importing logs, sawn timber and veneer from the West Central African country to feed the country’s mills while it restores its forest. Ghana’s forests, which covered about one-third of Ghana’s total area, used to be the main source of exports.

Until recently, timber was the country’s third largest foreign exchange earner and the forestry sector was the highest recipient of aid and commercial credits.

Cocoa and gold are the first two foreign exchange earners. It is estimated that Ghana earns some $300 million from timber products annually. Ghana’s forests contribute between five and eight per cent of its Gross Domestic Product (GDP).

A decade ago, timber and wood product earnings totaled US$212 million. The country’s exports of over 919,000 tonnes have dropped significantly.

Indiscriminate felling of trees by individuals and illegal chain saw operators, coupled with bad farming practices, bush fire and many others have been identified as the root causes of deforestation.

Though there are over 220 lumber processors in Ghana, the industry faces several challenges and the lack of raw materials has aggravated their problem the more.

Mr Hammah said Cameroon has the raw materials that the Ghanaian operators in the industry need.

Ghana and Cameroon have since resolved to establish a Permanent Joint Commission to expand the scope of bilateral relations between the two countries to promote forestry and other sectors in the spirit of South-South co-operation.

In furtherance of this resolution, a high-profile body comprising technical teams from both countries is expected to be constituted to develop a Memorandum of Understanding (MoU) to enhance trade.

Cameroon’s Minister of Forestry and Wildlife, Ngole Phlips, who welcomed the move, in an interview, gave the assurance that his country was looking forward to trading with Ghana to reduce its dependence on the international market following the economic crisis in Europe. Europe consumes about 80 per cent of Cameroun’s wood.

Benefits   

Because trees transpire large quantities of water, their destruction often leads to hotter and dryer climate.

The forest also serves as an avenue for recreational activities and tourist attraction, which go a long way to improve the economy of the country.

Removal of trees causes rapid runoff and flooding, which makes oil erosion more rampant.

The constant harvesting of trees along streams and rivers drastically reduces fish, as increased exposure of water bodies to sunlight may negatively affect the fish.

Action

Several environmentalists and academics have stressed the need for Ghana to conserve the environment.

Prominent among the advocates is the Okyehene, Osagyeafo Amoatia Ofori Panin, who started his environmental campaign some 11 years ago when he was enstooled.

Today, the Okyehene is executing several afforestation projects.

According to him, “We need to take greening of our environment as a serious national concept.”

“We need to replace our trees that provide different functions for our own good.”

Sherry Ayittey, Minister of Environment, Science and Technology, who totally agreed with the traditional leader, said all hands are on deck to ensure that the nation is restored to its former green state.

“Our ability to control climate change could be crippled if we do not support clear and effective targets to address deforestation.”

Apart from planting tree, Ms Ayittey said “we are creating more awareness on the importance of trees in combating the effects of climate change regarding drought, land and water degradation, health hazards and general human well-being.”

 By Emelia Ennin Abbey

A journalist interviewing an actress, the impressions they have about each other could affect the outcome of the interview

A doctor once met a young man who was neatly dressed and was looking forward to a great day.

The two sat silently at the reception of a company and waited patiently to see the managing director.

They both watched programmes on the television set which was placed at one corner of the reception.

However, from time to time, they stared at each other probably wondering what the other was thinking.

The doctor was not wearing any custom or any thing that could make anyone recognize him as a medical officer, likewise no one could tell the younger man’s profession.

The medical doctor arrived a few seconds ahead of the younger man and so the former was hoping to take his turn to see the managing director who was his friend.

The younger man, who came to meet the old man at the reception, he had no problem with who goes first.

Then finally, the time came for the managing director to see the visitors.

The receptionist, a slim, dark lady wearing a blue-black suit with ear-rings and other accessories to approached them boldly.

She stood in front of the two men, looked at them and then signaled the younger man to follow her.

At her counter, she asked the young man to sign in and then directed him to the manager’s office.

After a while, the medical doctor walked to the receptionist and quizzed the lady about the first come first served policy.

She looked the medical doctor from heard to toe and said “I decide who goes into that office.”

The doctor went back to his seat after the incident.

He realized that the reception focused on the young man who was sharply dressed in a striped three piece suit and a tie.

While the doctor sat and tried to concentrate on the scenes on the television, he also thought about his clothes.

He was simply dressed in a brown khaki trouser and a white polo t-shirts and a sandal.

Judging by Appearance

The receptionist considered the appearances of the two people, the young man and the medical doctor.

She considered the young man who was wearing a three piece suit and pleasant smell.

It is often said that others judge us by the first impression that we make. But how well are you at judging others.

That was the question that troubled researchers at Washington University in St. Louis and Wake Forest University, who set out to discover how accurate people judging others.

They discovered that it is self-confidence that makes all the difference in knowing whether you have hit a homerun or struck out with your first impression.

Research shows that within the first three seconds of any interaction, a person is being judged or assessed.

Those three seconds can make or break a good first impression. However, those three seconds are not just about the person being judged.

The person who makes the judgment plays a key role as well. We all have our own perspectives and our own interpretations regarding what we think we see.

While we can control certain aspects of the kind of first impression we make by the way we dress, speak and conduct ourselves, we cannot control how others interpret those things.

She may judge the new person harshly or see traits in him which the previous boss possessed, but in reality this new person may not have any of those traits.

Judging Character

A medical doctor carefully observed a patient’s face and noticed something that he thought gave indication of a tumor.

He advised the minister to have it checked immediately and lo and behold, the diagnosis turned out to be exactly right. That doctor had what is sometimes called a clinical eye, that is the ability to make a good diagnosis by simply looking at a patient.

Some however feel that they have a “clinical eye” when it comes to judging people’s character, personality, and trust- worthiness.

Over the years, researchers have tried to come up with a scientific approach to the possibility of discovering a person’s character by his physical appearance.

Physiognomy is defined as a science that deals with
personality traits supposedly revealed by facial features or by body structure and form.”
In the 19th century, anthropologists, such as Francis Galton, a cousin of Charles Darwin, and criminologists, such as Cesare Lombroso of Italy, proposed similar theories and techniques that have since been neglected.

Still, many people believe that it is possible to make a reliable judgment about an individual simply by observing his outward
appearance.

Are such first impressions to be trusted?

When we meet someone for the first time, we tend to formulate opinions about the person in light of our past experience or on our own perception.

We are prone to generalize and to judge people on the basis of stereotypes. In addition to physical appearance, we may evaluate or judge the person because of his nationality, ethnicity, social standing, or religion.

If the opinion we form of that person turns out to be correct, we congratulate ourselves. However, when we realize that we drew completely wrong conclusion, how do we react? If we are honest, we should let go of our preconceived opinions and look for the facts, Otherwise, we might be doing others a great disservice because of our pride in exercising what we consider to be our superior sense of judgment.

Judging by appearance can be harmful not only for the victim but also for the one doing the judging.

Remember, appearances can be deceptive and impressions can be wrong, but an objective examination of the facts can result in pleasant surprises.

Alex Kofi Mould - NPA Boss

An official of the National Petroleum Authority (NPA) has advised Oil Marketing Companies (OMCs) to import refined petroleum products for sale on the Ghanaian market rather than secure unrefined products.

Speaking to BUSINESS GUIDE in an interview recently, Steve Larbi, Public Relations Director of NPA, indicated that given the present situation whereby government is unwilling to buy crude oil from any oil-producing country, it would be prudent for OMCs to continue procuring refined oil from countries overseas.

According to Mr Larbi, the procurement of the commodity has to be on a government-to-government level but since the Government of Ghana has shirked such a responsibility, OMCs could only resort to buying the refined commodity from overseas.

Explaining further, he said though the Tema Oil Refinery (TOR) does not have the resources to import the commodity, it was presently doing business with some OMCs who import crude oil.

He said some OMCs import unrefined products which TOR refines and charges fees accordingly. As a result of this, he said TOR “is now praying that more OMCs bring jobs so it could subsist.”

If crude oil is imported in large quantities into the country for TOR to refine, there would eventually be more oil to meet the current demand, he indicated.

However, S.Y. Apedoe, president of oil dealers, in an interview with this paper, lauded the proliferation of filling stations across the country but called on government to consciously boost supply.

He said should there be a shortfall the country would face massive energy problems.

 By Samuel Boadi

Nii Ansah-Adjaye, in a group picture with some officials of Africa American Business Conference last year

Importers and clearing agents face tough measures as the government moves to curb massive revenue leakages in the sector.

The move, which would help the Ghana Revenue Authority (GRA) to meet its tax targets, is expected to get importers, among others, to make full disclosure of imports by submitting the appropriate documents in line with import rules.

Importers and clearing agents are required to provide the Customs Division of the Ghana Revenue Authority as well as other government agencies at the ports such as the Ghana Ports and Habour Authority and destination inspection companies with documents such as copy of the bill of landing manifest, name of the company, invoices, name of the vessel and expected date of arrival, loading port, quantities and destination.

Nii Ansah-Adjaye, a Chief Director at the Ministry of Trade and Industry, hinted that importers and clearing agents who submit falsified documents at the ports would be prosecuted.

There have been reports of importers, clearing agents and fright forwarders using the same document to clear different goods at the port on the blind side of revenue collectors and port authorities.

Mr. Ansah-Adjaye, who cautioned such perpetrators, stated that such practices constitute fraud and deliberate attempt to either evade or avoid tax.

He observed that the authorities had recorded discrepancies on documents such as invoices and bill of lading, among other things, submitted by some importers or agents with the view to evading or avoiding duties and other taxes.

“It is a punishable offence under the law and noted that those caught would not be spared,” he said.

The Chief Director made the revelation at a seminar organized by BIVAC, a member of the BUREAU VERITAS Group and one of the five destination inspection companies in the country for importers and traders in Accra.

He noted that revelations in the scheme presented the country with challenges that require the collective efforts of all players to find a lasting solution.

Government, through state institutions such as the Ghana Revenue Authority, has been putting in place measures to ensure strict adherence to revenue laws by importers and clearing agents as well as fright forwarders.

There are reports of heavy loses to the state because of the fraudulent activities of some importers and clearing agents at the ports, who have been accused of conniving with some ports officials in their dubious operations.

However, Mr Ansah-Adjaye, who noted that fraudsters constantly change their strategies in their bid to circumvent the system, was of the conviction that it would take the effective role of all stakeholders in the industry to curb the negative development.

“Importers/agents, freight forwarders, customs officers and inspection companies and other stakeholders have a role to play as we try to streamline the system,” he said.

By Emelia Ennin Abbey

Fan Milk

Fan Milk Limited (FML) is one of the most respected brands in the country. Over the past few months, it has invested heavily in vendor and retail equipment in order to improve on its revenue figures.

Commenting on the performance of the company, Karl Ocran, analyst at Frontline Capital Investments Limited stated: “We initiate coverage of FML with a recommendation based on a 12-month fair value target of GHS2.55 per share because we anticipate the situation regarding the macroeconomic fundamentals in the country to stabilize. In addition, with burgeoning economic activity, we anticipate high growth in disposable income levels which could provide significant opportunity for FML products.”

Company Profile:

Incorporated in 1960, FML became the first foreign company to become a public limited liability in 1967. The principal activity of the company is the manufacture and distribution of dairy product and fruits drinks.

Revenues:

Revenue within the period increased to GHS109.28 million which represented a 5 percent marginal increase from the prior period. The marginal increase in revenue can be attributed to the increase in the price of some of its product which occurred at the beginning of 2011.

Operating expense:

Total expense was at the high end of about 79 percent of total revenue. Significant components of this cost were cost of sales (47.5 percent of turnover) and distribution cost (23 percent of turnover). Raw material, promotion and adverts as well as employee benefit expenses accounted for over 70 percent of total expense.

Significant drop in bottom line:

Net income for the period dropped to GHS 18.8 million Ghana Cedis, representing a dip of about 2.6 percent. The fall in profit was due mainly to increased cost. Operating profit and profit before tax for the period declined by 5 percent and 2 percent respectively.

“With the construction of a new regional distribution center at Kasoa – a town located in the Central region and the acquisition of a new retail and vending equipment, growth is expected to be stimulated.

“On the other hand, increased cost of living could pose a great threat to the performance of the company as it could experience a slowdown in demand of its products. Rising costs such as raw material and fuel could negatively affect the bottom line. The lawsuit brought against the company in 2011 also presents a great risk,” noted Mr Ocran.

 By Samuel Boadi

Starbow aircraft

STARBOW has taken delivery of another BAe 146 aircraft.

This brings Starbow’s fleet to three, and a fourth one is expected to arrive in the country before the end of this month.

Archibald Kittoe, a Senior Marketing Officer of Starbow Airlines, who made this known said, “This latest aircraft is modeled like the existing BAes, but with eight luxurious business class seats. This means with the acquisition of this aircraft and the fourth one, which is due in the country soon, Starbow is now poised to commence its direct air services from Accra to the capital cities of the neighboring countries in the third quarter of this year. Some of the destinations include Cotonou, Abidjan, Monrovia, Abuja and Ouagadougou.”

According to Mr Kittoe, the current unprecedented growth in demand for domestic airlines services, which is due to the advent of Starbow airlines, will be met.

“For instance, flights from Accra to Kumasi will now be three times daily. Morning flights from Accra to Takoradi will also be commenced shortly.”

Also, Starbow has engaged eight new pilots, many of whom are fluent in French, to undergo training in Manchester, United Kindgom after which they will undergo a two-week intensive ground school training in Accra, Ghana.

30 newly-recruited cabin crew attendants will also start their training before the end of this month.

Starbow’s BAe 146 aircraft is well suited for regional routes planned by the airline. The aircraft’s high wing and four engine configuration is complemented by tail-mounted air brakes and optional steep approach modifications.

 From the business desk

The Chief Executive Officer of Ghana Investment Promotion Centre, George Aboagye

The Ghana Investments Promotion Centre (GIPC) recorded a total of 95 new projects with a total estimated value of $1.8 billion for the first quarter of 2012. This represents an increase of 67.98 percent compared to the value recorded in the same quarter of 2011.

George Aboagye, Chief Executive Officer (CEO) of GIPC, who made these known to the media in Accra, said the USA, with an FDI value of $407 million, ranked first while China registered more projects.

He said the foreign direct investment (FDI) component of the estimated value of the newly-registered projects amounted to $979.85 million while the total initial capital transfers for the quarter amounted to $43.27 million.

According to him, out of the 95 projects registered, 52, representing 54.17 percent were wholly-foreign owned enterprises valued at GH¢422.77 million while the remaining 43 projects were joint ventures between Ghanaians and foreign partners and valued at GH¢1.29 billion.

The total foreign equity was GH536.19 million and the initial equity transfers was GH¢73.57 million. It is expected that 4,468 jobs will be created from the projects registered.

According to Mr Aboagye, the centre embarked on re-registration of companies about two years ago. This formed part of GIPC’s monitoring and evaluation strategies of investment activities in the country.

“These companies have created 43,923 actual jobs from the registered projects, 2,532 jobs of which are for non-Ghanaians. At the time of the initial registration with the centre, a total of 24,028 jobs were expected to be created. The current investment at the time of the re-registration by the companies is $982.91 million.”

 By Samuel Boadi

The Chief Executive Officer of Ghana Investment Promotion Centre, George Aboagye

There is a popular Ghanaian saying that ‘when the frog comes out of the river to break news that the crocodile is dead, it must be believed.’ But there are times we must question the declaration of the frog from the river.

Recently, the Ghana Investments Promotion Centre summoned the media in Accra and informed them that results from a re-registration exercise it undertook on some 577 businesses showed that a total of 43,923 actual jobs had been created comprising 41,391 jobs for Ghanaians and 2,532 jobs for non-Ghanaians.

The centre also indicated that initially a total of 24,028 jobs were expected to be created from the registration of the entities comprising 22,063 jobs for Ghanaians and 1,965 for non-Ghanaians.

It further added that current investment at the time of the re-registration exercise amounted to $982.91 million, representing a significant increase of over 130 percent compared to the total projected investment of $421.10 million recorded at the time of the registration.

It is no secret that the unemployment rate is worsening daily. Therefore, for an institution like the GIPC to come out and make such announcements leaves much to be desired, given the fact that there are several jobless youth roaming the streets in the country.

Furthermore, BUSINESS GUIDE is challenging the authorities at the GIPC to tender documentary evidence of its pronouncements from the Social Security & National Insurance Trust (SSNIT) to buttress its claims.

Ghanaians must begin to demand evidence from political appointees particularly when these are deliberately bloated to satisfy the political agenda of any government in power.

BUSINESS GUIDE is doubtful about the figures released recently by the country’s only investment promotions centre and would therefore want to see the right things done by other state institutions most of whom would be tempted or coerced to divulge ‘cock and bull’ statements.

Ghana cedi

Many business opportunities offered under Ghana’s democratic dispensation are being taken for granted by certain institutions.

A lot of businesses in different sectors of the economy have consciously decided to operate their businesses without licenses. Such companies, however, have been able to deceive members of the public.

In a few instances, regulators, whose surveillance units are up and doing, have been able to catch up with these fraudsters but most often, these illegal operators succeed in remaining unnoticed for so many years.

The Bank of Ghana’s recent warning to members of the public not to transact business with some four microfinance institutions in the country says volumes about the tricky situation in the country.

Owing to the atmosphere that has been created by Government for the establishment of businesses by individuals and groups, some unscrupulous persons have tended to abuse the freedom and outwit regulators.

BUSINESS GUIDE would like to first and foremost congratulate the Bank of Ghana for the vigilance of its surveillance unit lately which has resulted in the detection of fake operators in the non-financial sector. That a business would operate without license in any part of the country makes mockery of the freedom enshrined under Ghana’s Constitution particularly for creating an enabling business environment.

Managers of MEDLORM Microfinance Limited, African Guarantee Trust, Abbey Cash Microfinance Limited and Swift Financial Services should bow down their heads in shame for their actions.
According to the Central Bank, none of the aforementioned institutions applied to it for a license to operate. Were it to be that they applied for the licenses, but were being denied it, that would have been a different case. Perhaps members of the public would have even sympathized with them but they chose to operate without regard for the laws of the land. This is sheer negligence which warrants an outright punishment.

As far as this paper is concerned, the bank has cautioned members of the public who would want to transact business with any of the four institutions that they would be doing so at their own peril, it is not known exactly what punishment awaits the institutions and their management.

Having operated up to this stage, it stands to reason that a lot of people have made investments into the sanctioned companies. So the question that readily comes to mind is: “What happens to their investments?”

A similar incident happened not long ago in which Onward Investments, another company defrauded many people.

Many died when the operations of Onward Investments were declared illegal by the Central Bank.

BUSINESS GUIDE would want the Bank of Ghana to press further and freeze operations of the four organisations and desist from making mere announcements.

So far, the Central Bank has granted 45 provisional licenses whilst other applications are still being processed. Also, it has asked companies whose documents are being processed to stop using the Bank of Ghana’s licensing process as an advertising tool for their businesses.

Let us begin to question the genuineness of companies whose products and services we patronize.

Mario Draghi (center) President of the European Central Bank

The financial tremors from Greece and the prospect of a default on the country’s debt have shaken Europe, aided by comments from German politicians suggesting Athens will have to default. The stand out losers have been the French banks.

Shares in Societe Generale, BNP Paribas and Credit Agricole slumped by more than 10 per cent. The euro suffered a seismic blow as well, hitting a 10-year low against the yen and a seven-month low against the dollar.

The storm forced Societie Generale, the hardest hit lender in recent weeks, to announce further drastic measures which include speeding up asset disposals and more cost cuts. Their shares were trading at an historic low.

The three banks’ exposure to Greek bonds – along with Banque Populaire – almost tops the 10 billion mark, and those figures have raised expectations of an imminent downgrade by ratings agency Moody’s.

One analyst believes the worst scenario would be a failure to prepare for a default.

“I think the prospect of bankruptcy for Greece has been on the cards for several months. The question we have to ask is when will it happen? It would be really disastrous not to have prepared for a default, then it would be really an extremely serious event,” explained Andre Sapir, Senior Fellow at the Bruegel think tank.

As French banking eyes turn to Greece, Societie Generale’s chief executive, Frederic Oudea, ruled out possible state intervention and said French Banks have the means to face up to whatever may unfold in the Greek scenario.

Bank of France Governor Christian Noyer added his voice to help quell unease, issuing a statement in which he said French Banks were not at risk.

Euronews’ Annibale Fracasso asked Phillippe Waechter the chief economist at Natixis Asset Management, if the financial crisis had now arrived at the heart of Europe.

Philippe Waechter: “Clearly there has been a growing concern after the weekend and indeed towards the end of last week with the resignation of Jurgen Stark from his post as Chief Economist of the European Central Bank.

“What we might have expected, what we did expect was more intervention from governments over the weekend. We saw how last Friday, Friday afternoon, investors’ expectations were reflected in sharp questions about the status of the euro zone, how Greece would be able to get out of their situation, how the country would deal with their financial difficulties.

‘It is an extremely dangerous time and requires very clear government intervention because the euro is primarily a political construction, Europe is a political construction.

“Government intervention would give a signal, they must give purpose and clarity to the euro zone and that is now expected by investors.”

Euronews asked: “If the situation worsens, BNP, Credit Agricole and Societe Generale, which are the three pillars on which the French banking system is founded, will probably be partially nationalized. That is not likely to ignite even the stock market or to help the Euro?”

“These banks hold assets, sovereign debt, Italian and Greek, and it is clear how these debts weigh on their portfolios. That is why one of the solutions rather than waiting for the banks to see their situation deteriorate is for the European Central Bank to intervene so as to limit the risks associated with what is happening at the moment. If the current situation is allowed to continue it could have dramatic consequences.”

“Is Jürgen Stark’s resignation evidence of growing tensions between Europe’s north and south?”

P.W: “There was tension among the European Central Bank and that was evident when in a press conference in August Jean-Claude Trichet indicated everyone did not agree on the bond buyback programme.

‘The departure of Jürgen Stark could possibly give a degree of freedom to the European Central Bank to intervene on the debt in a more direct and maybe more sustainable way.

‘Jürgen Stark’s successor is known to be a little more pragmatic than he was, so we may find that his arrival on the board of the ECB could help erase some of those tensions.”

Elias Masilela

South Africa’s Public Investment Corp., Africa’s largest pension fund manager, said it invested $250 million in Togolese lender Ecobank Transnational Inc. (ETI), the continent’s most geographically diverse bank.

“The $250 million share purchase will be affected by the issuance of 3,125,000,000 shares in Ecobank, representing 19.58 percent of the total outstanding number of shares,” the Pretoria-based PIC and Ecobank said in a joint statement e- mailed today. “The transaction will bolster Ecobank’s Tier 1 capital and further enhance its ability to grow its business across the African continent.”

Ecobank has operations in 32 African countries, more than any other lender.

Nedbank Group Ltd. (NED), the South African bank controlled by Old Mutual Plc (OML), said in December it had provided the Lome, Togo-based bank with a $285 million loan to finance expansion and may take a 20 percent stake in Ecobank by the end of next year.

The PIC, which manages almost 1 trillion rand ($127 billion), said last month it will invest as much $6.5 billion across the continent this year after reaping returns of more than 18 percent in 2011.

“With this one investment, we will be immediately optimizing our footprint on the rest of the continent, an action that would otherwise require multiple investments and huge effort as well as resource allocation,” Elias Masilela, chief executive officer of the PIC, said in the statement.

Ecobank closed unchanged at 11.43 naira in Lagos trading, and Nedbank fell 0.6 percent to 169.05 rand in Johannesburg.

Mike Brown, CEO of Nedbank, didn’t immediately respond to e-mailed questions.

President Goodluck Jonathan

Nigeria’s unions have suspended their strike after the president agreed to cut the cost of petrol following a week of protests.

The strike was called after prices doubled when President Goodluck Jonathan removed fuel subsidies on 1 January 2012.

Earlier on Monday, he announced that he would restore part of this subsidy.

Nigeria is Africa’s biggest oil producer but it imports almost all of its refined fuel.

Correspondents say many Nigerians see cheap fuel as the only benefit they get from their country’s oil wealth, much of which is pocketed by corrupt officials.

The unions had said that all street protests should be cancelled because of the security situation. However, police in the commercial capital, Lagos, on Monday fired live bullets into the air and tear gas to disperse hundreds of protesters.

Army checkpoints have been seen in parts of the city for the first time since the protests began a week ago.

Giving the union response to the president’s announcement, Nigeria Labour Congress chief Abdulwahed Omar told a news conference in the capital, Abuja that “Labour and its allies formally announce the suspension of the strike, mass rallies and protests across the country.”

Aliko Dangote

A Nigerian construction mogul has topped a list of Africa’s richest people.

Aliko Dangote, with a stake in Dangote Cement and interests in flour milling and sugar refining, has a fortune of $10.1bn (£6.4bn).

Forbes magazine’s inaugural list of the 40 richest people in Africa put South Africa’s Nicky Oppenheimer at number two with $6.5bn.

The total wealth of the list is $64.9bn.

By comparison, the wealthiest 40 people in Taiwan are worth $92.7bn.

The average age of those on the African list – which contains no women – is 61.

Mr. Dangote and Mr. Oppenheimer of diamond miners De Beers are two of 16 billionaires on the list.

De Beers recently agreed a $5.1bn deal to sell the Oppenheimer family’s 40 percent stake to Anglo American.

Egypt had the most billionaires, with seven coming from two families, the Sawiris and Mansours, according to Forbes.

Forbes said it had reached the values using stock prices for publicly-traded companies and estimates of revenues or profits for the many privately-held businesses.
The magazine ignored dispersed family fortunes such as the Chandaria family of Kenya.

From left: Estelle Akofio-Sowah, Mutala Mumuni, Rashid Alhassan and some staff of Google after the interview

Today the internet, as we all know, has become one excellent portal for information gathering and a place where companies can make themselves and their businesses known. In the current internet evolution, if you do not bring your business online, you will be out of business.

Many entrepreneurs are beginning to realize the importance of the internet in boosting the products and services as well as increasing their profits.

To help Small and Medium-scale Enterprises (SMEs) take advantage of internet to boost their businesses, Google Ghana, through its ‘Africa Get Your Business Online’ initiative, has succeeded in getting over 3,000 businesses to build their websites.

The initiative, which was launched in January, this year, is aimed at transforming the Ghanaian SME landscape while targeting over 10,000 businesses online in the next two years.

Estelle Akofio-Sowah, Google Ghana’s Country Manager, in an exclusive interview with CITY & BUSINESS GUIDE said, “We believe that the power of the internet will help small businesses in Ghana to thrive by bringing more local information online, and making that information more accessible and useful to Ghanaians.”

She added that ‘Africa Get Your Business Online’ is meant to have a positive impact on the economy by bringing thousands of businesses online.

She said having a website is as important for a business today as having a phone because customers are looking online for business information.
She noted that the initiative, which is free and easy to use, allows the business owner to build the website and update it.

“So for instance if the SME has a special promotion and wants to get it online, he/she does not need to wait for a webmaster to help with that they can make those changes to their website themselves,” Ms Akofio-Sowah emphasised.

She said the website has been designed to have notification via SMS so if someone visits a website the business owner gets an SMS and can interact with the person.

She indicated that Google has been working with associations like Ghana Association of Women Entrepreneurs (GAWE), National Board for Small Scale Industries (NBSSI), Ministry of Trade and Industries and some banks to reach out to the SMEs.

“Working with business associations and organizations that target and support SMEs is how we plan to reach more people,” she emphasised.

Ms Akofio-Sowah indicated that the website is not meant to solve problems of SMEs over night, but it is a necessary step that SMEs need to take if they want to reach out to both Ghanaian and international markets.

With the website, businesses will be listed on Google Maps – a common tool widely used for finding locations.

She entreated SMEs to take the bold step and go to www.getafricaonline.com and start building their own websites.

She also appealed to government to continue to focus on addressing internet access issues and other challenges SMES face in order to capitalize on the potential of the digital economy.
Mutala Mumuni, Chief Executive Officer (CEO) of Veilim Smocks Ghana Limited, an artifact dealer, said through Google’s initiative, he had been able to grow and expand his business.

He said “when we started, we had challenges with people locating our business at Pig Farm, a suburb of Accra. Initially we thought having a shop was enough, but after using the website I have come to the realization that one can have a business without necessarily having a shop, because with the website you can do everything.”

He noted that before he heard about the initiative, his company was in the process of building a website but could not afford it because of the amount involved, and decided to take advantage of the initiative.

“We have cut down the cost of operations and saved a lot of money through the website because previously, we had to fuel our vehicle and roam with samples of our products to banks and institutions, but now these people see what they want and we deliver directly to them without having to move unnecessarily,” Mr. Mumuni added.

‘Aunty Muni’s Waakye’ a popular place noted for ‘waakye’ in Accra has also taken advantage of the programme.

‘Waakye’ is a very popular Ghanaian food, eaten as breakfast or lunch, made from rice, beans, and a spicy sauce of prawn and tomatoes.

Rashid Alhassan from ‘Aunty Muni’s Waakye’ said through the website, they can display pictures of their dishes for people to see.

He acknowledged that they sometimes get tourists who come to buy from them who say they got to know about them through their website.

He also called on other SMEs to take advantage of the initiative since it is free and convenient to use.

 By Esther Awuah

Mr. John Daniel Otto receiving an award for the Best Entrepreneur Herbal Services at the recently held Ghana Entrepreneurs Awards 2011

Have you ever thought about why the herbal medicine industry in Ghana has gained so much recognition both locally and internationally? Well maybe you have not because you may be interested in orthodox medicine or better still you do not subscribe to the whole idea of taking medication when you are ill.

The herbal medicine industry in Ghana is gradually growing and becoming more recognisable because many people are becoming conscious of their health needs and what they consume. This has led herbal medicine practitioners to research into plants to produce curative medicines.

Like every profession, there are charlatans in the trade, who do not operate under laid down rules. A few have gained reputation based on the standard they have maintained and the efficacy of their drugs. One of such companies is Capital 02.

There is no gainsaying that Capital O2 owned by John Daniel Otto has created a growing consumer interest in herbal and natural health products both locally and internationally.

The mission of Capital O2 is to provide health for all by promoting herbal remedies and natural health care. The objectives of the company are: to promote holistic health care for all and maintain high standards of herbal medicine practice; to provide quality, safe, effective and affordable natural health care services and to support and promote the idea that diseases are better treated through prevention.

The Birth Of Capital 02

A native of Moree in the Central region, Mr. Otto lost his father when he was a toddler so his nephew took care of him and his mother.  After his Middle school education, he attended the Snaps College of Accountancy in Takoradi to study business after which he went to teach at the Swedru Technical Commercial College. He later joined an organisation called Rural Youth Foundation in 1972 and worked with the organisation for some years before joining the then Meat Marketing Board where he was put in charge of the shipping department.

During his stay at the Meat Marketing Board, Mr. Otto had an accident which resulted in his left leg being cast in a Plaster of Paris (POP). He was hospitalised for over six months, and had to resign from position to work with the Ghana National Procurement Agency (GNPA).

John Daniel Otto the brain behind Capital 02

At GNPA, Mr Otto, who was the Shipping Officer from 1977 to 1990, had the opportunity to travel to several European countries to undertake courses and training programmes. During those trips he subscribed to various health literature books and his passion for herbal medicine started during that period.

Those magazines provided him with remedies to some ailments he was personally experiencing. So in 1990, while at GNPA he started selling some drugs like ginseng capsules and other drugs to his colleagues in the office.

In 1996 he resigned from GNPA to concentrate fully on his business. He saw the formula of Living Bitters in one of the magazines and that shot him to fame. Now Capital 02 has well over 100 drugs which it sells, both locally produced and imported. It also has over eight shops in Accra and others in Kumasi, Sunyani, Cape Coast and Techiman.

According to him , his secret lies in reading books, where gets most of his formulas from.

Challenges

For Mr. Otto, charlatans in the industry who claim to produce herbal medicines, destroy the business of genuine ones. Another challenge he noted, has to do with the import duty paid at the ports to bring in his raw materials. He said “our products, which are usually referred to as food supplements when imported attract so much duty which is sometimes higher than the orthodox ones.”

Achievements

Mr. Otto strongly believes in producing drugs that have been tested and proven to be potent, and have received several testimonies from all over the world.

He said “one cannot describe the role our products have played in restoring health and vitality to the people of Ghana and beyond. As manufacturers we sometimes become amazed at what our products especially Living Bitters and Testo Power have done to people.”

He said the “even the ‘doubting Thomases have bowed to the evidence and proof of the efficacy of our products.”

Capital 02 has won a number of national and international awards for its outstanding and numerous contributions to the development of herbal medicine in Ghana.

“We pride ourselves in the fact that we are not only contributing to the health needs of people outside Ghana but also strengthening the foreign exchange position of our country.”

Notable among some of these awards are: International Star for Leadership and Quality from Business Initiative Directions based in Spain, European Society Award for Best Practices and recently won the Best Entrepreneur Herbal Services at the recently held Ghana Entrepreneurs Awards 2011.

Mr. Otto will also travel to the United States this month to receive an award from the International Quality Summit.

Future Projects

Mr. Otto said Capital 02 aims to achieve many laurels. The company, he said, intends to maintain its number one position as the leading natural health care company in the Ghana. The company also intends to set up the Capital 02 School of Natural Health Sciences.

This, the company believes, will help train practitioners who will help improve natural healthcare agenda of this country.

In the next few years, it also hopes to increase its market holding of 47 percent to about 70 percent and plans to expand to several West and South African countries.

By Esther Awuah

Charles Cofie, a Council Member of the GSE supported by Ian Springett to ring the bell to signal commencement of trading

The Ghana Stock Exchange (GSE) became the third biggest stock exchange in Africa last Wednesday, July 27, 2011 after Johannesburg Stock Exchange (JSE) and the Nigerian Stock Exchange (NSE) when Tullow Oil Plc listed approximately 3.5 million shares valued at GH¢27.6 billion on the Accra Bourse.

The market capitalization of the GSE shot up from GH¢20.4 billion ($13.6 billion) to approximately GH¢48 billion ($32 billion). Tullow Oil thus becomes the biggest listed firm on the Accra Bourse.

Kofi Yamoah, Managing Director, officially admitting Tullow onto the exchange, said the listing of the oil giant will bring immense benefits to the Accra Bourse.

Kofi Yamoah

International News

US stocks fell on Monday as jitters about euro zone debt bailouts, including more financial reforms by Greece, and doubts about the pace of global growth encouraged investors to shed riskier assets.

A gauge of manufacturing in New York State tumbled much more than expected in May to its lowest level in five months, the New York Federal Reserve said in a report, further souring investor sentiment.

In deal news, shares of NYSE Euronext fell 10.1% to $36.77 after Nasdaq OMX Group Inc and Intercontinental Exchange withdrew their bid for the rival exchange.

“The issue about Greece and the drop in commodity prices are raising many questions. Is the expansion over and will the European debt crisis be resolved?” said John Canally, investment strategist for LPL Financial in Boston.

The Dow Jones industrial average was down 54.64 points, or 0.43%. The Standard & Poor’s 500 Index was down 6.53 points, or 0.49%, at 1 331.24. The Nasdaq Composite Index was down 16.36 points, or 0.58%, at 2 812.11.

Epack                                                            MFund

Last Price     :     GH¢1.04                            Bid Price       :GH¢0.3054 Gain/Loss     :     GH¢0.0022                       Offer Price     :GH¢0.3085

Gain (%)       :       4.08%                             Annualized Yield: 14.55%

BFund                                                              Gold Fund

Bid Price        :   GH¢0.1671                           Offer Price     : GH¢585.00

Offer Price     :    GH¢0.1688                         Price Change   : GH¢2.00

Year-To-Date :     8.72%                                 Year-To-Date  : 0.86%