Business News Summaries for August 7, 2020
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Local banks now more resilient, able to support economic growth agenda
Image source: GhanaWeb

Local banks now more resilient, able to support economic growth agenda


Summary short_text

Mr. Ofori-Atta, who made the assertions in a post Mid-Year Budget interview on Citi TV's current affairs show, the Point of View, suggested that it is better to have fewer local banks with strong financial capacity, than having many weak local banks unable to drive economic development through lending.
Providing some examples, Mr. Ofori-Atta said the decision to create the Ghana Amalgamated Trust to guarantee the capital injection for five local banks demonstrates government's commitment not to just to create local banks with low lending capacity, but equip them to support the economic development plans of the government.


Source: GhanaWeb |
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KelniGVG has saved GH¢1.5bn in undeclared taxes
Image source: GhanaWeb

KelniGVG has saved GH¢1.5bn in undeclared taxes


Summary short_text

"An estimated amount of GH¢300 million in taxes was also saved between the first quarter of 2017 to date as a result of the announcement of the implementation of the CP on March 8, 2017," she told Legislators.
Section 14 of the Communications Services Tax Act 2008, as amended by Section 7 of the Communications Service Tax Act, 2013, Act 864 mandates the Minister for Finance and the Minister for Communications to establish a common platform as a mechanism for verifying the actual revenues that accrue to service providers for computing taxes due to Government under Act 864 and revenues accruing from levies under Act 775 as amended by Act 786 of 2009.


Source: GhanaWeb |
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Zuckerberg now worth more than $100bn as Facebook stock rose due to release of TikTok rival, Instagram Reels – Citi Business News
Image source: CitiNewsRoom

Zuckerberg now worth more than $100bn as Facebook stock rose due to release of TikTok rival, Instagram Reels – Citi Business News


Summary short_text

Optimism in Facebook Inc. hit record levels following the release of the new Instagram feature which comes as TikTok faces a possible ban in the U.S. as the Trump administration cracks down on China.
Stock in Facebook Inc. climbed by 6.5 per cent on Thursday, the day after it launched Reels on Instagram.
In response to published reports that Instagram is paying TikTok influencers to join Reels, Instagram said in a statement that the company 'have a long history of reaching out to emerging creators and working to break new stars on Instagram.


Source: CitiNewsRoom |
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President commissions Business Resource Centre
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President commissions Business Resource Centre


Summary short_text

The President was speaking at the commissioning of a National Board for Small Scale Industries Business Resource Centre at Kotropei-Senchi as part of his three-day working visit to the Eastern Region.
Mr Kyeremanteng encouraged the private sector to patronize the Business Resource Centre to achieve its full benefit.


Source: GhanaWeb |
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No roads, no electricity to show for govts extreme borrowing


Summary short_text

In his view, the government cannot point to a single project that has been done out of the borrowing.
"There are no roads, there is no electricity, they have not added anything to water, there are no hospitals, there are no schools, there are no airports, no harbours, nothing and yet you have borrowed in excess of GH¢140bn," he added.


Source: GhanaWeb |
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Energy Ministry spent GH¢64m to fix, maintain street lights in 2018 and 2019
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Energy Ministry spent GH¢64m to fix, maintain street lights in 2018 and 2019


Summary short_text

"In total, about GH¢273 million was collected from that. An amount of GH¢83 million and over was transferred to the ministry and then they could only use GH¢64 million."
John Peter Amewu, responding to the MP said although over GH¢273 million was collected for the Public Lighting Levy between 2018 and 2019, only GH¢64 million was transferred to the Ministry for the purpose of fixing and maintaining street lights adding that "a total of GH¢273,876,832.16 was collected."


Source: GhanaWeb |
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ADB shows impressive half-year performance despite impact of COVID-19 – Citi Business News
Image source: CitiNewsRoom

ADB shows impressive half-year performance despite impact of COVID-19 – Citi Business News


Summary short_text

The Agricultural Development Bank, has posted impressive financial growth in its half year results even in the face of the Coronavirus pandemic that has wreaked havoc to all sectors of the economy including the financial sector.
The unaudited half year results published by the Bank last week showed a growth in all key performances such as assets, deposits, loans, net interest income and others also saw an appreciable growth.
According to Dr. Kofi Mensah, the Bank's digital banking products kept it in business during the period since customers could still do business without necessary being in the Banking halls.


Source: CitiNewsRoom |
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Show us renewable energy investments, stop dwelling on contract re-negotiation
Image source: GhanaWeb

Show us renewable energy investments, stop dwelling on contract re-negotiation


Summary short_text

"The Renewable Energy Act has asked for us to establish the Renewable Energy Fund; where is it? The Renewable Energy Act has asked for us to establish the Renewable Energy Authority; where is it?" he queried.
The Renewable Energy Act was tabled to ensure that 10 per cent of the power is produced from renewable energy sources.


Source: GhanaWeb |
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BoG's collapse of banks was all politics


Summary short_text

The Bank of Ghana, in 2017, commenced a series of clean-up exercises in the financial sector that saw the revocation of licences of the nine banks along with 347 microfinance companies, 23 savings & loans companies as well as finance houses, and 39 microcredit companies.
"What kind of sense is this? You won't spend GHS9 billion to save the banks but you pay GHS22billion to pay back peoples' deposits and you can't even pay", Mr Mahama criticised.


Source: GhanaWeb |
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NPA pilots CRM in Jomoro with 3,983 cylinders
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NPA pilots CRM in Jomoro with 3,983 cylinders


Summary short_text

As part of preparatory activities towards the pilot implementation of the project in that Municipality, a total of 3,983 cylinders have been procured for Jomoro alone.
Addressing dignitaries at the launch event on Thursday, August 6, 2020 in Jomoro, NPA's CEO, Mr Alhassan Tampuli told the people, "The cylinders have been procured to augment the cylinders you already have in your homes".


Source: GhanaWeb |
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Business conditions broadly stable during July
Image source: GhanaWeb

Business conditions broadly stable during July


Summary short_text

Business conditions in Ghana's private sector were broadly stable again in July.
Fragile demand conditions led to a reluctance among firms in Ghana to hold inventories, thereby resulting in further reductions in both purchasing activity and stocks of purchases.


Source: GhanaWeb |
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Common Platform has saved Ghana GHS1.5bn in undeclared taxes by telcos – Ursula – Citi Business News
Image source: CitiNewsRoom

Common Platform has saved Ghana GHS1.5bn in undeclared taxes by telcos – Ursula – Citi Business News


Summary short_text

Government says it has made savings of GHc1.5 billion in under-declared taxes in the telecommunications sector since the implementation of the Common Platform in 2017.
Answering questions on the floor of Parliament, the Minister said "An estimated amount of GHS 300 million in taxes was also saved between the first quarter of 2017 to date as a result of the announcement of the implementation of the CP on March 8th, 2017.".
Under Section 14 of the Communications Services Tax Act 2008, as amended by Section 7 of the Communications Service Tax Act, 2013, Act 864 mandated the Minister for Finance and the Minister for Communications to establish a common platform as a mechanism for verifying the actual revenues that accrue to service providers for the purpose of computing taxes due to government under Act 864, and revenues accruing from levies under Act 775 as amended by Act 786 of 2009.


Source: CitiNewsRoom |
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Refrain from fiscal populism amid 2020 election
Image source: GhanaWeb

Refrain from fiscal populism amid 2020 election


Summary short_text

Presenting the Institute for Fiscal Studies Assessment of Government's Fiscal Policy Amidst COVID-19, Dr. Said Boakye stated that, a critical analysis of the economic history of Ghana reveals that fiscal populism has been one of the main causes of the country's recurring fiscal and economic distress since independence.
The 2020 revised budget clearly demonstrates that the country's fiscal position has dramatically worsened, as total revenue and grants for 2020 is now projected to be only GHc 53.7 billion.


Source: GhanaWeb |
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Local banks now more resilient and able to support economic growth agenda
Image source: GhanaWeb

Local banks now more resilient and able to support economic growth agenda


Summary short_text

Mr. Ofori-Atta, who made the assertions in a post Mid-Year Budget interview on Citi TV's current affairs show, the Point of View, suggested that it is better to have fewer local banks with strong financial capacity, than having many weak local banks unable to drive economic development through lending.
Providing some examples, Mr. Ofori-Atta said the decision to create the Ghana Amalgamated Trust to guarantee the capital injection for five local banks demonstrates government's commitment not to just to create local banks with low lending capacity, but equip them to support the economic development plans of the government.


Source: GhanaWeb |
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ECOWAS Bank invests US$2.9 billion in economies of member states
Image source: GhanaWeb

ECOWAS Bank invests US$2.9 billion in economies of member states


Summary short_text

Dr George Nana Agyekum Donkor, the President of the Bank, who announced this, said the investments were in line with the mandate of the bank to promote the development agenda of the sub-region.
The ECOWAS regional bank has so far invested US$20 million into the project, which is 85 per cent complete and expected to be opened in April 2021.


Source: GhanaWeb |
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AngloGold Ashanti weathers coronavirus disruptions to post surge in free cash flow
Image source: GhanaWeb

AngloGold Ashanti weathers coronavirus disruptions to post surge in free cash flow


Summary short_text

Free cash flow rose to an inflow of $177m for the first six months of the year, compared to an outflow of $31m in the same period last year.
"Kelvin has done an excellent job in delivering on the Company's strategy and leaves AngloGold Ashanti in solid shape, with an improving portfolio, robust cash flows and ongoing debt reduction," Sipho M. Pityana, AngloGold Ashanti's Chairman, said.


Source: GhanaWeb |
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1D1F: Coronavirus and stiff competition bites Eku Juice growth projections
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1D1F: Coronavirus and stiff competition bites Eku Juice growth projections


Summary short_text

The facility, one of the flagship programmes under the 1D1F has been described by agro-based think tank Alliance for Development and Industrialisation as the biggest pineapple juice processing factory in West Africa.
It came under attacked after it was launched for being just a ruse by the Nana Akufo-Addo last year, the Eku Juice, the pineapple-base juice from the factory went on sale.


Source: GhanaWeb |
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World food price index rises in July, extending rebound


Summary short_text

The Food and Agriculture Organization's food price index, which measures monthly changes for a basket of cereals, oilseeds, dairy products, meat and sugar, averaged 94.2 points in July versus a slightly revised June figure of 93.1 points.
The agency's vegetable oil price index climbed 7.6% in July to reach a five-month high.


Source: GhanaWeb |
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Blame Mahama govt for renewable energy contract 'imbalances'
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Blame Mahama govt for renewable energy contract 'imbalances'


Summary short_text

Addressing the parliamentary press corps after his engagement in Parliament on Thursday 6 August 2020, Mr Amewu noted that the Mahama-led government signed Renewable Energy Power Purchasing Agreement of up to 2,265 Megawatts at an average price of 31 cents per kilowatt hour between 2015 and 2016.
Commenting on the AMERI deal, Mr Amewu said: "We have completed the AMERI issue.You know the AMERI was renegotiated. It was brought back here to this very house, Parliament and the generators were very happy with that agreement. So, AMERI has been re-negotiated. Very soon, AMERI is coming back into the hands of the government."


Source: GhanaWeb |
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South Africa mobile giant MTN exits Middle East to focus on Africa
Image source: MyJoyOnline

South Africa mobile giant MTN exits Middle East to focus on Africa


Summary short_text

Africa's largest mobile operator, and South African telecom giant MTN, announced Thursday it would pull out of the Middle East the medium term to concentrate on its pan-African strategy resolving to simplify its portfolio and exit its Middle Eastern assets in an orderly fashion.
The company which was founded in 1994, lists operations in Sudan, Syria, Yemen and - as well as Iran and Afghanistan in its Middle East file.


Source: MyJoyOnline |
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