Day: April 20, 2024

The founder of The New Force, Nana Kwame Bediako also known as Cheddar, says he is going to use a currency to unite the African continent when the time is due.

Speaking on Starr Chat with Bola Ray, Mr. Bediako stated that when he is able to make Ghana succeed, he will join in helping other African nations.

‘I feel that if I can help Ghana my motherland and I have a template and the blueprint that will help the next country. I will open the border and join the countries.

‘Now we have thousands of dialects and uniting Africa by language can only be in English or French and I believe that is the reason God sent those colonials here.

“So that we can have one language and understand ourselves when I am ready to unite,’ Mr. Bediako stated.

He further stated that he is going to use a currency to unite Africa adding that it will be a currency that does not depreciate.

‘But I believe that I am not going to use the word unity as the word to convince people to unite Africa. I think it is a currency that I am going
to use to unite the continent.

“I am the one that will break that currency, that currency that will have a value that does not depreciate. The kind of currency that does not cause inflation or distort the economy. The kind of currency that will be pegged to gold,’ he added.

Source: Ghana Web

Andrew Egyapa Mercer, the Deputy Minister of Energy, has hinted that the government is looking at outsourcing the billing and collection role of the Electricity Company of Ghana (ECG) to a private enterprise.

While speaking as a guest on JoyNews, the government appointee mentioned that a private consultant has been appointed and is working with ECG on the modalities following the approval of the cabinet. He mentioned that the state has begun piloting the initiative in some regions.

“Discussions are far advanced and of course, typically, you will have resistance from our friends in the ECG. But it is something that I believe will help them,’ he said.

Touching on how a private entity can efficiently bill and collect revenue for power, Egyapa Mercer mentioned that the ECG has been charged with installing boundary meters, a technology, he believes would help relevant authorities know the volume of power going to every district and charge accordingly.

He explained, “We have tasked them to put in boundary meter
s as a first step that they are working on. Of course, the digitalization programme that they have also rolled out is also helping with the collections. So when they can put the boundary meters in all their operational districts and know the volume of power that is going to every district then you can introduce private sector people to bill and collect the revenue for the power that is coming to that enclave.”

The revelation follows the ongoing intermittent power cuts across the country which many have attributed to ECG’s inability to pay its power suppliers.

Source: Ghana Web

Ghana’s Minister for Finance, Dr. Mohammed Amin Adam, has charged central bank governors to integrate climate risks and opportunities into monetary policies and financial regulation practices.

He says this is to make economies stronger against problems caused by climate change and to help switch to an eco-friendly and climate-resistant economy.

‘Our central banks are uniquely positioned to lead this transition by embedding climate risk assessments into our macroeconomic frameworks,’ he said.

He said this at the recent V20 Finance Ministers and Central Bank Governors Working Group meeting held during the World Bank/IMF Spring Meetings, which marked the first gathering of the group since its inception in 2023.

This initiative aims to safeguard local economies from the aftermath of natural disasters by ensuring swift access to liquidity for SMEs and households through central banks and financial institutions.

Dr. Adam, who also serves as the Chair of the V20, emphasized the critical role central banks play
in steering economies towards green and climate-resilient practices.

He highlighted the need for climate risk assessments to be a fundamental part of macroeconomic frameworks.

‘Our central banks are uniquely positioned to lead this transition by embedding climate risk assessments into our macroeconomic frameworks,’ he said.

Amin Adam also underscored the interlinkages between climate change and economic policy, which, when ignored, could lead to dire consequences for countries, hence the need to integrate climate risks and opportunities into monetary and economic policies.

Source: Ghana Web

Ben Boakye, Executive Director of the Africa Centre for Energy Policy (ACEP), has commended Otumfuo Osei Tutu II for advocating the privatization of the Electricity Company of Ghana (ECG), Volta River Authority (VRA), and the Ghana Grid Company Limited (GRIDCo).

He emphasized the importance of separating politics from the power sector in handling such privatization efforts, referencing previous issues like those with the Power Distribution Services (PDS).

‘It is a good call, but it is way more than that. We have to ensure that what happened with PDS does not recur.

‘Let us isolate politics from it, bring in the private sector so that the state can control them,’ he said on the Key Points on TV3 on Saturday, April 20.

The Asantehene, while speaking at the commissioning of a 430-kilometre natural gas pipeline by Genser Energy in Kumasi on Wednesday, April 17, mentioned that these power companies would operate more efficiently and rake in more profit if run by private entities.

Otumfuo said, ‘The government
should concentrate on policies and involve the private sector, and you can attract more investors into the country which will create more employment.’

He added, ‘VRA and others are all government establishments; let’s give them out and diversify them into the private sector and get more money there and get the right people to do it. GRIDCo and others let’s give them the money and get the qualified people, diversify government from it, and let them work.’

Source: Ghana Web

Deloitte, a leading global provider of audit and assurance, consulting, financial advisory, risk advisory, tax, and related services, has launched its Technology, Media and Telecom predictions for 2024.

The predictions are hinged on four pillars – Generative Artificial Intelligence; Sustainability; Media, Entertainment and Sports as well as Technology and Telecom.

Generative AI

For Generative AI, the report said the market for specialised chips optimized for generative AI will be valued at over $50 billion in 2024, up from close to nothing in 2022.

It added that 2024 will be a ramp year, and ‘we predict that enterprise software revenue uplift from gen AI will be at a $10 billion run rate by the end of 2024 — from zero dollars in 2022’.

‘That number might be lighter than some of the more optimistic forecasts. Some products are not launching until mid-2024, gen AI chip hardware is in shortage and expensive, and some vendors are not charging for it at first’, the report stated.

It added that more than 70%
of companies are experimenting with gen AI, but less than 20% are willing to spend more on it.

Deloitte surveyed the 50 largest enterprise software companies, and all of them offer or plan to offer a software product with gen AI inside.

IT Spending Expected to Hit $1.6trn

Furthermore, the report stated that there are three big-generation AI software markets: productivity suites; broad software verticals like ERP, CRM, document management, etc.; and specialty verticals like chip design and software development tools.

Indeed, IT spending is expected hit $1.6 trillion in 2024, and there are over a billion knowledge workers, adding, ‘If buyers are willing to pay US$10-30 per user per month (PUPM), the addressable market would be well over US$400 billion. The potential revenue uplift could be transformative’.

What Should Companies Consider?

The report said Gen AI inside enterprise software is likely to be a gateway for many companies.

However, they may not build their hardware at first but could access it t
hrough vendors and the cloud.

The bottom line is that ‘In one study, knowledge workers using gen AI tools did more, faster, and at higher quality than those not using the tools. If that kind of ROI is proven out more widely, $10 billion in 2024 could just be the start of the gen AI revenue uplift’.

Why Does It Matter?

It’s the fastest growing semi-market in history – on the back of US$40,000 chips.

Importantly, Gen AI is seen as a strategic capability where there are multiple geopolitical issues and restrictions about the export of either Gen AI chips or the IP, tools, and equipment, and manufacturing to make them.

Sustainability

For Sustainability, the question was will materials shortages, supply chain challenges threaten tech’s future?

The report stated that by 2025, ‘we may also start seeing shortages of rare earth elements (REEs) for magnets in electric car motors and more, as well as lithium and cobalt for batteries’.

Also, raw materials shortages have affected the tech industry in the past too;
but the question is ‘What could be unprecedented in 2024 and 2025, is that these shortages could be across dozens of different raw materials at the same time?.

It called for actions to be taken, however, that can help avoid shortages in the near, medium, and long term.

Why Does It Matter?

The report stated that as tech and semi-supply chains are not just about raw materials, holistic strategies such as recycling, DSNs, sustainable manufacturing, and stockpiling could pre-empt future supply chain issues.

What should companies consider?

The report urged companies to work with niche recycling and circular logistics, process, and business model providers that represent the foundation upon which recycling can be built and scaled up further.

The report added that telecommunications firms can reduce their Scope 3 emissions by working with smartphone makers and customers to promote extending the life of phones, reselling used phones, and making sure they are recycled properly.

Media, Entertainment and Sports

The report mentioned that interest from fans, broadcasters, and commercial partners is driving rapid growth in the revenues of women’s elite sport, adding, ‘How can organisations continue to accelerate growth?’

Deloitte predicted that in 2024, revenue generated by women’s elite sports will surpass $1 billion for the first time, with a forecast of $1.3 billion in total revenues.

The largest contributor is expected to be commercial revenue at $696 million, followed by broadcast at $340 million, and matchday at $240 million.

Why Does It Matter?

The report said investment in women’s elite sports organizations could lead to stronger performances and stronger earnings.

Again, the value of sponsorship in women’s elite sport is likely to grow rapidly in 2024, encouraged by impressive recent evidence of returns on investment.

The report mentioned that surpassing the billion-dollar revenue milestone is expected to be significant, especially given the turbulence of recent years for elite sports.

‘Women’s elite sp
ort is developing swiftly in stature, but is also still nascent, with many of the major leagues only established in the last decade, and many territories yet to establish a mainstream culture around women’s elite sports’.

What should companies consider?

The report wants women’s elite sport should be developed as a product distinct from men’s elite sport.

‘Women’s sport should not simply duplicate men’s sport, but rather adapt and innovate to suit athletes and fans The impending billion-dollar milestone is cause for celebration, but this is only the beginning’, the report stated.

On the bottom line, the report said the impending billion-dollar milestone is cause for celebration, but this is only the beginning, adding, ‘A virtuous circle is underway. Investment in women’s elite sports is likely to lead to better teams and a better product, which in turn often becomes more valuable. It is important that women’s sports – at elite and grassroots levels – should be nurtured both in 2024 and years to come’.

Ent
ertainment

The report said the television and film industry is caught between declining cable TV viewership (and revenues) and costly streaming video services.

The streamers, it said, have been spending on content and subscriber acquisition but face persistent churn and competition for attention among so many entertainment options.

In 2024, it added streamers are expected to charge more for premium content, fight churn with longer subscriptions, and satisfy bargain hunters with more pricing tiers.

Why Does It Matter?

The report said the streaming video business is at an inflection point, shifting from growth to profitability.

However, this may require streamers to fight churn and diversify revenues – or examine if they’re in the right business.

What should companies consider?

The report said streamers can look to the mechanisms and business models that helped media and entertainment companies become highly profitable before the streaming revolution.

‘Streamers may need to make money off every viewer
with tiers that offer options for premium subscribers and bargain hunters; contracts and bundles that defer costs; and premium access to premium content’, it pointed.

The report added that raising subscription prices, adding contracts, and focusing on advertising could be disruptive to the streaming business. But it may be the way the business can become more sustainable.

Telecom and Technology

Deloitte predicted that smartphones are expected to be used to authenticate processes trillions of times in 2024 across a widening range of actions: access to websites, making payments, unlocking cars, and controlling entry to physical buildings.

In 2023, there were an estimated 1.3 trillion two-factor authentication messages sent via telecom networks, generating an estimated US$26 billion from network traffic alone.

The report said the smartphone may also be used increasingly to generate passkeys-likely the medium-term replacement for passwords. Again, the smartphone is also likely to play a growing role in authe
nticating transactions, both online and in stores.

Why Does It Matter?

Given the widening future scope of the smartphone, the report said it is likely to cement its position as a successful device. This may dampen (but not eradicate) discussions of when it might be toppled by another form factor.

Again, in 2024 and over the coming decades, smartphones could replicate and exceed the functionality of tens of billions of physical authentication tools in use today, including keys, passwords, driving licenses, passports, credit cards, and cash.

Source: Ghana Web

The Trades Union Congress (TUC) has chastised Professor Stephen Adei, a former Chairperson of the National Development Planning Commission (NDPC), for saying that Ghanaian workers are the least productive globally.

In a press statement released by the TUC and signed by its Secretary General, Yaw Baah, the trade union accused Prof Adei of deliberately and consistently attacking Ghanaian workers the least opportunity he gets, courting local and public disaffection for them.

‘It is not too difficult to detect that you have a morbid hatred for Ghanaian workers. You do not hide your disdain for trade unions. What you fail to recognise is that your hatred and disdain for workers and their unions have completely eclipsed your judgement on issues of industrial relations and national development,’ parts of the statement read.

He added, ‘For the most part, Professor, you have no idea of the context and history in respect of the issues workers and their unions are grappling with and you will not take your time to lis
ten and to learn. You impulsively jump into the conversation betraying your ignorance and biases. In the process, the claims you make against workers and unions are only figments of your clouded and biased imaginations. We find it very strange and unfortunate that a Ghanaian professor of your calibre could make such statements about the working people of Ghana who are sacrificing so much for the development of the country.’

In a recent interview on GHOne, the former NDPC Chairman ran a comparative analysis of worker efficiency and productivity levels between workers in Ghana and Togo.

According to him, his research findings indicate that workers from Togo relatively demonstrate a higher quality of work compared to their Ghanaian counterparts and lag significantly in productivity globally.

Source: Ghana Web

About 850,000 Ghanaians, mostly women have been pushed into extremely severe poverty in 2022 due to factors such as high levels of government debt and the closure of international markets to Ghana, among other factors.

This is the finding of a research report by the Women in Informal Employment: Globalizing and Organizing (WIEGO).

According to the research conducted in October 2023, although Ghana has made a slight economic recovery from the COVID-19 pandemic, a significant number of the 850,000 Ghanaians in extreme poverty became vulnerable to inflationary pressures which led to a cost-of-living crisis.

‘While the economy had slightly recovered from the pandemic in 2021, high levels of government debt, the closure of international markets to Ghana, and global disruptions to the supply chain as a consequence of the war in Ukraine all led to a steep depreciation of the cedi (ITA, 2023).

“Considering the country relies heavily on imports, the situation resulted in high inflationary pressure. In 2022, nearly
850,000 Ghanaians were pushed into poverty due to rising prices (Kwakye et al., 2023: 44),’ parts of the report stated.

It added that, ‘By the time this research was conducted (October 2023), the inflation rate averaged 35 per cent. It was particularly high for food and non-alcoholic beverages (+45), and other necessities like health services (+28), housing, water and electricity (+25), transport (+25), and education (+13) (GSS, 2023a:7).’

The report found that the cost-of-living crisis disproportionately affects workers in informal employment, who make up 89 per cent of the employed population nationally (83 per cent in Accra).

Source: Ghana Web