The report of the forecast by Fitch Solutions that Ghana’s inflation to remain high in near term and that the country’s consumer price inflation 2024 will average 25 per cent and 15 per cent in 2022 and 2023, respectively is one of the leading stories in the Ghanaian press on Monday.
The Ghanaian Times reports that the forecast by Fitch Solutions that Ghana’s inflation to remain high in near term and that the country’s consumer price inflation 2024 will average 25 per cent and 15 per cent in 2022 and 2023, respectively.
“We expect that Ghana’s inflation rate will remain high in the near term in the face of spiking global food and fuel prices and as continuing investor concern over the country’s large fiscal deficits puts downward pressure on the cedi,” Fitch Solutions, said in its latest report on Ghana,” it said.
Ghana’s inflation rate is currently at 31.7 per cent influenced by high rising food and fuel costs.
Fitch Solutions in its report titled “Ghana’s Private Infrastructure Investment Set for Medium-Term Recovery,” said inflation would threaten to undermine project revenues and thereby exacerbate revenue risks for both domestic and foreign investors.
It said increased inflation will likely impact the price of construction materials, increase project costs and push developers to delay investments.
“Ghana imports large volumes of construction materials, with domestically produced cement amounting to less than 60 per cent of domestically consumed cement throughout the largest part of the past decade,” Fitch Solutions said.
It said in 2021, Ghana’s trade deficit for iron and steel products were estimated to have exceeded $1.2 billion, up from an estimated deficit of over $780 million worth of the two products in 2020.
“In light of the Ghanaian construction industry’s reliance on materials imports, we expect that the cedi’s weakness will add to upward pressures on construction materials prices from existing supply chain disruptions,” Fitch Solutions said.
On the local currency, Fitch Solutions said “We expect weakness for the Ghanaian Cedi to persist throughout the near term, as we currently forecast the currency to depreciate by 43 per cent and 30.1 per cent against the dollar in 2022 and 2023, respectively.”
The newspaper says that the demutualization of the Ghana Stock Exchange (GSE) to make it a Public Limited Company (PLC) is progressing steadily, chairperson of the GSE Council, Mrs Abena Osei-Poku, has said.
Among others, the demualisation would help transform the GSE from a company limited by guarantee to a company limited by shares.
With this arrangement, the GSE can sell shares to the public and open its ownership to the general public and pay dividend to shareholders.
Speaking at the 32nd meeting of the GSE in Accra on Thursday, Mrs Abena Osei-Opoku, who was approved to serve a second term for the GSE Council from 2022 to 2024, disclosed that stakeholder discussions had been held with Licensed Dealing Members, Associate Members, Ghana Fixed Income Market members and Securities and Exchange Commission.
“Others such as Bank of Ghana and the Ministry of Finance will also be consulted. An Emergency General Meeting will be organised as soon as the various documents are finalised for members’ approval to commence implementation,” she said.
Mrs Osei-Poku indicated that the demutualisation formed part of the three-year strategic plan of the GSE, which included making the GSE preferred platform in the provision of financing and investment for public and private sectors and transform the organisation into an emerging market from a frontier one.
Highlighting on the 2021 market performance of the GSE, the GSE Council Chairperson indicated that the Exchange recorded impressive results last year.
She said the on the equities market, the GSE Composite Index, which measures the performance the entire market, recovered from the negative trends in 2020 to end the year strongly with a positive 43.66 per cent compared to the negative 13.98 per cent recorded at the end of 2020.
“This performance earned the GSE the tag of being the second-biggest performing market in Africa. The GSE Financial Stock Index also recorded a gain of 20.70 compared to the decline of 11.73 per cent in 2020,” Mrs Osei-Poku, said.
The Managing Director of GSE, Mr Ekow Afedzie, in an interview said the Exchange was working to attract more companies to the Exchange.
He said though the volume of trade and value traded on the Accra bourse had increased, it was largely driven by one company.
The Graphic reports that the Vice President, Dr. Mahamudu Bawumia, has said that in spite of the ongoing global economic crisis, which has had a devastating effect on the Ghanaian economy in the past two and half years, the NPP government has chalked many remarkable successes in many sectors.
Speaking at the Centenary Anniversary launch of Accra Senior High School, Dr. Bawumua admitted the economic challenges the country is currently facing, which he said has been as a result of the overall global economic crisis, resulting from the combined effects covid-19 pandemic, the war in Ukraine among other factors.
In spite of all these challenges, the NPP government, Dr. Bawumia noted, has made remarkable strides in many sectors, which are making significant impacts.
“In spite of the economic challenges, which is as a result of factors including covid-19 and the Russia-Ukraine war, many people turn to forget the many good things our government has done, which are making significant impact,” Dr. Bawumia said.
“We have achieve many significant things, which are firsts in the history of our country,” he added.
The Vice President, then listed a number of policies and intervention the governemnt has successfully achieved in different sectors since assuming office in 2017.
On education, Dr. Bawumia said the government recognises the significance of an educated population, and its continuous investment in the sector, especially Free SHS, inspite of the challenges, is making significant impact in many homes.
“So far so good, the Free SHS and the Free TVET are benefitting tens and thousands of many Ghanaian young children and alleviating the burdens of families,” Dr. Bawumia said.
The newspaper says that the Forestry Commission has confirmed that a man who reportedly jumped into the lion enclosure at the Accra Zoo Sunday afternoon and was attacked by a lion has been pronounced dead.
He died from injuries sustained and the body has been conveyed to the morgue.
The motive of the intruder is yet to be determined.
His lifeless body was discovered by guards at the zoo around midday.
A statement issued by the Chief Executive of the Forestry Commission, John Allotey under whose jurisdiction the Accra Zoo falls said around 12pm on Sunday (August 28, 2022), officials of the Accra Zoo on a routine patrol, noticed a middle aged man (an intruder) had jumped the security fences and entered the lions enclosure of the Zoo.
The intruder was attacked and injured by one of the lions, within the inner fencing of the enclosure.
It said the Accra Zoo authorities successfully coaxed the lions into a secure hold and invited the Achimota Police to convey the body and commence investigations.
“We wish to confirm that the lion, the lioness and the two cubs remain secured in their enclosure at the Accra Zoo.”
“Forestry Commission wishes to assure the general public that no lion has escaped from the Accra Zoo.”
It added that the Deputy Minister of Lands and Natural Resources, Benitor Owusu Bio and the Chief Executive of the Forestry Commission John Allotey visited the Zoo Sunday afternoon to ensure all facilities remain secure.
GIK/APA