The pledge by the business communities of Ghana and Barbados to work together to increase the volume of trade between the two countries from $36,000 per annum to $3.6 billion by the year 2025 is one of the leading stories in the Ghanaian press on Friday.
The Graphic reports that the business communities of Ghana and Barbados have pledged to work together to increase the volume of trade between the two countries from $36,000 per annum to $3.6 billion by the year 2025.
According to survey statistics of products importation between both countries, the numbers revealed that Barbados had positive net Export of $36,000 to Ghana while that of Ghana stood at $3,000.
It was against this backdrop that the business communities of Ghana and Barbados have decided to collaborate to help achieve a balance of trade for the mutual benefit of the two countries.
This came to light when a delegation from Export Barbados, a trade and investment agency under the government of Barbados, met with members of the Ghana Union of Traders Association (GUTA) at the Kempinski Hotel in Accra last Thursday.
The meeting was to facilitate trade and investment between the two countries and also in the Caribbeans for the mutual benefit of members of their respective business communities.
Consequently, the two organisations (Export Barbados and GUTA) have put the necessary strategies in place to help achieve the ambitious target of increasing the volume of trade between the two countries for their respective economic growth.
This will culminate in the signing of a Memorandum of Understanding (MoU) between the two organisations in August, this year in Barbados to set into motion this “great idea”.
Addressing the media at the meeting, the Chief Executive Officer (CEO) of Export Barbados, Mike Hill, said the goal of the collaboration was to increase growth for the two countries and have balance in foreign exchange flow.
“We want to see double-digits growth for both economies in this particular space so that the two countries will achieve a significant growth,” he said.
The newspaper says that the Supreme Council for Arab-African Economy (SCAAE), an international organisation that seeks to promote trade and investment in Arab and African countries, will hold its maiden conference in Ghana on June 1, this year.
The conference, which seeks to foster dialogue and opportunities for investors in the country, will be on the theme: “Together for a better Arab-African economy”.
Participants will include investors from Europe, Arab countries, Asia and other African countries and are expected to interact with government agencies, such as the Ghana Investment Promotion Council (GIPC) and the Ministry of Trade and Industry, and business groups, such as the Association of Ghana Industries (AGI) and the Ghana Chamber of Commerce.
The Executive Director of the SCAAE, Hajj Mukaila Ahmed Akuamoah, told the Daily Graphic that the rationale behind the creation of the council and the conference itself was to promote sustainable investment in Africa and Arab countries.
“The council was formed on the basis of collaborating on investment and also giving Africans opportunities to invest in Arab countries,” he said.
He said the council was a hub for investment, so there was a need to collaborate on all fronts to help develop sustainable growth.
Throwing more light on the conference, he said it was to promote investments in all sectors, such as construction, agriculture, health, manufacturing, energy and services.
“The investors will be looking at proposals that are viable, impactful, sustainable and will help in development. They will, therefore, invest in areas that will lead to massive employment and sustainable development,” he said.
The Ghanaian Times reports that Ghana has signed a US$69.88 million renewable energy agreement to enhance electricity access in the next four years.
Under the agreement about 6,890 households, 6,001 Small and Medium-sized Enterprises (SMEs) and 6,890 public buildings will be connected to electricity.
About 1,350 schools and 500 health centres would also benefit from the project, which would include the design, engineering, supply, construction, installation, testing and commissioning of mini grids and standalone systems.
Seventy communities across nine Island districts through mini grids, 505 communities in 11 districts through standalone solar photovoltaic (PV) systems in the country.
The “Scaling-up renewable energy Programme (SREP),” is to close Ghana’s 12.8 percent electricity reach deficit by increasing access to clean and reliable energy and support socioeconomic development.
It is to also help reduce public sector electricity debt as well as bills for SMEs and households, while supporting the implementation of environmental, climate and social management plans of the country.
Mr Ken Ofori-Atta, Minister of Finance, signed the protocol agreement with Dr Akinwumi Akin Adesina, President of the African Development Bank (AfDB) Group and the financial agreement of the project with Mr Dominique Paravicini, AfDB’s Governor for Switzerland.
Speaking at the signing of the agreement, Mr Ofori-Atta, said the project “Dovetails fittingly into an urgent global agenda and demonstrates our country’s commitment to enhance the economic and social viability of low carbon investments.
It is also in support of the country’s commitment to create new energy-efficient markets and stave off a future energy crisis by achieving energy sufficiency.
The newspaper says that the 2022 African Economic Outlook has said that high public debt is threatening recovery efforts on the continent and hindering the prospects of high and sustainable economic growth.
The report released by the African Development Bank (AfDB) also noted that although Africa’s debt-to-gross Domestic Product (GDP) ratio is estimated to stabilise around 70 per cent in 2021 and 2022, from 71.4 per cent in 2020, it will remain above pre-pandemic levels.
This is despite growth recovery and debt relief initiatives such as the Debt Service Suspension Initiative (DSSI), the Common Framework, and the International Monetary Fund’s general allocation of $650 billion equivalent in Special Drawing Rights (SDRs).
According to the report, even though these initiatives have helped alleviate liquidity pressures in many countries by boosting external buffers, they have not erased debt vulnerabilities as 23 African countries were either in or at risk of debt distress as of February 2022.
“African countries need to accelerate governance reforms and improve public financial management if they are to decisively address their recurrent debt vulnerabilities,” it stated.
It further encouraged additional structural reforms such as debt restructuring, and reprioritisation of public spending to ensure long-term debt sustainability.
According to the report, domestic policy response on the continent has been constrained by limited fiscal space amid growing social sector spending pressures.
It, therefore, noted that reconfiguring the global debt relief architecture, including reinstating the DSSI, would be crucial in supporting debt-ridden African countries’ transition toward a path of sustainable debt in the medium to long term.
This, it said, would require the building of strong budget institutions to efficiently mobilise domestic resources, conduct sound public expenditure, and implement rigorous debt management and budgeting.
It also highlighted that a reconfigured DSSI and Common Framework will limit the impact on Africa’s public debt from currency depreciation due to the global uncertainty stoked by the Russia–Ukraine conflict and spillover effects of the tight monetary policy stance being implemented in advanced economies.
“Reinstate and reconfigure the DSSI and Common Framework and scale up efforts to accelerate governance reforms and strengthen public financial management to deal with the structural challenges of Africa’s rising public debt,” it said.
GIK/APA