Ghanaian Banks want Policy on SME financing

A clear definition of entities that constitute small- and medium-scale enterprise (SMEs), and the implementation of an appropriate policy and programme by the government that will encourage private capital engagement are required for turning SMEs into “catalysts for economic growth”, stakeholders in the banking and financial sector have said.

The 2013 Ghana Banking Survey, authored by PricewaterhouseCoopers (PwC) and titled “Harnessing the SME Potential”, revealed that 77 percent of banks have a deliberate focus on SMEs. However, it is their service experience with bigger corporates that they apply to SMEs.

The survey also revealed that banks set up to predominantly serve SMEs are now skewed towards the corporate sector.

Many studies have estimated that SMEs make up at least 90 percent of all Ghanaian businesses, classifying SMEs as micro, small or medium. The sector is also reckoned to be the main provider of jobs and income in the economy.

Governor of the Bank of Ghana Dr. Kofi Wampah, speaking at the launch of the survey, said “SMEs definition has been problematic. Turnover has been used, but other characteristics have been used, too.

“Challenges such as unstructured governance and default rates hinder them from being seen as bankable propositions. Banks ought to consider SMEs as partners in development and train them in management and finance.”

Oseini Amui, Assurance Partner of PwC, said the engagement between banks and SMEs going forward will be driven by deposit and transactional banking. “There is a lot to be done by banks in terms of risk management in order to handle SMEs,” he said.

The survey also found that Bank of Ghana (BoG) and Treasury interest rates exerted pressure on borrowing and lending. Since 2012, there has been an upward trend in the BoG’s policy rate, which rose from 13.5 percent to 15 percent last year and now stands at 16 percent.

Interest rates on 91-day and 182-day bills went up from 10.7 percent and 11.1 percent in December 2011 to 23.1 percent and 22.7 percent in December 2012. Average bank lending rates, however, declined marginally from 26.8 percent in December 2011 to 25.7 percent in December 2012.

Dr. Michael Agyekum Addo, Chief Executive Officer of the KAMA Group of Companies, said banks should not put impediments in the way of SMEs in their bid to do business with them.

“The environment in which banking takes place is intimidating. There is no human touch from many bank employees. Banks must come down to the level of SME operators if we are to harness the potential of the sector.

“Entrepreneurship is the new revolution and banks and government must put measures in place to ensure that entrepreneurs and SMEs get the needed support to grow,” he said.

To address the financing difficulties facing SMEs, a senior economist, Kwame Pianim, said: “government should be prepared to bear some risks of lending to the SMEs in order to see the growth of the sector.”


Source: B&FT

SEC Ghana to promote housing projects, SMEs

The Securities and Exchange Commission (SEC) says it is promoting the establishment of a real-estate development fund that will link the capital market with the real-estate market.
The idea, according to the Director-General of the Commission, Adu Anane Antwi, is to reduce the housing-gap in the country.
Ghana currently has a housing deficit estimated at over 1.5 million units, with an increase in demand of over 70,000 housing units annually.
He said the real-estate fund will be a vehicle to mobilise funds and will be invested in real-estate projects. The fund will be listed on the stock exchange and will be a closed-end fund to help the managers do the construction of real-estate projects.
The Director-General disclosed this at the launch of the 20th anniversary celebration of Gold Coast Securities Limited in Accra.
In addition, he said the Commission will also establish the Ghana Alternative Exchange (GAX) that will take care of small and medium enterprises (SMEs) that do not have the capacity to list on the main bourse because of the high requirements, saying that this market is there to encourage them to source for funding from the capital market through the Ghana Stock Exchange.
“They just have to get about GH¢250,000 after the floatation as their stated capital, and they can still list with even less than 50 shareholders. There is also an incentive for them to list on the market, whereby they are assisted to pay for their floatation cost from a revolving credit facility for them to pay later on,” he said.
“Even if they do not have a financial accounting statement, they can still list because the GAX is also intended to cater for start-up companies,” Mr. Anane Antwi added.
Gold Coast Securities Limited was established on 16th August 1993 and has pioneered lots of financial management schemes in the country.
It was officially admitted to the Ghana Stock Exchange (GSE) as its fourth member on 21st October, 1993 and was then the only Ghanaian company.
Gold Coast Securities Limited now manages a total fund of GH¢366million and has about 14 branches across the country.

Source: B&FT

Your company must ‘Get Up and be Counted’ on the Stock Exchange

 By: Seth Q. Ofori, SIC Financial Services Ltd.

A rich chief tax collector called Zacchaeus was seeking to see who Jesus was when Jesus went to Jericho and was walking through. According to Bible accounts, Zacchaeus found it very difficult to have a glimpse of Jesus because of the large crowd as he was small in size. So he ran ahead to an advance position and climbed a fig-mulberry tree in order to see him, because Jesus was about to go through that way. Clearly, Zacchaeus did not want to be left out of getting a glimpse of Jesus -- hence he needed to be smart, put in extra effort and to act fast so as to avoid being left out.

Naturally, nobody wants to be left out in society; everybody wants to move along with their peers and would do everything possible to achieve their aim. Sadly, that is not the case for some companies listed on the Ghana Stock Exchange. As to whether they are being left out or they are leaving themselves out is a question we all have to find answers to. There are thirty-four companies listed on the Ghana Stock Exchange, but not all of them are receiving equal investor attention.

Undeniably, all the stocks cannot attract equal investor attention. Although they are all listed on the same exchange, they are different companies operating in different sectors and in different environments under different regulatory regimes. This situation is wisely justified by Aristotle when he stated that, ‘the worst form of inequality is to try to make unequal things equal’.

Hence, we cannot attempt to unfairly suggest that all the listed companies must follow the same price trends at the same time all the time. Even so, bulls markets which are characterised by optimism, high investor confidence and expectations that strong results will continue, somehow work for a good number of listed companies at the same time. Although it is difficult to predict consistently when the trends in the market will change, part of the difficulty is that psychological effects and speculation sometimes play a large role in the bullish stock markets. Investors are always excited with a bullish market, regardless of the sectors their listed companies belong to.
Comparatively, out of the thirty-four listed companies on the Ghana Stock Exchange, some have not recorded a single trade for over eighteen months. In my opinion, these companies are clearly not getting up to be counted. The Stock Exchange is a secondary market where investors can sell their securities to other investors for cash, thus reducing the risk of investment and maintaining liquidity in the system. If it is true that the stock exchange is meant to provide an exit platform for shareholders, then imagine what the shareholders of the companies whose shares have not traded for a long time have been going through when they need money to pay school fees or pay the funeral expenses of a loved, deceased person, among other reasons for exit.

General stock market activity requires that prices move up or down or remain unchanged when shares exchange hands. Although every trade is not characterised by price movements, movement of shares from one investor to another is a primary function in the very existence of a stock exchange -- and price movement becomes secondary. Imagine a scenario where none of the thirty-four listed companies registers a single trade on the exchange in a whole year.

Happily, though, the Ghanaian stock market is quite active and exciting these days, because there has been a significant increase in trade volumes with a corresponding increase in the magnitude of changes in prices of shares. This has resulted in an impressive appreciation in prices of shares of most listed companies. Indeed, proud shareholders of these companies have recorded gains ranging from 7% to 82% while the mechanism that measures the performance of the Ghana Stock Exchange, (the GSE’s Composite Index) has recorded over 54% gain from January to-date. Although stock prices of some of the companies have recorded price depreciation, some have recorded no movement as in most cases there has been no trade in the shares of those companies. Logically, it is expected that most listed companies do well to record some market activity, especially when the larger market is in a ‘bullish mood’.

Ostensibly, trades occur when there are shares offered for sale with equal interest to buy those shares. Again, interest to buy shares is normally stimulated by several factors including the release of price-sensitive information about the company’s activities, its future prospects and its financial wellbeing. Sharing of information about public companies with investors is an essential component to the investment decision-making process by investors. It is said that ‘a cat is not priced when it is hidden in a sack’. The buyer must certainly see what he is buying; that way, he can effectively get a good bargain to guarantee value for money.

The least directors of companies that are not getting up to be counted on the stock exchanges can do is share information with their shareholders and the investing public -- whether such information is good or bad. Whatever the case, investors have a basic right to information so as to make decisions. That right must not be trampled upon. The natural investor reaction to non-disclosure of information is a boycott of the shares of that company on the market, and this largely accounts for the little activity in the shares of such companies.

However, the process cannot be completed one-sidedly; buyers are needed as much as sellers. Essentially, there are several ways by which companies can stay in touch with shareholders through the provision of information. This can be done through press releases, press conferences, or by appearance on the Ghana Stock Exchange’s ‘Facts Behind the Figures’ programme among others. These are fine and inexpensive platforms available for management to interact with investors.

Zacchaeus might not have been an expert in tree-climbing, but when necessity demanded it he rose to the challenge and found himself on a tree high enough to get himself noticed by Jesus. He certainly achieved his aim and even got rewarded by Jesus. Companies listed on the Ghana Stock Exchange must be willing to go the extra mile to share price-sensitive information with investors.

They must draw strength from the effort put into the Initial Public Offering (IPO) exercise of their shares to raise money. If companies recognise their statutory and moral obligations in the provision of information, they will realise that it is not a favour but rather a duty and respect of investors’ right when they start seeing the results of their effort.

Ghanaian Banks pushed to list on the Exchange

The Governor of the Bank of Ghana has stated that the central bank will not relent in its effort to get banks to list on the Ghana Stock Exchange (GSE).
Dr Henry Kofi Wampah said at the Capital Market Conference in Accra that the attractiveness of listed equities on GSE should draw investors onto the market in order to expand the resource envelop for Ghana’s development.
“Ghana’s banking sector has been very profitable over the years and this should make banking stocks more attractive to investors both local and foreign”, Dr Wampah said.
The capital market conference was under the theme “The Capital Market: A key to the Economic Growth and Development”, attracted several players in the country’s financial sector.
The country’s 26 commercial banks are largely privately owned with few that are controlled by government and other state institutions, only seven are listed on the Ghana Stock Exchange.
Dr Wampah, who was speaking on the topic, “The role of the banking sector in the development of the capital market said listing on the bourse brings some benefits, which is not found elsewhere.
He mentioned the governance structures imposed by the stock market including a broadening ownership, regular and periodic reporting to the market and independent directors as some of the benefits, which not only enhances confidence in the institutions but compliments the oversight role of the regulator.
“Banks that choose the stock market listing option have the opportunity to build enduring relationships with international banks and tap into medium to long term funds for intermediation in the local economy”, he said.
The Governor was quick to addd that for a successful harnessing of the capital markets, owners of businesses need an attitudinal change; a desire to sgare ownreship and to think big.
“Thinking big means entreprenuers must look beyond their immediate means and seek to tap into capital from the wider public. This call for a desire to share management and to be subject to public scrutiny”, adding that “ This meesage is key to unlocking the potential of our capital markets”.
On the bond market, the Governor said due to a combination of factors, the potential of the market has remained under utilised.
According to him, high inflation in the past has engendered ‘short-termism’ in the market as investors have short time horizon. But as macroeconomic stability has taken hold and prospects in the economy has improved, the scope for extending the horizon has been created, Dr Wampah said.
“The expansion of the government’s treasuries’ market from the short term to the medium has been fairly successful, with maturities now extending up to five years”. “ This is a positive development as government instrument serve as a benchmark for the private sector” adding that “the challenge is to get the corporate sector also tap into the market to raise funds”, he said

African Lessons for the City-State of Facebook

 By Bright Simons, IMANI-Ghana

Bright B. Simons of IMANI-Ghana

The heady winds of Facebook's IPO have left in their wake gnawing questions about the durability of the social network behemoth's brand, as critics point to declining revenue growth and a less-than-spectacular earnings outlook. But the troubled IPO should direct attention to more fundamental elements of the company's strategy.

In my view, it is the user experience and community that is at the true heart of the matter. A social network is first and foremost about the "organization" of people, which historically has always involved a balance of coercion and consent. One presumes that Facebook's executives are smart enough to know that the most sustainable, cost-effective way to strike that balance is to provide the tools for self-organization. As Facebook has gone global, that self-organization has begun to take very different forms than the social networks' founders originally envisioned. To continue to succeed, Facebook needs to learn to embrace these unique use patterns emerging in far-flung locales — such as the ones I've seen in Africa.

Last fall, for example, Facebook unveiled a feature called "close friends". This tool allows the social network's users to segment their friend list into different categories, with those friends highlighted as "close" showing up more frequently on the user's timeline. In fact, unlike ordinary friends, every status update of a "close friend" shows up in a user's notification page.

It looked like another major concession in the long list Facebook has had to make in order to keep up with the preferred use patterns and privacy concerns of its customers. These conflicts over privacy in the West have focused more on relations between Facebook and its users than about relations amongst users of Facebook.

In Africa however, a new privacy culture is being generated independent of central direction from Facebook's bureaucrats. For the vast majority of African users, Facebook is a place to make new friends, experiment with new personas, tease out hidden fantasies, fiddle with fragments of a personal brand, and test the bounds of social and political conversation. For some it is a wild place on the edge of discovery and the frontier of personality. It is not predominantly a place for socializing amidst the safety of close friends.

In fact, inside the Ghanaian Facebook, which now hosts more than half all internet users in the country, barricading oneself behind privacy walls is fast going out of fashion. Most of my friends have their privacy settings on "public." There is a competitive edge to posts, and a cooperative spirit about creativity — all in plain view of strangers and anonymous lurkers, and yet the conversation rarely escapes into that esoteric, obscuring, denialist, tone that so often suffocates Western internet forums. One can barge in from anywhere and constructively contribute. The notion that more structure is always good is considered suspect — and that view is made known, for example, through a fierce distate for, and rampant badmouthing of, Facebook's new "Timeline" architecture.

Having emerged from the hallowed cloisters of the Ivy League, Facebook initially saw itself as creating a safe quarter on the net for people to continue their real-world socializing — within the same tight social circles that existed off-line. And while it has since pushed to expand those circles, often to harsh criticism in the West, it still tends to promote a sort of social class structure, penalizing people who reach out to strangers and rewarding every hint of interactional intimacy.

It also resolutely keeps out the wider world of the rest of the Internet by remaining impermeable to Google's and other folks' search algorithms. It is able to do this because it clearly is modeling its expansionism on the concept not of "hegemonic empire," as its Western critics typically charge, but on a post-modern, post-individualistic version of the old idea of the "city-state." The city-state of Facebook works hard at maintaining a clubby, contained, feel to an ever-expanding network of "burghers" or "Facebookers" constrained by subtle civil codes to commune with their peers within a highly structured and layered environment.

The Ghanaian version of Facebook is completely different from the Facebook Mark Zuckerberg originally envisaged. It is a kraal, not a city-state. And it is out here on the edges of Facebook that I hear those few really crazy notions about what Facebook might eventually become. Such as the Ghost Algorithm: A method to ensure that your Facebook page outlives your biological usefulness. A new Turing test, anyone? Is this new post on my timeline generated by living or dead intelligence?

 

Self-indulgent, mad, and depressing, yes. Tasteless? Perhaps. But also challenging, combative, open-minded, and maybe even disruptive.

Intriguingly, many African public figures, top CEOs, politicians, mega-pastors etc, are happy reaching out directly to fans through their private pages, shunning the staid "public" fan page option that Facebook itself has set up to suit that purpose. I have seen fierce arguments on the pages of big shots about anything from sports to politics, all done with a charming abandon, and certainly with no PR handlers looking over the shoulders. And it is not that these grandees do the same thing in other media outlets — only on Facebook. Apart from a few brand-name journalists, precious few public figures in the West do this sort of thing.

The simple point is that a lot of us who live outside the Western bubble in, shall we say, more unstructured climes are completely unfettered to any dominant narrative about what is cool and what is not. One cannot always be too sure how we will react to a new technology, how we will assimilate it, and what meanings and values we may ascribe to it, or even how we may strain, strangle and kill it. Therein lies the charm and titillation.

And, for Western-based technology and social media giants, a possible lesson. How much quicker might Facebook have evolved into its growing global significance had it rolled out innovations to support this user-dictated change that began as soon as the product fell into African, and similarly unorthodox, hands! How much more rapidly disruptive can your new technology business become if you look outside the echo chamber for fresh inspiration, to distant triggers of use-insight. For instance, to Africa!

Ghana Stock Exchange partners Venture Capital Trust Fund for listing SMEss of

GSE display board

The Ghana Stock Exchange (GSE) has joined hands with Venture Capital Trust Fund to support small businesses wanting to list on the local bourse.

This has seen the two institutions sign a memorandum of understanding on Tuesday to formalize the partnership.

The arrangement will see the two institutions set up a revolving fund with a seed capital of one million dollars to take care of the listing expenses of small firms.

Managing Director of the Ghana Stock Exchange Kofi Yamoah tells Joy Business this should make it easier for small enterprises to come onto the exchange

Chief Executive of the Venture Capital Trust Fund, Daniel Doku on his part says the arraignment should provide an exit strategy for its investments in some of these firms.

The Ghana Stock Exchange plans to establish a separate market for small businesses and start ups by June this year.

The Ghana Alternative Exchange will specifically would be dedicated to start ups and with flexible listing requirements.

Source: Joy Business

Cross Listing Of Multinational Companies On The African Stock Exchanges.

What is cross listing?
Cross listing is the process where a company lists on more than one stock exchange. Listing on new stock exchanges implies that the services of lawyers, underwriters or lead brokers, auditors, registrars and services of financial valuers be sought. These come with huge costs that are likely to scare the company in question. Cross listing on an exchange brings a lot of benefits to the investing public, the cross listed firm, the host exchange and the political landscape. It as well comes with challenges if the relationship is not well managed. This article seeks to discuss the challenges of cross listing, its impact on the host exchange, reasons why companies cross list and who the principal gainer is using examples on the Ghana Stock Exchange.

Hustle of cross listing companies
Despite the cost of listing on an exchange, some companies choose to list on different stock exchanges for various reasons. The cost of printing prospectus and other promotional activities are also hurdles to scare the company concerned. It also implies that, the cross listing firm in Ghana is ready to pay all the listing fees and comply with the entire listing requirements spelt out by Securities and Exchange Commission(SEC), the Ghana Stock Exchange(GSE), the Registrar of Companies and Bank of Ghana(BoG) if applicable.

Uncertainty looms in such a firm, as to whether the initial public offers would be successful or not. Nobody really knows. There have been instances where companies incur so much cost of printing prospectus, placing heavy media advertisement, paying for services of financial valuers, reporting accountants and auditors but their offers were not successful. The most recent uncertain listing on the Ghanaian market is that of Comet Properties (a real estate company in Ghana). Comet’s unsuccessful listing on GSE emphasizes the real difficulty for firms to list on an exchange.

Despite the uncertainty of the offer, most brave companies defied all odds and tried to list not only on one stock exchange but two or more. The process of listing on more than one stock exchange is cross listing. AngloGold Ashanti, Tullow Plc, Golden Star Resources and Ecobank Transnational Incorporated are examples of cross listed firms on the GSE.
The above listed companies are into exploration of natural mineral except Ecobank Transnational Incorporated, (ETI) which is a multinational bank that offers financial services. A traditional rendition of the strategic nature of cross listing is properly captured in a Nigerian proverb; “a toad does not move out in the day for nothing but in search for something vital”. AngloGold Ashanti is listed on four stock exchanges and Golden Star Resources is both listed on the Canadian and the Ghana Stock Exchanges. ETI is listed on the Nigerian Stock, BRMV and the Ghanaian Stock Exchange. Tullow Plc Ghana, which features mostly in this article, is listed on three stock exchanges in different continents.
Impact Of Cross Listing
Impact coefficient Positive Negative
Investing public More investment opportunities
Sense of belonging and association with listing brand/firm
Smaller shareholding means less control over major decision
Less control over market fluctuations and share price control
Company Additional source of funds/capital
Good risk management option
Political and social acceptability Extra cost of managing extra shareholding
Potential currency translational risk due to currency conversion/fluctuation.
Cross border brand management challenges due to existence in more than one market with distinct features.
Political More opportunity to regulate the operation of the listing firm
More revenue for SEC and GSE---market capitalization goes higher
A political plus as good investment destination, credit,
Increase in tax receipt Repatriation of profit to foreign country/mother company



Social Domestic Employment opportunity
Urgency in Social responsibility activities in operating sector/region

Technological Transfer of technology and to new listed market


CROSS LISTING IN AFRICA
The cross listed firms on African stock exchanges, with presence in Ghana
• Tullow Plc: Tullow Plc got listed on the Ghana Stock Exchange in 2011.
• ETI: ETI got listed on the GSE in 2006
• AngloGold Ashanti is listed on the Johannesburg Stock Exchange (JSE), the London Stock Exchange (LSE) Australian Stock Exchange (ASX) and the Ghana Stock Exchanges (GSE).
• Golden Star Resources is also listed on the Canadian Stock Exchange and the Ghana Stock Exchange in 2009.

General Reasons Why Companies Cross List
• Generate more capital
Raising additional capital to fund a large corporation’s business can be tougher, especially if the capital raised needs to be transferred to another country for business operation. It becomes difficult as rules and regulations inhibit successful transfers of such funds. In the case of Tullow Plc’s IPO in Ghana, cross listing in the Ghanaian market pooled about 109.5 million Ghana Cedis ($72.3m). This was successful mainly because of higher confidence Ghanaians had in the Tullow brand to contribute more capital to explore the oil wells in Ghana. The investor confidence plays crucial role in the success of the initial public offer. Investors largely invest based on both sentiments and facts. The sentimental part is a sense of ownership in their countries oil discovery and Tullow was spot-on in using this to their advantage to raise 109.5 million Ghana Cedis ($72.3m) from the Ghanaian market. It is the ability of the listing company to know the true culture and sentiments of the country they want to operate in it and leverage on it.

• To entrench local content in ownership or market acceptability
Most big corporations that want to enter a new market or expand their operations can use cross listing strategy to establish a local content and increase acceptability of their presence. This is because of the enormous gains associated with being a locally trusted listed firm. Ghanaians who purchased Tullow, ETI, GSR and AGA etc now feel a sense of ownership. This position saves the cross-listed firms in the long run, as issues of strike actions and sabotages become minimal. It is no wonder Tullow Plc and Golden Star Resources which are both into exploration, have decided to list on the stock exchange in their new region of operation to avoid sabotages to a large.
To reduce their market risk
The financial challenges in Europe and America makes it difficult for businesses to sustain the prices of their stocks as prices fall at higher or alarming rates. With Africa emerging with an incredible higher rate of growth and high return on investments, firms like Tullow Plc see it as a fertile ground to raise and invest capital for a higher return.

• Competitiveness
All firms strive for utmost competitiveness in their industries. Competitiveness may come in different ways, but the stock exchange has given firms with global presence to entrench their global competiveness. Cross listing enables firms to gather enough capital, build greater brand equity with wide market reach and acceptability. Tullow Plc’s experience is typical of global brands trying to remain ever competitive irrespective of the new global economic and financial woes.

Performance of the Cross-Listed Firms
Tullow Plc has just listed on the Ghanaian stock exchange and it is doing fairly well by getting some good capital gains of about nine pesewa as at first week in November 2011 for its investors. It started trading on the GSE on 27 July 2011 at Ghc 31 per share. They recently declared an interim dividend on their stocks, which I believe is good for its investors. Even though this is very impressive, doubt still lingers as whether Tullow can continue declaring dividends, especially with the current reported fall in oil production in Ghana.
Impact on investors and company--- is it a mutually beneficial relationship?
The CFAO Case: was it purposely designed to raise money for their projects and exit the market?

CFAO got listed on more than one African stock exchange and obtained funds for the operations in the Sub Saharan African region. The company expanded and made huge profits but never paid dividend to their shareholders in Ghana. They delisted from all the African stock exchanges and are now a private company. There were little or no capital gains. Dividends were not declared.

“The Board of CFAO Ghana Limited tabled a special resolution at the company’s Annual General Meeting (AGM) of December 17, 2009 for de-listing from the GSE. The intended corporate action is subject to the policy of the CFAO group to de-list its subsidiaries from all stock exchanges including GSE. Shareholders at that AGM voted for the company to be delisted from the GSE. In line with the GSE de-listing rules, CFAO has made exit arrangements for all existing shareholders who wish to sell. The exit price is GH¢ 0.04, the share price on the day of the AGM”. (Source:http://www.ibrokerghana.com)

Judging from this release, CFAO virtually used the African investors as means to an end. Worst of their action was their decision to delist from the GSE and other stock exchanges in Africa. This action by most multinational companies to exploit local investors is depressing. The investment public must start questioning the motives behind the listing of some of these companies? Even though their presence brings employment opportunities, they actually take more than they give.

With such a precedent, Tullow Plc must feel pressured to set good examples for other multinationals that have interests in investing in Africa. Cross listing indeed must be mutually beneficial to both the investment public and issuing companies.
Tullow Ghana paid an interim dividend of 0.0968 Ghana pesewas per share to their shareholders. This result is uplifting as it deviates from the typical exploitative approach from CFAO. Over the years, ETI has also been rewarding to its shareholders with dividends it often declares though it’s meager. The stock has fared well in the market, except for recent stumbles in the stock’s prices. This is largely associated with the recent merger and acquisition drives adopted by ETI to leverage its position in the African market. Its long-term performance is positive and shareholders should consider acquiring more shares now.

Who is the principal gainer?
Most often, investors tend to gain when they buy shares of companies that are performing better on the stock exchange. This is because of the extra income associated with the capital gains of well performing stocks. On the other hand, shareholders of poor performing firms often make capital losses if they sell at the prevailing market. The situation even becomes worst if the company pays insignificant dividends. If this happens, the relationship is not mutually beneficial. The investors will lose. If the issuing company tries as much as possible to work well and make profits, pay good dividends and the stock performs well too on the exchange, the relationship then becomes mutually beneficial. This is essential in any investment contract.
As far as business is concerned, there would always be projects that must be executed with extra funds. After the project appraisal and the eventual conclusion of a positive net present value and an internal rate of return that is good enough to make the project feasible, funding is the next thing to source. If the issuing company (e.g. in a right issue) has lived up to expectation in the sight of investors and the stock price is good, all things being equal, they would be able to raise funds at a higher price to execute their projects in order to remain competitive. On the other hand when the shares are performing poorly on the market and little or no dividends are declared, shareholders may be aggrieved and would end up selling to their stocks which would further reduce the company’s share prices. Hence it is better for the issuing company to ensure the efficient running of the firm to guarantee maximum profits and good returns on investors’ capital. Companies such as Standard Chartered Bank, Cal Bank etc. have lived up to expectation on the GSE so their right issues were successful.

There have been many instances on the GSE where the relationship between investors and issuing companies were not a mutually beneficial one. Most companies take investors money and for one reason or the other, do not put the funds into prudent use. Such firms continue to make losses especially on long-term projects hence locking the investors’ capital in the poor performing stock. In this case, I would say the company is the principal gainer and the investor a principal looser.

There is also another category of companies listed whose performance are not necessarily bad but have been greedy enough to pay their investors peanut dividends. They virtually did nothing to stop the stock price from falling but their main target was to acquire more stakes in other companies to the detriment of their investors. Ecobank Transnational Incorporated is the chief in that category. They are closing in on a hundred percent stake in Oceanic Bank of Nigeria and have also taken over The Trust Bank Ghana. Their approach is not bad if the group makes higher profits and in the next financial year, and pays good dividends. Maybe, shareholders would change their mind and stop selling now, and by their holding on to the stock the price may go up.

Source: www.skafuiteye.blogspot.com.

Dishonesty, Cause For Expensive Financing

Alhassan Andani, MD of Stanbic Bank Ghana

Financing experts at a forum on ‘Financing Business Operations in Ghana’ have agreed that dishonesty in the operations of businesses, particularly small- and medium-scale enterprises (SMEs), largely account for the high interest rate financial institutions slap on them.

The Managing Director of Stanbic Bank Ghana, Mr Alhassan Andani, who first articulated the point, stated, “The biggest problem making financial services and products expensive is dishonesty. People consistently misrepresent themselves and the sectors they are in.”

Mr Andani was contributing to a theme “Financing businesses in Ghana”, which was discussed at a forum on Wednesday. The Ghanaian-German Economic Association (GGEA), a grouping of businesses of Ghanaian, German and/or European origin with business interests in West Africa, organised the forum.

The forum brought together financing entities and corporate players, particularly in the SME sub-sector, who may need financing in their operations, and equiped them with vital information to enable them to access financing.

Some of the topics included “Financing Business Operations in Ghana”; “Possibilities for Financing Business Operations in Ghana”; “Assessing the capital market to fund business operations in Ghana”; “The Bank and its Financing Options for Business Operators in Ghana”; and “Funding Start-Up Concerns”.

The GGEA organises such fora regularly to enable its members to have a deeper understanding of regulatory and policy issues that affect their business operations.

Mr Andani expressed concern that some of the professionals did not deliver on their role of straightening the books of SMEs, therefore, banks had to subject such applications for loans from that sub-sector to rigorous checks and apply higher risk premiums for resources they release to them.

He explained that banks looked at several issues before lending, the primary one being the cash flows of the business, as well as a lot of due diligence to establish certain technical issues such as whether the equipment a business intended to purchase was obsolete or in vogue as that would impact of availability of parts for maintenance.

Mr Andani also agreed with other speakers that small businesses needed to be mindful of the type of financing for their operations, as different stages of the businesses required a certain type or mix of financing options.

The Deputy Managing Director of the Ghana Stock Exchange, Mr Ekow Afedzie, reiterated that “appropriate capital is a problem in Ghana as it is the cause of many businesses that have gone under”, explaining that instead of going for medium to long term financing when the business reach the point of expansion, such SMEs still resorted to the bank financing.

He said the stock exchange was one sure place to raise long-term capital to fund expansion, adding that listing on the Ghana bourse was a simple procedure that many SMEs should take advantage of.

Besides the benefit of a stress-free long-term capital, raising capital on the exchange helped SMEs to conform to good corporate governance and adhere to transparency and disclosure policies, Mr Afedzie noted.

The GSE deputy managing director announced that as part of creating a separate alternative market for SMEs and star-ups to raise capital, the GSE in collaboration with some donor partners would set up a revolving fund to enable the target businesses to access in financing their listing expenses, in addition to incentives such a waiver of listing fees.

The West African Head of the German private sector-focused development financier, DEG, Dr Andreas Vo?, explained the various medium to long-term interventions his outfit made in businesses across the world, including a portfolio of €600 million for sub-Saharan Africa in 2010 and over €250 million in Ghana as of last year.

He explained that DEG, a member of the German development banking group, KfW, had medium to long-term financing of anything from €5 million to €30 million for a period of between four and 15 years, adding that the financier was mainly interested in infrastructure, energy, telecommunications, manufacturing and agribusiness which it did through equity participation, debt financing or mezzanine financing arrangements (a hybrid).

The President of the GGEA, Mr Stephen Antwi, called on the government to engage the private sector and inculcate its input into the second phase of the Financial Sector Strategic Plan (FINSSP II).

Mr Antwi stressed that since the plan was directed at the financial sector it would eventually impact on the private sector, the reason they must have their inputs into it at the very beginning in order to own the plan.

Source: Daily Graphic

South Africa's All-share index hits new record high

JOHANNESBURG - South African stocks closed at a new lifetime high on Wednesday, gaining more the 1 percent as positive earnings statements and upbeat economic data from China helped lift resources firms such as Assore.

Johannesburg Stock Exchange electronic board

Shares of Absa, the South African lender controlled by Barclays, ended up 0.3 percent at 149.20 having earlier declined on news its veteran deputy CEO would step down next year.

"There is a lot of positive trading statements being released in our market in the last few days," said Betzi Yang, trader at Legae Securities.

"There is risk appetite. People are looking for a bit of a return. With a low interest environment, the only place where they can seek a bit of return is the equity market."

The All-share index, closed at its highest level in its 17 year history, finishing up 1.03 percent at 334,139.52 and marking at least its seventh record close since the start of the year. The Top-40 added 1.1 percent to 30,518.66, its highest close since May 2008.

Banking group Absa, investment holding company Mvelaphanda, bathroomware retailer Italtile and information storage firm Metrofile were the latest companies to flag growth in profits.

Absa, which briefly lost ground in afternoon trade on news its deputy chief would be stepping down, said on Wednesday its full-year earnings likely rose by as much as 22 percent.

Base metal miner Assore topped the charts after jumping 7.5 percent to 245.19 rand, extending gains after announcing on Tuesday it expected to post half-year earnings nearly double those it reported a year ago.

Gold miners took a softer tone as risk appetite returned to markets. Second-placed producer Gold Fields lost 1.1 percent to 127.55 rand.

Technical analysis would caution that the valuations are overheating with South African stocks now trading at a price-to-earnings ratio of more than 13, putting them roughly on line with U.S. stocks, according to Thomson Reuters data.

"It is quite phenomenal, the run that we've had," said Nic Norman-Smith of Lentus Asset Management. "All you can do is buy the cheap stuff, avoid the expensive stuff and the crash will probably come when one least expects it."

Trade was relatively active, with 200 million shares changing hands on the boursee, according to preliminary exchange data and compared to last year's daily average of 256 million shares.

Source: Reuters

SEC begins work on local-content legislation for the Stock Market

Ghana Stock Exchange display board

The Securities and Exchange Commission, S.E.C has begun work on proposals that could compel foreign companies in operating in the country to list on the Ghana Stock Exchange. The move has been influenced by calls for regulations that will oblige the multinationals to offload part of their shares on the stock market to enable Ghanaians share in their profits.

The proposal has however being opposed by Economists like Kwami Pianim who believe the companies should rather be allowed to take their own decision. But the Director General of the SEC, Adu Anane -Antwi tells JOYBUSINESS the time has come for Ghanaians to share in the fortunes of these foreign companies.

“Most of the organizations may say they do not need our capital but we need them.We are saying let Ghanaians owe a little of your shares, be part of the company then you will even be taken as a socially responsible organization. We just feel that Ghanaians should have some stake in the economic activities that abound in the country” he noted.

Meanwhile, Foreign manufacturing firms operating or coming into the country would have to source at least forty percent of their supplies locally. This is one of the clauses contained in the revised Ghana Investment Promotion Centre Act which is expected to be promulgated later this year.

Mobile operator MTN has already indicated that it has no immediate plans of listing on Ghana Stock Exchange. According to the operator, there are other ways to ensure Ghanaians share in their fortunes.

Source: myjoyonline.com

Euro Zone Crisis may slow down Ghana Economic Growth

The down grade of France by Standard and Poor has deepened the euro zone crisis. This negative economic turmoil in Europe has endangered the economic growth of African countries, specifically  Ghana's economy which depend totally on the export of cocoa, gold and recently oil to Europe. 

EnterpriseAfrik has compiled some facts for Ghanaian entrepreneurs and investors in Ghana and abroad, who are undertaking or willing to execute business projects in the country, to be guided by these economic indicators for 2012

THE ECONOMY AND PUBLIC FINANCES

In revised data released in mid-October, the statistical office said Ghana's economy expanded by 16.4 percent in the second quarter of 2011 mainly on oil production.

Traders in Nima market, Accra. © EnterpriseAfrik

The government lowered slightly its projected growth for 2011 to 13.6 percent from the 14.4 percent programmed in revised budget estimates approved by parliament in July. This is broadly in line with an IMF forecast of 13 percent for the year.

The 2012 budget raises spending by 12 percent to tackle poverty in this election year but aims to increase state revenues and keep the public deficit at 4.8 percent of GDP.

Inflation is predicted to average 8.7 percent for the year and finish 2012 at 8.5 percent, barely changed from the 8.58 percent recorded in December 2011.

What to watch:

A decision by the government in late December to remove fuel subsidy is expected to trigger general price pressures leading to climbing inflation from next month.

- Mounting price pressures. Many analysts suggest rising spending and the weak cedi (see below) could add to inflationary pressures. At present the modest inflationary outlook has allowed the Bank of Ghana to keep its prime rate on hold at 12.5 percent - but the removal of fuel subsidies and the associated general price hikes are enough reasons for the Central Bank to a tighten monetary policy in coming weeks.

- The risk that the euro zone debt crisis may lead to a European recession which would hit trade with Africa.

INVESTMENT

Ghana's relatively strong record on governance and some signs of the emergence of middle-class consumers make it an attractive investment destination for some. Unfortunately the euro zone debt crisis has made many investors much more risk-averse and prompted them to retreat from the African assets to which they were flocking less than two years ago.

The Ghanaian cedi has been among the victims, falling about 10 percent against the dollar on the year for cedi-dollar to trade around new lows of 1.68-1.70 in early January.

The Ghana Stock Exchange's main composite index has shed about 3.5 percent on the year to date, while the once favoured banking sector has taken a bigger hit, the Financials component of the index has slumped 14 percent.

Jubilee oil field, Ghana

In line with other African countries, Ghana has had to offer more attractive yields on its debt to find buyers -- the last auction of five-year bonds on Dec. 8 resulted in an average yield of 15.9 percent compared with 14.25 percent for a first tranche of the same bonds auctioned in August.

Even then, the December auction was only slightly oversubscribed and failed to attract offshore funds.

There are also concerns that Ghana's fiscal environment is becoming less investor-friendly. The 2012 budget increases mining sector corporate tax from 25 percent to 35 percent and introduces a windfall profit tax of 10 percent. At least one miner has raised concerns that this could discourage investment.

What to watch:

- Central Bank intervention. How ready is the Bank of Ghana to support the cedi? The Bank consistently intervened in the last quarter of last year but that has failed to halt the slide so far.

Source: Reuters

Top 14 Ghanaian Shareholders lauded Tullow Oil

Jubilee Field, Ghana

Ghanaian Shareholders of Tullow Oil Plc, Ghana (TOPG), have expressed confidence in the running of the Jubilee Field,applauding its management for acting professionally, efficiently and with high standards.

Information available at the Corporate Affairs of Tullow Oil Ghana on Thursday revealed 14 top shareholders lauded management of the Jubilee Field for such professional standards, when they recently undertook a helicopter fly-over tour of facilities including the commercial port, logistics base, naval base and the Floating Production Storage Off loading Vessel (FPSO) Kwame Nkrumah MV21.

The tour was organised by Tullow Oil Ghana for its shareholders as a means of strengthening corporate relationships with them.

Mr Anthony Oteng-Gyasi, a shareholder and former President of Association of Ghana Industries (AGI) described the tour as an “eye-opener” adding, "I wished to have spent time on the FPSO Kwame Nkrumah vessel".

“In all sincerity, I must say I found the tour well-organised, the staff well informed and the briefing session very good,” he added.

Ms Abena Amoahm, an Investment Analyst, noted that the tour was timely and relevant adding, it highlighted the importance the company attached to environment, health and safety of its staff.

“I think that following this tour, my confidence in Tullow has increased knowing that it is being run efficiently and profitably, particularly the high standards,” she added.

Tullow is a leading independent oil and gas, exploration and production group, with an interest in more than 90 exploration and production licences in Africa, Europe, South Asia and South America.

In Ghana, following discovery of oil at the Jubilee Field in 2007, the field which consisted of Odum, Mahogany-2, Heydua-2 and Mahogany-3 wells, was developed by TOPG.

The field's recoverable reserves are estimated to be more than 370 million barrels, with an upside potential of 1.8 billion barrels.

The Jubilee appraisal and development programme began at the end of 2008 and the Odum, Mahogany-2, Heydua-2 and Mahogany-3 wells were drilled.

Parallel to the appraisal drilling programme, phase I development of the core field has progressed at a rapid pace since July 2008.

The field delivered first oil in December 2010 and by May 2011, the field was said to be producing 70,000 barrels of oil per day from five wells.

TOPG has interests in two exploration licences offshore in Ghana where, in 2007, two successful exploration wells discovered the substantial Jubilee field which straddles the boundary between the two blocks; Deepwater Tano and West Cape Three Points.

In March 2009, a further major discovery was made in the Deepwater Tano block, the Tweneboa-1 exploration well discovered a highly pressured light hydrocarbon accumulation.

This was followed by the successful Tweneboa-2 well announced in January 2010 which encountered oil and gas-condensate six kilometres south of the original discovery.

The Owo-1 well result in July 2010 successfully encountered 53 metres of net oil pay and was followed by the Owo-1 sidetrack which encountered a further 16 metres of net oil pay and an additional 19 metres of gas or gas-condensate in two deeper channels.

According to TOPG, since the start-up of production at the end of 2010, more than 22 million barrels of oil have been produced and 21 oil cargoes safely exported.

Recently, production rates are reported to have been below expectations due to mechanical issues in certain wells related to the design of the well completions.

TOPG does not expect those well completion issues to have any adverse impact on field resources as the company anticipates that the resolution of the issues and the contribution of the Phase 1A wells would allow field production to climb up to facility capacity later in 2012.

The company is expecting to receive government’s approval for the Jubilee Phase 1A Plan of Development to start drilling early this year with anticipated initial production commencing in the second quarter.

Source: Ghana News Agency

Ghana Agric Bank to be listed on GSE

Agricultural Development Bank (ADB) plans to be listed on the Ghana Stock Exchange (GSE) before the middle of next year to raise additional reserve to deepen its operations, Alhaji Ibrahim Adams, Board Chairman of ADB, has revealed.

“We are now waiting for the go-ahead from the government to do so. We are not selling the bank, but rather offering part of its shares to Ghanaians.

“The bank is in discussion with government and currently awaiting approval to be listed on the GSE to raise capital for further expansion projects,” said Alhaji Adams at the bank’s end of year party held in Accra.

“ADB going public next year will also enable the bank to finance capital intensive businesses in all sectors of Ghanaian economy including the oil and gas sector.

“The bank is committed to building a strong customer-oriented outfit run by knowledgeable and well-motivated staff that provides profitable financial intermediation and related services for sustained and diversified agricultural and rural development,” he said.

Mr. Stephen Kpordzih, the Managing Director of the bank, observed that it had performed creditably during the year and fulfilled its promise of improving its service delivery, the effort being acknowledged through several awards the bank won.

He said the bank opened 11 new branches as part of its expansion project; refurbished old branches; introduced a new range of products and new channels of transaction; and computerised its systems of banking -- adding that these had helped to improve its uptime in credit delivery.

Source: Business & Financial Time

Ghana Stock Exchange To Trade Gold Fund in January 2012

The Ghana Stock Exchange (GSE) is to begin trading of the Newgold Exchange Trading Fund (ETF) next month.

Trading in the Fund, which was initially scheduled for this month, has had to be postponed to allow testing of applications that will ensure smooth take-off and efficient operation of the Fund.

“The gold Fund is expected to trade on the GSE by next month, though the initial plan was to start in December. The change in date has become necessary to enable us look at various applications. We are currently looking at various applications that will ensure a smooth take-off,” Mr. Kofi Yamoah, Managing Director, GSE, told the B&FT in an interview.

The ETF will give investors the chance to trade indirectly in gold and create excitement in the securities market. It will be traded as an ETF that operates as a listed stock and a collective investment scheme on the exchange.

The Fund will be locked into gold – thereby allowing investors to have exposure to gold without directly allowing them to buy the assets. It will continuously track gold prices and allow investors to invest indirectly in gold bullion through the purchase of units in the ETF.

The Director General of the Securities and Exchange Commission, Mr. Adu Anane Antwi, said each of the Newgold ETF securities is equivalent to 1/100 units of real gold in a secured stockpile of gold bullion.

Trading of the gold fund on the GSE is to improve the depth and width of the capital market, provide more investment variety for the Ghanaian investor, and also provide liquidity to the market as ETF has a guaranteed market-making mechanism.

Mr. Antwi said that “It will lead to a reduction in the overall risk of portfolios in the market, since investment in commodities tends to exhibit low correlation with traditional stock and bond investment.

“It will also introduce the concept of market-making onto the Ghanaian capital market, since liquidity providers will be appointed to buy and sell ETF units when the secondary market does not provide both sides of orders at their quoted prices.”


Source: Business & Financial Time

Bank of Ghana re-issues oversubscribed Bond

The Bank of Ghana will sell an additional GH¢200million of a five-year bond issued in August that sold at 14.25 percent and was oversubscribed by half.

Auction of the bond, which will set a new benchmark government’s five-year borrowing cost, is set for Thursday.

Proceeds from the issue will be used to partly finance the redemption of a five-year fixed-rate bond maturing this month, and pay for ongoing major road projects, the central bank said.

Investor appetite for the sale is unclear, but ahead of the auction the cedi registered gains as dollar sales increased, according to currency traders.

The government’s three-year borrowing costs rose to 14 percent in October from 13 percent in July as inflation picked up marginally and the cedi slipped to record lows against the United States dollar.

Stable inflation and less macroeconomic uncertainty have helped to lower Treasury yields over the course of this year -- with the cedi broadly firm and steady until a volatile streak in September and October.

Next year, the domestic yield curve will be further extended through the issue of seven and 10-year fixed-rate bonds to pay for infrastructure projects promised in the government’s 2012 budget.

The introduction of such long-term debt instruments is an attempt to rationalise infrastructural spending, finance ministry officials said. The construction and repair of economic infrastructure was a key highlight of the 2012 budget read to Parliament last month.

Most of the projects will be paid for with the initial tranche of a US$3billion loan from the China Development Bank (CDB), Finance Minister Kwabena Duffuor announced.

But there are concerns that such commercial credit lines could add substantially to the public debt, and analysts argue Ghana’s record of returns on public investments will have to improve significantly to justify these new obligations.

Interest on the public debt will cover 11 percent of government spending this year and 10 percent next year, according to the 2012 budget.

The finance ministry says it will lay out a new debt-management strategy this month, which it hopes will alleviate concerns over the rising public debt -- now at 39 percent of GDP.

The main points of the strategy, according to Duffuor, shall include a cap on the public-debt-to-GDP ratio of 50 percent, and a minimum concessional debt ratio of 35 percent in the external loan portfolio. The strategy will limit floating interest-rate loans to one-tenth of the total debt portfolio, and allow for additional borrowing only when “it does not compromise long-term debt sustainability.”

Last month, ratings agency Standard & Poor’s held up its controversial ‘B/B’ rating on Ghana’s creditworthiness, arguing the country’s stable politics and strong output data are offset by continued weak fiscal management.

In July the government raised its budget deficit target to 5.1 percent from 4.1 percent, despite windfalls from oil and higher-than-projected tax collections.

S&P said government’s decision to spend the extra revenue meant it missed an opportunity to further narrow the budget gap and clear remaining fiscal arrears. Bonds sold in the early part of this year were used to settle a substantial part of these debts.

Source: Business & Financial Time

Five trends driving Africa’s economic growth

Standard Bank analyst Simon Freemantle has identified five key trends that will propel Africa’s ongoing economic reinvigoration in the next four decades.

“Naturally Africa’s sheer size as well as often vastly differing economic and political dynamics . . . renders generalisation problematic. However, the broad thrust of these trends is incorporating the majority of the continent’s emerging and aspiring economies,” says Freemantle.

The five trends are:

Trend 1: A larger, younger and more affluent population

Africa’s population growth will average 2.2% over the next decade, compared to 0.9% in Asia. It is expected that Africa will have a population of almost 2 billion by 2050. Rapid population growth also means that the populace is exceptionally young. Sub-Saharan Africa’s median is age 18.6, compared to 32 for the BRIC countries.

Coupled with strong economic growth, population growth will support the emergence of the continent’s consumer base. Consumer growth is being supported by a rising middle class. According to Freemantle, around 150 million Africans have entered the middle class since 1990, with a further 40 million households to become middle class by 2015.

Trend 2: Africa’s transformational urban swell

It is estimated that about 40% of Africans currently live in urban areas. By 2050 more than 60% of the continent’s population will be urbanised. Nigeria will see 140 million new urban entrants in the next 40 years. Countries such as South Africa and Angola will be more than 80% urbanised by 2050. Although this will lead to an influx of people into megacities such as Lagos, Kinshasa and Cairo, 70% of all urban growth in the next two decades will take place in smaller towns and cities.

Trend 3: Leapfrogging through technology

Africa’s population has vigorously embraced technology in general, and telecommunications in particular, as a means to boost socio-economic prosperity. By the end of 2010, there were over 500 million mobile subscriptions in Africa; by 2015, it is expected there will be almost 800 million. Nigeria is already the world’s tenth-largest mobile market. More Africans are also connecting to the internet. While internet penetration is still relatively low (around 120 million users) growth rates have been profound. Internet costs remain excessively high, limiting uptake. A range of mostly private-funded fibre optic cables set to land, or having already landed, on Africa’s east and west coasts are set to lower costs for African internet users.

Trend 4: Africa’s dormant resources potential

In addition to Africa’s considerable precious and base metals wealth, the continent is becoming a more important player in the world’s energy markets. At the end of 2010, Africa had 9.5% of the world’s crude oil, and 8% of the world’s natural gas reserves. The continent, however, still holds considerable untapped reserves, with recent discoveries in Ghana, Uganda and potentially Namibia attracting strong interest.

Meanwhile, with food anticipated to become the “new oil” of the 21st century, Africa’s immense and largely dormant, agricultural potential is gaining elevated attention. In order to feed the world’s population in 2050, food production will have to increase by 70%, necessitating a total average investment in developing world agriculture of US$83 billion.

Trend 5: Africa’s deepening financial sector

The financial services sector is responding rapidly to the continent’s altering economic reality. Although the majority of Africans remain locked out of the financial system, the growth projections for the sector are stellar. At current growth rates, Africa’s financial services sector could make up around 20% of the continent’s collective GDP within the next decade, compared to 10% today. Much of the new growth will come from retail banking. The expansion of financial services has the ability to create new jobs, establish a formal identity of millions of market participants, and provide greater safety than predominant cash-based systems.

Source: How We Made It In Africa