GRi BEF News Ghana 27 - 04 - 2001

 

Home Finance Company improves net profit

 

First Turkish export products exhibition opens

 

Techiman gets Internet facility

 

 

Home Finance Company improves net profit

Accra (Greater Accra) 27 April 2001

 

The Home Finance Company (HFC) Limited says it has performed creditably in the 10 years of its existence despite the unfavourable macro economic environment in the country, especially, in the last two years.

At its annual general meeting on Thursday, Mr Samuel Kortei Botchway, Chairman of the board of directors, said the company posted a profit after tax of 6.2 billion cedis last year indicating a 30.9 per cent increase from 4.7 billion cedis recorded in 1999.

It paid a dividend of 37 cedis, which is eight cedis more than the 29 cedis issued in 1999.

"From the mid-1999, Ghana's economy has been caught in a cycle of deteriorating terms of trade and rising budgetary deficits.

"The continued build-up in government debt through financing from the banking system caused very significant distortions on the financial markets," Mr Botchway said, adding: "But with sound management and with a lot of imagination, I am proud to report that HFC has once again done very well."

The number of mortgages continued to grow, rising from 3,241 at the end of 1999 to 3,639 last year.

The company's total assets also increased from 120.1 billion cedis in 1999 to 216.7 billion cedis in 2000 while profit before tax increased by 46.3 per cent to 7.8 billion cedis.

Mr Botchway said competition in the financial services industry is getting keener by the day.

"The targets set in the company's business plan are quite ambitious but my colleagues and I on the board of directors have great confidence in the capabilities of the management and staff to withstand the competition."

Mrs Stephanie Baeta-Ansah, Managing Director, supporting the sentiments expressed by the board chairman, said the company is proud to record a pre-tax profit in excess of one billion cedi despite the difficult macro economic environment.

This represented 25 per cent increase of projections made."However, our business could do better, if the company is licensed to take deposits," Mrs Baeta-Ansah said.

She said efforts to get a licence to operate such deposits have dragged for a long period.

The Bank of Ghana has, however, advised that the company should apply for a savings and loans licence due to the increase in minimum capital to 15 billion cedis from five billion cedis.

Mrs. Baeta-Ansah said the company's mortgage portfolio grew from 89.7 billion cedis at the end of 1999 to 155.8 billion cedis.

She said a total of 1,083 fully paid mortgages out of a total number of 3,631 loans disbursed as at December 31, 2000.

The company introduced two mortgage facilities at the AGM -- the loyalty home equity mortgage and the incremental mortgage.

Under the two facilities, HFC would review conduct of mortgagees over a period to enable more people to qualify.

Mr. Paul Koranteng, a Chartered Accountant, was elected to serve on the board of directors to replace Mr Ken Ofori-Atta who has retired wile Mr Botchway and Mr Henry Dei were re-elected to serve another one-year term each.

GRi…/

 

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First Turkish export products exhibition opens

Accra (Greater Accra) 27 April 2001

 

Vice President Aliu Mahama on Thursday reiterated the government's determination to promote the private sector in all initiatives towards the revival of the country's economy.

"To demonstrate the commitment of (the) government to this objective, the Ministry for Private Sector Development has been created to facilitate and streamline the regulatory framework," he said in a speech read for him at the first Turkish Export Product exhibition in Accra.

In all, 110 companies from Turkey representing various private sector concerns are participating in the exhibition.

The Vice President said the presence of the large contingent of private sector operators to explore business collaboration in Ghana is a manifestation that the "Golden Age of Business declared by the government has indeed been embraced by our global friends."

He said the exhibition marks the beginning of a relationship between the two countries in the aviation front, as for the first time, a Turkish airliner, has landed in Accra.

Alhaji Mahama said trade volumes between Ghana and Turkey indicate that from 5.9 million dollars for both countries in 1996, Ghana's export to Turkey as at 1999 rose to 18.2 million dollars.

He said Turkey's export to Ghana rose in multiples to 61.3 million dollars during the same period.  

The difference in trade volumes, he said, is an indication that Ghanaians have not been aggressive to match the brisk business acumen of the Turks.

Alhaji Mahama urged the Ghanaian participants to enter into investment discussions for joint venture projects in agriculture and agro-processing, which constitute the bedrock to Ghana's economic take-off.

In a speech read for him, Dr Konadu Apraku, Minister of Trade and Industry, said to achieve accelerated economic growth, the trade policy of the government has to be geared towards giving local industries renewed impetus to make them globally competitive.

"There is the need for us, therefore, to place more emphasis on modern technology as an aid to industry and business," he said.

Dr Apraku said the Ghana Trade and Investment Gateway Programme has been designed to serve the needs of the private sector so that Ghana can be positioned as a major investment destination in the West Africa sub-region.

He said the Export Processing Zone, the Free Ports and Liberalised Skies Policies would be enhanced to enable investors to use Ghana as a base to manufacture products, assemble, package, store, wholesale and distribute goods to the sub-region.

The Minister urged the Turks to consider re-locating some of their businesses in Ghana, especially in the Free Zones so as to be able to take advantage of opportunities opening up in Ghana.

Mr Omer Sahinkara, Turkish Ambassador to Ghana, announced plans by the Turkish government to re-open the Turkish Embassy in Accra next year.

He said the exhibition, which is another milestone in Turkey-Ghana relations, expresses the political and economic wishes of the two countries.

He said they chose Ghana as the exhibition centre because it is a peaceful country and the Turkish people admire its democracy.

Mr Lord Duodu-Kumi, Consul of Turkey to Ghana, urged Ghanaian entrepreneurs to seek the opportunity to interact with their counterparts, especially, in the area of technology.

GRi…/

 

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Techiman gets Internet facility

Techiman (Brong Ahafo) 27 April 2001

 

A private Internet provider, Central Link Business Services, has installed an Internet facility at Techiman in a move to bring the global village closer to people in the district.

The facility, the first of its kind in the area, has been hooked to Africa-Online, a leading information technology service provider.

Briefing the GNA after the installation, Mr Ebenezer Mensah, Managing Director, said Central Link Business Services would now serve clients on browsing, electronic mail and other Internet related facilities.

The provision of the facility will help prevent people from travelling from Techiman to Kumasi or Sunyani for such services, he added.

The Managing Director appealed to Ghana Telecom to provide the company with an additional telephone line to enable it to serve the people better.

GRi…/

 

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