GRi Business, Economics & Finance 03 – 10 - 2002

BOST to construct three additional storage tanks in Kumasi

EU to offer coherent trade and aid to developing countries

Rural Banks urged to improve performance

GSE All Share bounces back to an impressive performance

 

 

BOST to construct three additional storage tanks in Kumasi

 

Accra (Greater Accra) 03 October 2002- The Bulk Oil Storage and Transport Limited (BOST) is expected to construct three additional tanks for its Kumasi Depot at a cost of 16 billion cedis.

 

The project, to be completed within four months would be financed from the petroleum levy of 30 cedis per litre. This was disclosed to newsmen by Mr Joseph O.K. Addo-Yobo, Managing Director of BOST at the opening of bids for the tendering of the project by the Central Tender Board (CTB) in Accra on Tuesday.

 

Seven out of 17 companies, which purchased tender documents, submitted their bids. They were Francomends (Ghana) Limited, Worcon Engineering Limited, J.S. Yeboah Company Limited and Glotec Engineering Limited.

 

The rest were, Motherwell Bridge (Ghana) Limited, AFKO Engineering and Construction Limited and Steel African Maintenance and Construction Limited.

 

 The Kumasi Depot has the capacity to store seven million litres of super, eight million litres of gasoline and 3.5 million litres of Kerosine. However Mr Addo-Yobo did not disclose the capacities of the three tanks to be constructed.

 

Mr Kwadwo Mpiani, Chief of Staff and Chairman of the CTB said the project would increase the storage capacity of BOST for the distribution of petroleum products for the northern sector of the country.

 

He said it would also reduce the congestion of petrol tankers at the Tema Oil Refinery (TOR). Mr. Mpiani said after the tendering process, the bids would be submitted to the consultants on the project, Twum Boafo and Partners for consideration to choose the winner before the award of the contract.

 

Mr Peter Asare-Bediako, Project Engineer of BOST said the company has planned the construction of additional storage tanks at the Accra Plains and Takoradi but land was yet to be acquired for the Takoradi project.

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EU to offer coherent trade and aid to developing countries

 

Accra (Greater Accra) 03 October 2002- The European Union has stressed the importance of trade and aid to developing countries and said it was getting organised to offer both in a more coherent manner.

 

It indicated that it would continue to pursue both unilateral, and multilateral development objectives in the Doha Development Agenda where it underlined its commitment to negotiating a development friendly outcome with respect to market access and multilateral trade rules.

 

A joint statement from the Union by Poul Nielson, EU Commissioner for Development and Humanitarian Aid, and Pascal Lamy EU Trade Commissioner said the Union spent 640 million Euros on more than 100 trade-related assistance projects in developing countries.

 

As a further step to its assistance, the Union has published an Action Plan on how to respond to developing countries' calls for more trade related assistance at the World Trade Conference in Doha, the UN Conference on Financing for Development in Monterrey, and the World Summit on Sustainable Development in South Africa last August.

 

The Action Plan, to be discussed by EU trade and development ministers and the European Parliament over Autumn sets out a series of concrete steps under which priority needs of countries, including Ghana would be discussed.

 

It noted the landlocked nature of many African countries, which also did not have sufficient roads to transport their agricultural products to the markets and said building such infrastructure could transform their economy.

 

"The message is that we are ready to increase trade related assistance as our partners see necessary, and we will both monitor closely how much money goes on trade projects, and then review the overall trade assistance in 2005", the release said.

 

The EU gave the assurance that it would help train officials and operators to find their way through the red tape of international trade and also work with partner countries and help them comply with food safety rules.

 

The Union asked all donors to work together to ensure that countries like Ghana got what they wanted in terms of trade-related assistance from different sources. It expressed concern about the lending policies of the Bretton Woods institutions, saying it sometimes undermined agreed development policies by imposing tougher conditions in their lending policies to developing countries.

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Rural Banks urged to improve performance

 

Awutu Beraku (Central Region) 03 October 2002- A Deputy Chief Manager of the Banking Supervision Department of the Bank of Ghana (BOG), the Reverend J.A. Tetteh, has urged rural banks to take advantage of the improving macro-economic environment in the country to re-align their operations to enhance their overall performance.

 

This, he explained, would enable the rural banks to build up enough funds to help them play their expected roles in the socio-economic development of the rural communities. Addressing the 14th annual shareholders meeting of the Awutu-Emasa Rural Bank at Awutu-Beraku on Saturday, the Deputy Chief Manager also cautioned rural banks against complacency, advising that the laudable achievements the banks had chalked in recent years should spur them on to make more giant strides in their endeavours rather than being content with the gains they had made so far.

 

Rev Tetteh was happy that by dint of hard work coupled with the unity of purpose and prudent banking practices adopted by management and directors of the Awutu Emasa Rural bank in the past few years, had transformed it and urged them to maintain the spirit.

 

He said available data at the Bank of Ghana indicate that the Awutu Emasa Rural Bank had made significant progress since its inception. Rev Tetteh said from December 2001 to June this year, the bank's deposit increased from 3.17 billion to 3.61 billion cedis.

 

Loans and advances, which the bank granted to customers, also rose from 1.25 billion to 1.43 billion cedis. Its investments, however, declined from 2.21 billion to 2.09 billion cedis. According to Rev Tetteh, the bank also complied with the capital adequacy ratio requirement, posting 15.34 per cent as per the latest on-site report of January 31, this year.

 

Mr James Eric Nkrumah, President of the Central Regional chapter of the Association of Rural and Community Banks and Chairman of the Awutu Emasa Rural Bank, said the bank made an after tax profit of 143,953,000.00 cedis and advised shareholders of the bank to increase their shareholdings to make the bank more vibrant and strong financially.

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GSE All Share bounces back to an impressive performance

 

Accra (Greater Accra) 03 October 2002- The Ghana Stock Exchange bounces back to an impressive performance on Wednesday with the benchmark GSE All Share Index closing up at 4.22 points in an active market that saw shares that changed hands more than eight times the previous close.

 

The index, which closed previously at 1,310.67, was up marginally at 1,314.89 points. A total of 298,100 shares were sold on the market as against 25,300 at the previous close on Monday, with British American Tobacco selling 254,800 shares in block trade.

 

The change in the year to date was at 37.55 per cent. Market capitalisation dropped marginally from 4,861.38 billion cedis on Monday to 4,809.58 billion cedis on Wednesday.

 

In all, there were six positive price changes. Social Security Bank gained the highest of 49 cedis to close at 3,950 cedis followed by Ghana Commercial Bank, 20 cedis to close at 3,390 cedis. Fan milk Limited gained 15 cedis at 1,666 cedis and British American Tobacco, 13 cedis to close at 966 cedis. Uniliver and PZ gained three and one cedis receptively to close at 4,263 and 1,851 cedis.

 

The following are the last prices of listed equities in cedis:

ABL                      380

AGC                  18,807

ALW                  4,000

BAT                            966       +13

CFAO                   67

EIC                     4,520

FML                   1,666            +15

GBL                            900

GCB                   3,390            +20

GGL                           912

HFC                           955

MGL                           254

MLC                           262

MOGL               19,720

PAF                            750

PBC                      400

PZ                       1,851            +1

SCB                   26,023

SPPC                          387

SSB                    3,950            +49

SWL                           285

UNIL                  4,263            +3

CMLT                        460

GRi…/

 

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