Category: Business News

The National Communication Authority (NCA) has described as misleading claims of a breach of privacy of consumer information.

A statement issued by the NCA “these claims are completely false.”

The response from the NCA comes after a private legal practitioner, Mr. Francis Kwarteng Arthur, petitioned Vodafone Ghana’s mother company, the Vodafone Group UK over allegations of privacy right violations.

He further went to court over the matter and went ahead to file a lawsuit by dragging the President, the National Communication Authority, Kelni GVG, Vodafone Ghana and MTN to court over allegations of privacy right violations.

Vodafone has however denied these allegations assuring customers their data are protected and that there has been no breach as alleged.

Reacting to this, the NCA said ”In March, 2020, the NCA requested “passive mobile positioning data logs” from Mobile Network Operators (MNOs). This allows the NCA to gather location information to assist the Ghana Health Service to map Covid19 hotspots by undertaking historical and current analysis of persons potentially infected with COVID-19 for contact tracing purposes. It is “passive” and “historical” because it is not live real-time tracking.

This is in accordance with the Establishment of Emergency Communications Systems Instrument, 2020 (E.I. 63). The Instrument required network operators or service providers to cooperate with the NCA Common Platform to provide information to State agencies in the event of a public health emergency,” it added.

Read the full statement below

Misleading Consumer Privacy Breach Claims

Accra, 19th June, 2020: The attention of the National Communications Authority (NCA) has been drawn to some reports on social and some mainstream media claiming a breach of privacy of consumer information. These claims are completely false.

Here are the facts: In March, 2020, the NCA requested “passive mobile positioning data logs” from Mobile Network Operators (MNOs). This allows the NCA to gather location information to assist the Ghana Health Service to map Covid19 hotspots by undertaking historical and current analysis of persons potentially infected with COVID-19 for contact tracing purposes. It is “passive” and “historical” because it is not live real-time tracking.

This is in accordance with the Establishment of Emergency Communications Systems Instrument, 2020 (E.I. 63). The Instrument required network operators or service providers to cooperate with the NCA Common Platform to provide information to State agencies in the event of a public health emergency.

The relevant sections of the law state as follows:

(1) “A network operator or service provider shall cooperate with the National Communications Authority Common Platform to provide information to State agencies in the case of an emergency, including a public health emergency.

(3) A network operator or service provider shall ensure location log files are provided to National Communications Common Platform to facilitate location-based tracking”

All MNOs i.e. AirtelTigo, Glo, MTN and Vodafone, complied with the request for information which was subsequently processed and forwarded to the Ghana Health Service for purpose as stated. There was no objection by any Party in respect of COVID-19 contact tracing data request until an application for injunction order was filed in the courts on (date). The court is expected to decide on the injunction application on June 23.

The NCA would like to assure consumers and the general public that there has been no breach of personal data and privacy in the compliance by MNOs or the MCA to the requirements of law.

The Ghana Revenue Authority has refuted claims that since introduction of the Integrated Customs Management System (ICUMS), the state has lost revenue. Rather, the authority has had its revenue projections on target even with the teething problems that greeted the start of the system on June 1, 2020.

Commissioner General of the GRA, Ammishaddai Owusu-Amoah, observed that the first 17 days of operations raked in some GH¢490million; and the Authority is projecting a billion Ghana cedis revenue by end of the month.

The Commissioner General, addressing the media last week, was specific that the authority will not be losing revenue as is being highlighted by some sections of society. GRA, he indicated, is putting in all efforts to address all the challenges that are being recorded to ensure efficiency of the system.

All said and done, it is heartening that the GRA has set up a call-centre to receive and address all challenges faced by stakeholders. Rev. Ammishaddai Owusu-Amoah said most of the initial problems are being fixed to allow for seamless operations.

The assurance should douse the doubts that importers/exporters and freight forwarders have expressed over time. Assurances coming from the horse’s own mouth should send the right signals that ICUMS is not hindering operations at the country’s ports, but is rather enhancing efficiency and raking in revenue for the state.

Owusu-Amoah also stated that ICUMS has successfully processed about 53,000 Bills of Entry nationwide.

On demurrage charges, the Acting Commissioner-General said the GRA and Ministry of Trade are engaging relevant stakeholders to see what can be done for cases related to initial challenges in the system.

A prominent financial analyst, the CEO of Dalex Finance Mr. Ken Thompson, believes the Integrated Customs Management Systems (ICUMS) is a good system because it enhances e-governance. He however stated that the way it is being implemented is what’s causing the challenges for stakeholders.

The issue with locked-up pharmaceutical products meant to deal with COVID-19 at the ports because of ICUMS has to be resolved, so that the drugs do not expire and incur extra cost to the state. It is also timely that the GRA Commissioner General has cleared the air about the operations of ICUMS, and this should assuage a lot of fears.

Mrs Comfort Owusu, the Executive Director of the Association of Rural Banks Ghana, has called on government to support Rural and Commercial Banks (RCBs) to retrieve locked up funds with the defunct financial institutions whose licenses were revoked.

She appealed to government to consider a tax reduction from 25 per cent to 15 per cent and a tax holiday (2020-2021) to help strengthen the banks to mitigate the challenges they faced, especially during this COVID-19 pandemic.

Mrs Owusu made the appeal at the third edition of the webinar series of Krif Media Limited, publishers of Integrity Magazine, on the theme: “The Effects of Covid-19 on Corporate Ghana” with the focus on rural banks.

Dr Alex Asmah, the Chief Executive Officer of Amenfiman Rural Bank, said the time was ripe for government to consider a concessionary tax arrangement for the RCBs as part of the support.

He said such concession would strengthen them to better support the government’s financial inclusion agenda and the fight against extreme hunger and poverty post COVID-19.

Dr Asmah said at the initial stages of the restrictions, there were uncertainties about the future, so most rural and commercial banks switched to risk management mode mainly strategizing to survive the possible impact of the pandemic.

He said after building various risk scenarios the banks came out with strategies to support their customers whose businesses were impacted by the disease.

“It is worth noting that several rural banks have committed resources amounting to several thousand of Ghana cedis to support their communities and the Health Ministry in the form of cash and non-cash items such as PPE towards the fight against the pandemic,” he said.

Dr Asmah said interventions made to support clients in the farming and other sectors included moratoriums on loan repayments, deferment of monthly loan instalment and interest rate cuts from 150–200 basis points, far above the expectations of the Central Bank.

The Reverend Kennedy Okosun, Chief Executive Officer of Krif Ghana Limited and Krif Media, said the series focused on the impact of Covid-19 on rural banks and strategies adopted to mitigate them.

“Rural banks in Ghana have over the years played a very integral role in providing opportunities for microfinance clients, salaried workers, small and medium enterprises and the vast majority of Ghanaians who live outside of Accra,” he said.

He commended rural banks such as Fiaseman, Atwima Mponua, Amenfiman, Ahantaman, South Akyem, Juaben, Atwima Kwanwoma, Amansie West, Odotobri, Kintampo and Akuapem rural banks for consistently featuring in the Ghana Club 100 list for the last five years.

“These webinars create a platform for industry players, stakeholders and the public to redesign their corporate strategies, inform and educate businesses on the steps that will help them excel within this period,” Rev. Okosun said.

The next webinar was scheduled to take place on Tuesday, July 7, 2020 to focus on the “Effects of Covid-19 – The Insurance Industry.”

Rating agency S&P Global has affirmed its ‘AAA/A-1+’ long- and short-term issuer credit assessment of the African Development Bank (AfDB) with a stable outlook

The rating agency positively assessed the Bank’s very strong financial risk profile, very strong capital adequacy, strong funding and liquidity, extraordinary shareholder support, and adequacy of its governance and management.

“We are therefore affirming our ‘AAA’ long-term issuer credit rating on the AfDB,” S&P Global stated.

The rating agency noted the Bank’s $115 billion capital increase, approved by shareholders in October 2019, and the replenishment to the African Development Fund, the Bank’s concessional window, in December 2019.

“The stable outlook reflects our expectation that, over the next two years, AfDB will prudently manage its capital while maintaining solid levels of high-quality liquidity assets and robust funding,” S&P Global said in a statement.

S&P expects that “shareholders will remain supportive by providing timely capital payments”; the Bank “will continue benefiting from preferred creditor treatment (PCT); and “prudently manage growth in private-sector lending in a way that’s aligned with its mandate.”

The rating agency’s report further noted that the “AfDB will play a key role in supporting the region, particularly in the context of COVID-19. The institution approved an up to $10 billion relief package for 2020, of which $6.9 billion will be financed by AfDB and the remainder through its concessional lending window.”

The President of the Bank, Akinwumi A. Adesina, said: “We are delighted with and welcome S&P Global’s decision to affirm the Bank’s AAA/A-1+ rating. It reflects the Bank’s very strong financial position and risk management, as well as our sound governance.

We will continue to maintain these standards, with the strong support of all our shareholders, as we deliver much needed financial, knowledge and policy support to our regional member countries during and after this period of the COVID-19 pandemic.”

Oil prices were steady on Monday, supported by tighter supplies from major producers but held in check by concerns over a record rise in coronavirus infections worldwide that could stall a recovery in fuel demand.

Brent crude rose 10 cents, or 0.2 per cent, to $42.29 a barrel by 0826 GMT, while US crude for August delivery was at $39.87 a barrel, up 4 cents, or 0.1 per cent.

South Korea said on Monday for the first time it is in the midst of a ‘second wave’ of the coronavirus. The World Health Organization reported a record increase in global coronavirus cases on Sunday, with the biggest increase from North and South America.

“Infections are rising in key markets around the world and there are valid concerns that the world is in for a prolonged period of dealing with its consequences,” said Rystad Energy’s head of oil markets Bjornar Tonhaugen. Oil prices have been supported by a recovery in fuel demand globally following a collapse in April-May during virus shutdowns, as nations worldwide resume economic activity. Signalling a recovery in global markets and tighter supplies, Brent has moved into backwardation, where oil for immediate delivery costs more than supply later.

Both contracts rose about 9 per cent last week. However, after weeks of rising, prices of physical oil have begun to ease, traders and analysts say, as the rally succumbs to the reality of poor refinery margins and brimming storage tanks.

“I find it more difficult for oil to move higher at this point, especially with the growing concern about second-wave contagion,” said Howie Lee, an economist at Singapore’s OCBC Bank.

In Canada and the United States, the number of operating oil and natural gas rigs fell to a record low last week, even as higher oil prices prompt some producers to start drilling again.

The OPEC+ group, consisting of the Organization of the Petroleum Exporting Countries and its allies, including Russia, has yet to decide whether to extend a record supply cut of 9.7 million barrels per day (bpd) for a fourth month in August.

However, Iraq and Kazakhstan pledged to comply better with oil production cuts during an OPEC+ panel on Thursday.