Monday, 30th May, 2022

Page 10
Vice President,
Dr Mahamudu
Bawumia, has
advised the African
Development Bank
(AfDB) to explore the issuance
of security indexed investment
bonds to raise funds to combat
increasing insecurity on the
continent.
He also urged the bank to
pursue the strategic decision of
the European Union on Special
Drawing Rights to drive Africa's
recovery and transformation
effort while enhancing the
capacity of countries to protect
investments and livelihoods.
He said the plan of the EU
to make the AfDB the delivery
Head of Investment
Banking at Stanbic
Bank Ghana, Kobby
Bentsi-Enchil, has
called on West
African countries to embrace
collaboration and consultative
efforts to improve access to
finance in the subregion.
He said this at the opening of
the West Africa capital Market
Conference
(WACMaC) at Movenpick
Ambassador Hotel in Accra.
Speaking on the topic
“Access to finance via crossborder
listings on stock and
fixed income exchange,” Kobby
Bentsi-Enchil said across capital
markets in
West Africa, the challenges
facing cross-border listings are
basic and this requires uniform
standards to address them.
“The challenges across
the capital markets are
fundamentally the same, marked
by lack of uniformity of
standards, lack of market depth
and currency fungibility issues.
Also, lack of harmonization
in regulation across markets
regarding financial reporting,
prospectus disclosures,
Business
Bawumia supports AfDB
aggressive resource
mobilisation drive
vehicle for SDR on the continent
was laudable as the bank could
leverage these resources to raise
funds.
“The success of these
endeavours will be crucial in
sustaining the commendable
efforts of the bank to improve
Africa's preparedness and
resilience for possible future
global supply chain disruptions
and health emergencies,” he
said
Ḣe made the remarks at the
closing ceremony of the AfDB
Group Annual General Meeting
(AGM) which was held on the
theme: “Achieving climate
resilience and a Just Energy
Transition for Africa”.
DAILY ANALYST Monday, 30th May, 2022
Dr Bawumia noted that
increased access to funding
impacted how countries
optimise the fourth industrial
revolution to create a resilient
knowledge and database as well
as the capacity to upgrade health
systems and fight pandemics.
He, therefore, commended
the Board of Governors of
the bank for the foresight in
endorsing the broad framework
for the bank strategic outlook
from 2023 to 2032.
“It would be critical that
through this strategic plan, the
AfDB will work closely with the
EU Commission and other sub
regional institutions to urgently
operationalise and grow the
Accessing finance in West Africa needs
collaborative efforts - Bentsi-Enchil
corporate governance, rating
considerations and free float
and valuation requirements are
critical challenges the must be
tackled head on,” he noted.
He also elaborated on some
of the reasons for the hesitancy
of foreign capital inflow into
domestic markets in West Africa.
He mentioned unattractive
returns on investments, capital
controls and convertibility
risks, lack of robust continuing
disclosure standards, limited
access to current real time
information and relative
illiquidity in the secondary
markets as some of the main
reasons for the hesitancy in
foreign capital inflow.
In addressing these
challenges that confront
West Africa’s capital markets,
Bensti-Enchil advocated for
collaboration among key
stakeholders across
the various countries.
According to him, “Collaboration
and collaborative efforts are
critical to improving access
to finance. There must be
coordinated efforts between
Ministries of Finance within
jurisdictions to encourage
potential issuers to pursue
cross-border listings. Member
countries should also consider
increased collaboration on
issuer solicitation, information
sharing, regulation and
reporting standards as well as
concessions on fees and levies.”
“There is also the need for
regional bourses to explore
collaboration with multilateral
institutions and global stock
exchanges while engaging in
consistent investor
education to enumerate benefits
of investing in cross border
listing. Also, leveraging the
benefit of AfCFTA’s Pan-African
Payment and Settlement System
(PAPPS) is one key tool that could
facilitate regional integration,”
he added.
The two-day conference is
being organized by the West
African Securities Regulators
Association (WASRA). WASRA is
the regional body for Capital
Market Regulators in West
Africa with the mandate of
facilitating cooperation and
consultation among capital
markets in the West African
region.
The event, which is
being held under the theme
“Deepening and strengthening
the capital markets across
West Africa through effective
regulation”, brings together
relevant stakeholders and
experts including regulatory
agencies, market operators,
inter-regional economic
bodies, academics, etc., to share
experiences and deliberate on
best practices to improve West
Africa’s Capital Markets.
WACMaC is a biennial event
that seeks to present the West
African region and indeed Africa
as a whole the opportunity to
address important issues related
to the orderly growth and
development of the regional and
continental capital markets.
African Financial Stability
Mechanism. This will enhance
protection for our economies
from future shocks and enable
us to join the list of regions
with such economic buffer
arrangements," he said.
“It is my view that a
successful implementation of
this strategic plan will draw the
continent closer to achieving the
goals of agenda 2063 and build
the Africa we want amongst
others,” he said.
The Immediate past
Chairperson of the Boards of
Governors, Mr Ken Ofori-Atta
said the exigencies of rising food
and fuel prices amid limited
financing tools caused by
elevated debt levels demanded a
holistic approach to help the 1.3
billion African population.
Mr. Dominic
Opoku Fofie,
Audit Committee
Member of
the Health
Accounting Staff Association of
Ghana has advised Ghanaians to
lower their expenditure to meet
the increasing cost of living in
the country.
He said the economic
challenges in the country had
some severe consequences on
the financial stability and wellbeing
of citizens.
Mr. Fofie who gave the advice
in an interview with Ghana
News Agency in Tamale stated
that many citizens were now
struggling to pay for essential
needs such as food, energy, fuel,
“I am particularly proud that
we laid down our self-interest
and focused our discussions
on collectively breaking the
injustices and inequities of the
global financial architecture,”
he said.
Dr Akinwumi Adesina, the
president of the AfDB Group,
said the bank had decided to
allow the African Development
Fund (ADF), which marked its
50th anniversary, to tap the
international markets using its
accumulated equity of $25 billion
to raise $35 billion.
“ADF going into the market
is good for Africa. is good for
the development is good for
the donors because it leverages
donor’s taxpayers. Money to
deliver greater value and it is
good for debt sustainability,” he
said.
Expert advises public
against high expenditure
and transport due to the high
cost of living.
He said most citizens were
also struggling to make ends
meet or simply want to save a
little more money and called on
all to consider taking various
measures that would help them
to reduce their spending.
Mr. Fofie advised the
citizenry to keep track of their
spending habits to know where
their money was going as one of
the ways to check unnecessary
expenses.
He said it was important for
citizens to also start planning
for the future, which could also
reduce the financial burden on
them.