DEVELOPMENT OF AN ORGANIZED COMMODITIES EXCHANGE/MARKET IN GHANA

On Monday 5th May, 2008, the Securities and Exchange Commission, Ghana, formally signed a contract with the Natural Resources Institute of the United Kingdom (A Consultancy wing of the University of Greenwich) to undertake a feasibility study leading to the establishment of a Commodities Exchange/Market in Ghana.

The study among other things would entail a comprehensive study of the entire Agricultural Supply and Value Chain in the country, the state of warehousing systems and Agricultural Financing. It will also explore areas of grading and standardization as well as the macro environment and its impact on agriculture in Ghana. The feasibility of employing a Warehouse Receipt System as part of the proposed Commodities Exchange/Market would also be explored during the study.

The consultants have been tasked to develop a comprehensive public education and stakeholder training programme and a 5-year Strategic/Business plan for the proposed exchange. They are also required to recommend the best model for a Commodities Exchange that will be suitable for Ghana and its Agricultural systems.

The project, which is being financed by the World Bank and the Government of Ghana under the country’s Financial Sector Reforms Programme, will initially lay emphasis on soft commodities with a scope to embrace the possibility of trading in other commodities such as metals, other minerals and energy products including crude oil.

The next phase after this project is to develop a comprehensive legal and regulatory framework for the proposed Commodities Exchange/market and this will be based on the outcome of the feasibility study.

CIRCULAR TO ALL DEALERS AND INVESTMENT ADVISERS

SEC/CFIM/FORM/04-08

With effect from May 1, 2008 the attached list of SEC forms which are required to be completed and submitted for various applications/requests and returns shall be on sale at the prices indicated. Applications and returns not submitted on these forms shall not be processed. Please click here to view and download the attachment.

Ekow Acquaah-Arhin

Deputy Director-General(Finance & Admin.)

PRESS STATEMENT-REVOCATION OF LICENCE

REVOCATION OF INVESTMENT ADVISOR AND BROKER-DEALER LICENSES OF CAPITAL ALLIANCE COMPANY (CAC) LIMITED

The Securities and Exchange Commission (SEC), the apex regulatory authority for the Capital Market, has with immeditate effect revoked the licences of Capital Alliance Company(CAC) Limited. Capital Alliances Company Limited (CAC) therefore ceases to operate as a brokerage and investment adviser in the securities market. This action follows persistent non-compliance with Securities Industry Laws, Rules and Regulations, as well as the Ghana Stock Exchange (GSE) Rules approved by the SEC in 2007.

Despite levies of penalties, Capital Alliance Company Liimited (CAC), has persistently failed to submit regular returns to the COmmission in violation of the SEC regulation L.I. 1728, 2003 which makes it leggally obligatory for broker-dealers and investment advisers to submit, monthly, quarterly and annual returns to the SEC to enable the SEC maintain proper surveillance over activities in the Securities to ensure orderly, fair and equitable dealings. This is to create the necessary atmosphere for the orderly growth and development of the capital market

The CAC has purported to change its business name, ownership structure and directorship without notice to the SEC in violation of Regulation 18 of L.I. 1728.

"Each stock exchange, dealer, investment adviser, dealer's representative and investment representative shall notify the Commission of any change of particulars from those submitted in the application for a licence and any further change within fourteen days of change".

The Commission has given every opportunity to CAC to show cause why its licence should not be revoked. CAC has not been able to offer any reasonable explanation. The SEC has therefore revoked its licence with immediate effect.

In view of these violations and subsequent revocation of licenses, The Securities and Exchange Commission therefore wishes to inform the public that any person or an entity that transacts business with Capital Alliance Company Limited does so at his or her own risk.

Dr. Nii Sowa Appoint Director-General of SEC

His Excellency the President has, on the advice of the Securities and Exchange Commission in consultation with the Public Services Commission, appointed Dr. Nii Kwaku Sowa as the Director-General of the Securities and Exchange Commission.

Dr. Sowa has been a Commissioner at SEC since 2002 and since August 2005 has been acting as the Director-General of SEC.

An economist by training, Dr. Sowa has several years teaching and research experience in Economics and Development Policy.  He lectured at the Department of Economics at the University of Ghana, Legon where he made immense contribution to training and research as the head of the Department. He joined the Centre for Policy Analysis in 1996 as one of its Core Research Fellows.

He has held several international lecturing and research positions at highly reputable foreign institutions including Oxford University, the University of Warwick, and the Overseas Development Institute, all in the UK. He has also been a visiting scholar to the Research Department of the IMF. 

Dr. Sowa has published widely in academic journals and books, mostly in the areas of Money and Banking and Economic Policy Management issues. His academic writings have won him recognition around the globe. In 1997, he was named the First Michael Bruno Visiting Fellow to the World Bank for his research contributions in understanding inflation. Earlier his work on Monetary Control in Ghana had won the Ghana Academy of Arts and Sciences best academic article award in 1991.

He has served as an economic consultant to several international organizations including the World Bank and the United Nations Economic Commission for Africa (UN-ECA), as well as the development agencies of most of Ghana’s major development partners.

Dr. Sowa is also a member of the Monetary Policy Committee of the Bank of Ghana.

Relocation of the Offices of the Commission

The Securities and Exchange Commission wishes to inform all market operators, valued clients and the general public that it is relocating its present offices from the first floor of the State Enterprises Commission Building at the Ministries, Accra to No. 30, 3rd Circular Road, Cantonments.

The new offices are located near the American Embassy and approximately 400 yards from the French Ambassador’s residence. Directional signs will be placed at strategic points in the vicinity to aid persons desirous of accessing the new offices.

Additionally, a directional map will be published in the national dailies before Christmas.  Our new office telephone and facsimile numbers are as follows:

                  233-21-768970
                        233-21-768971
                        233-21-768972

We regret any inconvenience that may be caused during this period of relocation.

Thank you for your continued co-operation.

JULIANA AMONOO-NEIZER (MRS.)
(BOARD SECRETARY)

GHANA AMONG TOP TEN REFORMERS
According to a World Bank/IFC Ranking of 178 Nations on the "Ease of Doing Business"

Ghana ranks among the top 10 "reformers" worldwide who have made the most significant advances in the aggregate ease of doing business, according to the annual 'Doing Business' report released by World Bank and the International Finance Corporation(IFC).

Ghana is ranked 87th out of 178 economies in the ease of doing business. Click here for detailed report

Ghana, a top 10 reformer for the second year running, continues to increase the efficiency of its public services. It cut bottlenecks in property registration, reducing delays from six months to one. Greater efficiency at the company registry and the environment agency cut the time for business start-up to 42 days. Changes in the port authority?s operations sped up imports. New civil procedure rules and mandatory arbitration and mediation reduced the time it takes to enforce contracts.

The yearly report that tracks business reforms globally, lists only two African countries -- Ghana and Kenya -- in the top 10. High marks also go to Madagascar, Mozambique, Madagascar and Burkina Faso.

Singapore once again topped rankings for the best place in the world to do business, and Egypt is the leader in reforms to invite more business.

However, across the Sub-Saharan region, the report said business reforms are uneven, with six African countries occupying the last six positions in the list of 178 countries judged according to ease of doing business.

The IFC report, which looks at how government bureaucracy can affect, and often limit, business environments, also gave high marks for making it easier to conduct business to Croatia, Macedonia, Georgia, Colombia, Saudi Arabia, China and Bulgaria.

Doing business in Africa was once perceived as a difficult and complex undertaking. The reasons: the numerous processes associated with conducting business, combined with a fragile investment climate and inadequate infrastructure.

But, with fewer conflicts, more democratic elections, and economic growth rates that gradually have begun to compete with those of other developing regions, Africa is proving itself again a continent of positive change.

Developing nations compete with one another to move up on the World Bank rankings of 178 nations, figuring a better ranking will mean additional investment and, ultimately, economic growth.
The report also becomes a way for the World Bank's private-sector unit, International Finance Corp., to encourage economic ministries to press ahead with market-friendly changes. A computer simulation model on a World Bank Web site, www.doingbusiness.org, lets officials see how changes in, say, their bankruptcy or tax rules would likely affect their standings.

Among the 10 areas tracked by the World Bank are regulations involved in starting businesses, obtaining licenses, registering property, getting credit, paying taxes and closing businesses. .

REDENOMINATION OF THE CEDI  

SEC CIRCULAR:  SEC/LED/MG-circ/0807/001

ALL PUBLIC COMPANIES, LISTED AND UNLISTED

GHANA STOCK EXCHANGE  

ALL LICENSED OPERATORS

All licensees and market operators are advised that with effect from 1st September 2007, all cedi quotations in communications, returns etc. to the Securities and Exchange Commission are to be quoted in the new Ghana Cedi  (GH¢).

Dated at the Securities and Exchange Commission, Accra this 28th Day of August 2007

PRESS RELEASE 

SOD CUTTING CEREMONY FOR THE CONSTRUCTION OF A NEW OFFICE BUILDING FOR THE SECURITIES & EXCHANGE COMMISSION, GHANA

In view of the rapid growth and dynamic nature of Securities Industry (The Capital Market) and the envisaged vision of government to make Ghana an International Financial Services Centre (IFSC), it has become necessary for the Securities and Exchange Commission (SEC) to have its own office premises with the aim of effectively regulating the industry.

In connection with the above objectives, the Ministry of Finance and Economic Planning and the Government of Ghana have assisted the Securities and Exchange Commission to acquire the former Ghana Airways Club House, Cantonments, Plot No. 20, 3rd Circular Road, near the new American Embassy. A sod cutting ceremony performed by the Minister of Finance & Economic Planning Hon. Kwadwo Baah Wiredu  on
Friday, August 10, 2007 was meant to commence the construction of an office building for the Securities and Exchange Commission.

Over the years the Securities and Exchange Commission has been constrained by limited office space to expand its activities for effective regulation of the Capital Market. The new office complex will have expanded sections for Market Surveillance, Corporate Finance & Investment Management, Legal & Enforcement, Market Development and other departments to facilitate the effective enforcement of Securities Industry Law, Rules & Regulations for efficient functioning of the Securities (Capital) Market.

This assistance provided by Government and particularly by Ministry of Finance & Economic Planning will go a long way to help the Securities & Exchange Commission to effectively fulfill its statutory mandate and functions required of the Commission towards the attainment of the fundamental objective of Government of making the private sector the engine of growth for Ghana’s Economy.


Issued By Securities & Exchange Commission (SEC).

PUBLIC NOTICE 

The Securities and Exchange Commission, Ghana, SEC would want to bring the following legal actions to the notice of the public;

1. SUIT No. AP22/2006 REPUBLIC V. SEC: EX PARTE THINK GHANA

The Securities and Exchange Commission contested an application for Mandamus brought against it in March 2006 by Think Ghana Ltd. in the case of Republic v. SEC: Ex Parte ThinkGhana.

Read More ...

2.  SUIT NO AC 117/04  YEBOA AMOA V. SECURITIES AND EXCHANGE COMMISSION

The Securities and Exchange Commission is involved in the case of Suit No AC 117/04 - Yeboa Amoa v. Securities and Exchange Commission pending before the Automated Court.

Read More...

Notice to Compliance Officers
Meeting With The Commission

The Securities and Exchange Commission of Ghana is organizing a one day meeting for all Compliance Officers of licencees. This meeting is aimed at informing the Compliance Officers of the expectations of the Commission with regard to their operations in order to facilitate the regulation of market operators.

The meeting will cover the following subjects:

1. The role of Complaince officers in a licenced organization
2. The Compliance Officer's report
3. Common infrastions by market operators
4. Sunbmission of returns. 

The meting will take place at the Commission's premises on Wednesday 16th May, 2007 at 10:00 AM

SIGNED

Emmanuel Mensah-Appiah
Head-Market Surveillance Department

Notice to Market Operator
Renewal of Licenses (SS 48-52 PNDCL333; SS 17 and 19 LI 1728)

Licences issued for investment advisors and dealers and their representatives expire on June 30 annually.  Renewal requests should be sent to SEC a month prior to expiry and should be accompanied by the following

1. renewal fee
2. complete application form (for dealers, investment advisors and their representatives),
3. certified copy of audited accounts,
4. tax clearance certificate, 
5. certified copy of register of interest.

Incomplete applications submitted would not be accepted and would be considered as non-renewal.  Penalties would be imposed with effect from July 1, annually. ...click here for details

GSE All-Share Index inches up

The GSE All-Share Index, the benchmark index of the Accra bourse, on Thursday inched up in active trading that saw 1,213,400 shares changing hands.The Index went up by 0.57 points to 5,010.26 points on the strength of two price changes, a 104 cedis gain by PZ Cussons Ghana Limited (PZ) to end trading at 7,100 cedis and three cedis gain by ECOBANK Ghana Limited to end trading at 13,551 cedis...click here for details

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