Implications of the Recent Utility/Fuel Price Hikes on the Ghanaian Economy Reflections on Recent Developments and Regulatory Directives in聽Microfinance
17th聽February 2016 Sasakawa聽Conference Centre
黑料社Implications of the Recent Utility/Fuel Price Hikes on the Ghanaian EconomyImplications
鈥⒙犅犅犅�聽聽 Government 鈥撀犅犅犅犅� Increase in Revenue for Development 鈥撀犅犅犅犅� Provisions and Availability of Utilities 鈥撀犅犅犅犅� Financial Sustainability of the Utility Sector 鈥⒙犅犅犅犅犅犅�Households 鈥撀犅犅犅犅� Increase in cost聽 (Transportation,聽 Commodities etc) 鈥撀犅犅犅犅� Reduction in Real聽 Income (Spending) 鈥撀犅犅犅犅� Increased Unemployment 鈥撀犅犅犅犅� Decrease in Welfare 鈥⒙犅犅犅犅犅犅�Industry 鈥撀犅犅犅犅� Increase in Cost of Production (labour聽and capital ) 鈥撀犅犅犅犅� Low Productivity聽 and聽 Low Profits 鈥撀犅犅犅犅� Redundancy (lay-off聽 of workers) and Closure of firms Recommendations 鈥⒙犅犅犅犅犅� Revenue 鈥撀犅犅犅犅� Widening the tax base -聽 more of the informal sector 鈥撀犅犅犅犅� Block leakages and wastages ( wasteful activities and corruption) 鈥⒙犅犅犅犅犅� Utilities 鈥撀犅犅犅犅� Key energy-intensive industrial firms must be encouraged to adopt newer technologies that help to reduce the energy-intensity 鈥撀犅犅犅犅� Review the current electricity tariff structure (reduction in subsidization聽 of non-productive sector 鈥撀犅犅犅犅� Reduction in distribution losses and improvement in efficiency 聽
Reflections on Recent Developments and Regulatory Directives in聽Microfinance聽Developments
鈥⒙犅犅犅�聽聽聽The聽microfinance聽sector at a crossroads (From Micro to Macro) 鈥⒙犅犅犅犅犅犅燣andscape has changed considerably 鈥撀犅犅犅犅� More heterogeneous, Entry is confused , Regulation is Confused 鈥撀犅犅犅犅� Funding landscape has changed,聽MFIs聽Numbers have increased 鈥撀犅犅犅犅� Real Competition聽 is still missing 鈥⒙犅犅犅犅犅� Results and Implications 鈥撀犅犅犅犅� Non-performing loans 鈥撀犅犅犅犅� Withdrawal of deposits as a result of panic and lost of confidence 鈥撀犅犅犅犅� Increase in default (delinquency) 鈥撀犅犅犅犅� Moral Hazard 鈥撀犅犅犅犅� Public Panic and Outcry The way forward 鈥⒙犅犅犅犅犅� Government Responsibility - Guarantee -聽 embedded in the regulation 鈥撀犅犅犅犅� Embargo on the Start-up of聽MFIs/Operations 鈥撀犅犅犅犅� Improvement Risk Management Systems 鈥撀犅犅犅犅� Improvement of Institutional/Governance Structures 鈥撀犅犅犅犅� Training and capacity building - standardized. 鈥撀犅犅犅犅� Improvement of Market infrastructure 聽 聽 鈥⒙犅犅犅犅犅� Credit referencing: 鈥⒙犅犅犅犅犅� Consumer protection 鈥⒙犅犅犅犅犅� Deposit protection 鈥撀犅犅犅犅� Rebuild Confidence in the Sub-Sector (educational campaigns, rating of institutions, credit bureaus) 鈥撀犅犅犅犅� Improving Financial Literacy Summary 鈥⒙犅犅犅犅犅� The hikes in the utility and fuel prices have negatively affected the welfare of the citizenry. 鈥⒙犅犅犅犅犅� The recent developments in the聽Microfinance聽sector have negatively affected the finances of the clientele of the dubious Institutions 鈥⒙犅犅犅犅犅� Government policies should always seek to maximize the welfare of the citizenry聽