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Ghana the race to the flagstaff house



– Ghana’s Economic Prospects

As the countdown to Election Day continues, momentum and anxiety are gradually building up to a crescendo. The Vaultz Magazine has chosen to focus its third quarter edition on Ghana’s upcoming elections.

In a bid to contribute our quota to the intellectual discourse and analysis, TVM has highlighted the critical sectors of the economy and their corresponding challenges that the next government must proffer pragmatic and cost-effective solutions to holistically address them. A few recommendations have also been offered.



The country’s economy has been stuttering from the effects of volatilities in commodities and in capital inflows. With expected revenues from oil falling by as much as 45% from a high of $110 per barrel in 2014, to $75 in the latter of 2015, and further falls to below $50, representing three (3) year lows, the projections of oil based revenue have diminished.

It is quite obvious that Ghana was relying too much on proposed revenue without looking much into diversification of the economy, almost falling prey to the Dutch disease in the process.

Another major niggling negating factor has been a fall in the international price of cocoa, one of Ghana’s highest foreign exchange earners. Sharp drops in combined growths from 13.5% in 2013 to half of that in 2014, and the shrinking of growth further to 4.9%, is a clear indicator of poor year on year growth in GDP, in spite of increased government debt from both local and international capital markets.

The freeze in capital meant very little in terms of local savings and therefore local investments. Most government activity was in the way of heavy borrowing, with some borrowing rounds being undertaken just to pay off previous debts.

The country faces a high risk of debt sustainability as the overall debt vulnerabilities have increased and the country’s debt service to revenue ratio has approached high risk levels.

The underlying cause of this high debt levels has been loose fiscal policy, deteriorating financing terms and external pressures. What makes a bad situation worse than the 70% debt to GDP ratio is the dogged insistence and dependence on bonds as a means to fuel the spending of the government. It appears that there is still no restraint in this regard.

If anything, the adamant refusal to cut off a lot of waste in national spending and the raw devil-maycare attitude will not bode well in the very near future. The efforts to restore macroeconomic stability and debt sustainability are ongoing.

Structural reforms in public finance is required, so that gains achieved in fiscal consolidation will be maintained over the medium term and fiscal discipline becomes more entrenched in successive periods.

The diversification of some of the national payroll sector activity and the devolution of activity like healthcare and education to the regional and district level, coupled with some local level management will actually do much to benefit the government if it’s rather invested into creating a sustainable system and the right structures for the implementation of such a model.

A radical shift in the philosophy of government expenditure will be the only savior to the country’s fiscal malfeasances. The government can only make progress if it decides to slash spending on many unproductive areas and reduces its present size. There cannot be any way the centralized administrative process will work with its multiplicity of loopholes which are even more difficult to find because of the size of government operations.


The relevance of the energy sector as a catalyst for economic development cannot be overemphasized. Energy provision or more specifically adequate energy production in relation to demand has become a recurrent influencer in Ghana’s drive towards sustained economic growth.

In a desperate bid to stave off the acute electricity shortage that had bedeviled the country for more than two (2) years, the duty bearers resorted to emergency power plants, which are a more expensive alternative. More worrying, were the opaque dealings that surrounded the procurement of these power barges.

Aside the power barges arriving later than anticipated, the contractual and financial terms that were negotiated in the procurement of these power barges, have largely been strongly criticized by civil society as failing value for money considerations. The Power subsector is fraught with enormous financing challenges.

Aside the problem of securing project financing, procurement of fuel has also become difficult due to the financial problems of the state power generator, Volta River Authority, which also supplies fuel to the independent power producers.

It has been estimated that the utilities will require about US$1.18 billion to purchase fuel in 2016. This will increase to about US$1.5 billion in 2017 if indigenous and imported gas supply does not improve.

The mounting debts of State utilities have the potential to collapse the entire Power subsector. Government is unfortunately the largest debtor to these utilities, making the retrieval of these funds more difficult.

The utilities also owe the West African Pipe company (WAPCo) and Nigeria Gas Company (N-Gas) over $160 million, culminating in the disconnection of gas supply into the country.

These developments portend the comeback of power rationing, and its debilitating effects on individuals and industries. The technical and operational inefficiencies in the power subsector have been associated with frequent power outages, power fluctuations, low staff morale, poor procurement practices and poor customer service.

To improve on these challenges, the government has resorted to the Millennium Challenge Corporation via the second compact, for the partial privatization of the Electricity Company of Ghana and a Management Contract for the Northern Electricity Distribution Company.

This initiative has faced strong opposition from the subsector’s Labour union. Despite the elimination of subsidies, several levies and taxes have been slapped onto electricity tariffs. These levies included the Energy debt recovery levy meant to facilitate debt recovery of the downstream petroleum sector foreign exchange underrecoveries and also facilitate power generation and infrastructure support.

While these new levies could be attributed to foreign exchange fluctuations, it is also pertinent to examine what the government wishes to do with the fuel related levies that make for over 50% of the ex-pump prices.

Though economic tariffs are necessary for the attraction of private investments, the need to protect the poor cannot be overlooked if energy is to become an input for poverty reduction. There is no consensus on the optimal level of tariffs. Utilities opine that tariffs are lower and not cost-based, consumers see tariffs to be too high.

The TEN fields has come on-stream and is expected to drive economic growth in Ghana through the marketing of our crude oil and boosting gas supply to generate power for industrial and domestic use. The Sankofa-Gye Nyame field is also expected to deliver first oil in August 2017 and first gas in February 2018 to augment thermal power generation that will ensure sustainable electricity production.

These two fields will increase production of crude oil above 200,000 barrels a day, with corresponding increment in government petroleum revenues. Nearly a decade after discovering oil in commercial quantities, Ghana’s passed the Exploration and Petroleum Bill, 2016 into law.

The new law repeals the Petroleum (Exploration and Production) Act, 1986, PNDCL 84, to streamline operations in the oil and gas sector, adds on to the Jubilee oilfield which began commercial production of oil in 2010.

There is the need for an efficient regulatory regime that balances the need for investors’ reasonable returns on investments with the protection of consumers through the provision of quality services, uninterrupted and affordable power must be seriously considered.

Increased petroleum revenues will only benefit Ghanaians, if they are managed efficiently. It is imperative that the investments are targeted at strategic economic areas rather than the thin distribution that has been witnessed during the past five (5) years.

Also, the pro-poor sectors should receive significant portions of petroleum revenues, as they serve as a cornerstone for poverty alleviation. Crucially, the elimination of financial indiscipline would go a long way to protect the integrity of petroleum revenues.

These can be achieved despite the absence of a long term development plan. It is essential that the Power subsector is stabilized by increasing electricity generation capacity and expanding the transmission and distribution network.

A coherent programme to address the perennial financial challenges in a sustainable manner is also needed. A restructuring of the state utilities is required to ensure that they are technically and operationally efficient. It is also hoped that a more open and less restrictive regime on solar technology be aggressively pursued. This means exemptions of duties and taxes on solar batteries and panels and all accessories, as against the policy that exists at the moment that are far from coherent.

It is expected that the existing restrictions that insist on solar providers having to register before practicing their trade does not bode well for ease of entry into business, which means that favored companies could easily corrupt what is a crucial space.

An open approach will ensure that cheaper and newer technologies in alternative energy would be explored and the marketability and suitability of these will become the right competitive advantages to build up such a nascent but crucial sector that could potentially fill the gaps in national grid energy shortfalls.


The recent power crisis coupled with illconceived economic policies and activities have influenced the crippling of many manufacturing firms in the country. The manufacturing industry’s contribution to Gross Domestic Product (GDP) has been continuously declining over the years.

Aside energy issues, multiplicity of taxes, excessive port charges, high cost of credit, technical challenges and unavailability of market have all contrived to the bleak nature of the industry. This has led to renewed calls by several business associations for a coherent development of the country’s industrial sector.

Recently, industries involved in the production of cement, rice, poultry among others have raised huge concerns at the impact of foreign companies who are exploiting the Ghanaian market as a result of ECOWAS or world trade liberalization policies.

The establishment of an Exim bank by government to provide funding to exporting businesses is a commendable intervention. However, such initiatives must be backed by clear cut policy guidelines toward meeting the objective of improving economic growth.

The country’s industrial policy launched in 2011, with its implementation over a five year period was expected to create an enabling environment for businesses particularly industry and manufacturing to be robust.

Despite the policy document, stating the setting up of one billion Ghana cedi fund to accelerate the industrialization agenda, there’s not been much activity six years after. Industrialization is a core function of development and must be the priority of any government.

It may appear that the battle is not yet over in attaining an industry driven economy as Ghana hinges its fortunes on volatile sectors such as Oil and Gas.

There is the need for a deliberate and concerted effort on the part of government to support the manufacturing sector to grow. This will also require the contribution of other stakeholders. It is crucial that our local industries exploit the bilateral and multilateral agreements that are available to the country.

The Economic Partnership Agreement (EPA) which opens up access to the European market offers a huge market for Ghanaian non-traditional exports, provided they meet the required standards. Ghanaian industrialists can also harness the opportunities offered by other protocols such as ECOWAS Trade Liberalization scheme.


Ghana’s agriculture sector is seriously under-resourced, despite employing the largest labour force. The sector, which is predominantly rain-fed, makes significant monetary contributions to the local economy but analysts believe it can do more if the necessary funding support is given to the sector players which is lacking at the moment.

This significant gains made in the agriculture sector of developed economies are mainly attributed to the effective policies in place which makes funding accessible to farmers and all stakeholders involved in the agriculture value chain. Unfortunately, the same cannot be said about Ghana, with agriculture sector lagging behind the Services and Manufacturing sectors.

The Ghana Statistical Service estimates that the agriculture sector will grow at an average of 3.3 percent between 2016 and 2018, this is clear evidence of declining sector as Services and Industry sectors knock agriculture from it long held position as being a significant contributor to Ghana’s GDP. Support from successive governments to the sector has been abysmal.

The total expenditure by government in the agriculture sector for 2016 was cut by GHS 40 million despite the sector’s decline growth of 0.04 per cent. With a growth target of 3.6 per cent much needs to be done to achieve this and analysts believe slashing the budget for agriculture is not the right move to make. In terms of support for the provision of needed inputs, there was no fertilizer subsidy in 2014.

In the subsequent year, only 90,000 metric tonnes of fertilizer out of the needed 180,000 metric tonnes was distributed to farmers. Most of Ghana’s agriculture activities are subsistence with little or no funding support from government or the private sector.

Land acquisition, poor irrigation activities, access to fertilizers and farm implements, access to markets and storage facilities and post-harvest loses are the problems effective funding can solve in Ghana’s agriculture sector.

Cocoa trees are already growing very old, and more are below peak production levels, yet new cocoa seedlings are not meeting the right level of demand to replace older trees. It has been reported that some farmers are selling off their cocoa farms to illegal miners, thereby reducing the country’s cocoa yield for this year. Very little has been done to energize and assist smallscale farmers and boost food sufficiency in Ghana.

Over GHS 25 million was wasted in the form of agricultural assistance to farmers via shady government initiatives. The sector needs a more businesslike approach towards its policy formulation, in order to keep its agriculture afloat and not gain marginal increases in growth annually, considering the prominent role it plays in the national narrative.

This will require programs that are centered on motivation for increased mechanization, more scientific methods and a growth and export driven philosophy. Also, a cross-sectoral facilitation between the ministry of Trade and Industry and the Ministry of Agriculture, will help to see agriculture more as a fuel for local small-scale industrialization and not just poverty alleviation.

Private sector players could then be incentivized for investments in the sector in areas with good growth prospects. This can fuel the micro-level industrialization as well as energize that part of the raw material feed as part of that ecosystem for food sufficiency, export activity and agro-based industrial growth.


As an emerging middle-income country and an important player in West African trade, Ghana is graced with a remarkable opportunity to realize continued economic growth, ensure fair access to its growing wealth, and diversify and develop its economic enterprises.

In order to seize this opportunity to ensure genuine prosperity for the next generation, Ghana must rapidly build and maintain its economic infrastructure.

The underdevelopment of domestic transportation, utilities and information technology infrastructure has limited the growth of domestic processing and manufacturing and made the provision of services across distance needlessly difficult. Strong infrastructure is key to prosperity.

Infrastructural development has been a major election expectation since the birth of the nation. As one of the most obvious legacies of a government or regime, they have been at the core of most manifestoes. Most governments in Ghana are hailed the most for their addition to the stock on infrastructure.

It has been estimated that Ghana needs to spend at least US$1.5 Billion annually over the next decade in order to address its infrastructure deficit. To close the infrastructure gap, the government has resorted to a Public Private Partnership (PPP) approach. A PPP has several advantages in the provision of infrastructure and services.

Principally, it enables the government to provide better infrastructure through the use of private sector financial, human and technical resources, thereby freeing government resources for other equally important uses.

Generally, electrification has expanded rapidly, and the expansion of water supply especially in Greater Accra and Ashanti regions. Provision of rural water in other deprived areas has been very encouraging. What needs to be taken into consideration is what plans are being outlined for a sustained growth in the water sector, while maintaining the gains already made.

This will mean also doubling down on wastage that comes from poor maintenance activity and illegal connections, which rid the water provision companies of significant amounts of revenue.

Critical in this sector will be the creation and expansion of routes that link agriculturally productive areas of the hinterlands to urban and peri-urban markets, which would then open up such areas for more aggressive agrobased activity.

Processing and low level manufacturing could also be assisted in the hinterlands by better road networks, which open up such areas for more commercial activity. Overall, there should be a more decentralized approach to infrastructure development.

The investments and the activities involved have very far reaching implications for the localities involved that requires that these investments are suited more towards providing better ecosystems for productivity to support local economic activities.

SOCIAL POLICY Income levels of most economically active Ghanaians are low. A major characteristic of past Ghanaian governments has been one of promising, and in some cases, delivering myriad social interventions aimed at poverty alleviation, among other pressing issues that affect the ordinary Ghanaian.

Of the major promises that Ghanaians have listened to over the years, issues related to stipends for the poor, like the Livelihood Empowerment Against Poverty (LEAP) program, school-feeding project, stability and sustainability of health insurance and other related mother and child issues still remain paramount.

Most Ghanaians have gained directly or indirectly from most of these schemes, and will expect subsequent governments to improve on these offerings, especially in the areas of education and health, which constitute expenditures that most disposable incomes at the family level are spent on.

In light of huge budget expenditure on Education and the subsequent hemorrhaging of the national kitty just to keep social interventions alive, it will be very interesting to see how support of activities like school feeding and other higher stake interventions are handled.

The addition of two more state universities, the University of Health and Allied Studies, as well as the University of Natural Resources is commendable. Efforts to convert 11 polytechnics into technical universities are underway, with the view to increasing focus on advanced technical education.

Unfortunately, these intentions, however desirable on paper, are not going to have impact even in the short or medium term because of a great lack of capacity to run these schools. There is very little strategic focus on developing a vibrant curriculum.

Teachers themselves are very ill-equipped to teach students, most of them being the worst performers in school and choosing teaching as the last option. Until there is some urgency in the quality of actual content of education delivered to children and students, Ghana’s abysmal ratings at the juvenile level in areas like Mathematics and Science, where they were the bottom in 76 countries across the world by the Organization for Economic Co-operation and Development (OECD) in 2015 is quite telling of the dire situation.

Most of the graduates of that 2015 generation will be unleashed on a tottering nation with very little in terms of employable skills, quantitative and qualitative aptitudes and skill sets. This will not only present itself as a huge burden on the economy, but to businesses that will have to spend considerable amounts of resources to retrain them to make them even manageable.

This is also a time when vocational and technical education is far easier and has a higher potential to create more small business opportunities due to increased access to technology and cheaper and better ways to scale from technical vocations.

Funding for studies in these areas will mean the best pool of capable young people who can earn incomes right out of school, and a market for the rapidly burgeoning service industry in Ghana, which would also depend on a lot of this skilled workforce. Most of the challenges outlined above are not new, successive governments have made myriad attempts to solve them.

It is imperative that these innumerable and seemingly intractable challenges are holistically addressed. It is essential in our bid to become a higher middle income economy.

It is our hope that the elections will be held in a fair and peaceful manner, and the final results will be credible and accepted by all stakeholders. We are a beacon of democracy in the sub-region, and we must continue to blaze that lofty trail.

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“Technology, though very important, thrives on distinguished Customer Service” Mrs. Marufatu Abiola Bawuah (Regional CEO, West Africa 1, UBA )



Coming from “not a best of background”, experiencing diverse adversities, selling toffees just to make ends meet greeted her whiles growing up but today, she has weathered the storms to become a regional CEO of a prestigious bank and the first indigenous CEO of a Pan-African bank as well as the first female to be appointed CEO of a bank in Ghana. Under her supervision as the Regional CEO for UBA West Africa 1 are six countries namely Ghana, Liberia, Sierra Leone, Côte d’Ivoire, Benin and Burkina Faso.

Her story is a true reflection of “from grass to grace” and she’s always quick to be grateful to God for bringing her this far.  Coming from an upbringing that birth a resilient achieving spirit in her to a place that gives her the opportunity to rope and encourage others into her success story, Mrs Marufatu Abiola Bawuah (MAB) believes that “whatever we go through in life, good or bad, is usually a platform for tomorrow”.

As the Regional CEO for UBA West Africa 1, she reveals “Banking is borderless and that banking is no longer beautiful walls with paintings”.

Now, forging forward to move her bank to greater heights she embodies a ‘people first rule’ where she strongly has confidence in ensuring that, her customers are topmost priority and her staff are entwined with the vision of the company to give their utmost performance.

Industry (Economy) Focus

TVM: With your vast experience in banking on the continent. What is your overview of Ghana’s banking industry compared to other African countries?

MAB: Unfortunately, I’ve not been to all the African countries. However, the banking sector as far as I know has developed. Today, we have a lot of foreign banks in the country and looking at the various interventions of Bank of Ghana, I think Ghana is among those recognised to have a very sanitised environment if I must put it that way. There’s been clearing of a lot of banks and other things, the balance sheets are stronger and so gradually we are getting a lot of foreign investors who are interested in participating in our market. So, in all, I think it’s good.

TVM: As you rightly said, the banking industry has been sanitised and currently left with only 24 of them. The utmost consideration of the sanitisation process was to boost the minimum capital in order to make the banking industry bigger and better. How has this new minimum capital impacted on the operations of the banking industry?

MAB: Of course, positively! What has happened now is that banks’ capacity is bigger; shareholders have been forced or asked to increase their base. For instance, if the banks’ working capital was GH₵2, now it’s GH₵4. With that increase in Balance Sheet, a bank can now lend more and do more. Prior to that recapitalisation, banks could only do GH₵15 million but now can do GH₵30 million. Before this, when people came for loans to the tune of GH₵20 million, banks declined because there was a ratio of the capital that one could lend to just one person called the single obligor limit. Currently, however, bank’s single obligor limit has become bigger and as such can only get better.

TVM: Now that banks have become bigger and better with higher single obligor limit, how is the industry curtailing the issue of Non-Performing Loans as single individuals’ can now have access to higher facilities and higher tendency to default?

MAB:  There’s been a lot of development in that respect. Currently, there’s the XDX Data that collates information on customers that banks are lending to and Bank of Ghana is monitoring that. Also, banks are collaborating more with one another; can write and can find out about one another. As a result, it’s working better and hardly can any one person owe all the banks because information is available and every bank is expected to feed into that data. So, Non-Performing Loans can only reduce in the books of banks.

TVM: A lot of the people have lost confidence in the banking industry as a result of the crisis experienced between the 2-year period. How is the “new crop of banks” managing this challenge in order to restore confidence in the people?

MAB: I think otherwise. Rather, more people are getting into banking. Today, we have a lot of online products; a lot of digital products. People who prior to now may not want to come to banking halls for one reason or the other now bank on their phones, bank on their tablets or their computers. So banking rather, has expanded and instilled more confidence in the people. For instance, in our banking halls, you won’t find queues but that doesn’t mean we are not transacting businesses every day. Today, one can open account without entering a bank and this simply signifies that banks have come of age and financial inclusion has come to life.

TVM: Currently, there are about 7 Pan-African Banks operating across the continent and UBA happens to be one of them. How has these PABs contributed to the course of banking and the various economies they operate in on the continent?

MAB: In Ghana, for instance, UBA was the first Pan African Bank (PAB) to enter the market and that was the first time Ghana had what we call revolutionary banking. It was UBA that introduced it. It was the first time we witnessed banking moving to customers; usually it was customers that came to banks. So, Pan-Africanism of banking started in Ghana with UBA. It was the first bank to implement accounts opening without any money (deposit). Prior to that, accounts opening required GH₵50 to GH₵100 (₵500, 000 to ₵1, 000, 000 in the old currency). It was during UBA’s entering strategy that the bank said no, one did not need money to open an account; if one didn’t have money but wanted to open an account, one could still go ahead. And the bank opened accounts for huge number of people without initial deposits. The Pan-African Banks that also came afterwards are banks that have strong “parents”, so whenever there were transactions that ordinarily a PAB could not handle as a “local branch bank”, its parent bank came to its support.

On contribution to the various economies, UBA for instance, has supported governments in a number of ways and also the Central Banks. In Ghana, for instance, the bank has supported a number of projects including road constructions. There was a time the bank gave the government of Ghana an amount of 350 million dollars for road network; one can’t discount that. The minimum anyone of these Pan-African Banks have employed is 600 Ghanaians in each of their institutions and that also one can’t ignore. These staff are paid, their families are taken care off and just imagine the ripple effect. So, I think that PABs have done a yeoman’s job and should be encouraged.

TVM: You mentioned earlier that presently the banking system is expanding as a result of the introduction of technology and other innovative mediums that allow people to easily transact their banking activities. Contrary to that, it is evident that the rate of banking in Africa remains extremely low, with only 43 per cent of adults having a bank account according to AfDB and even more worsening in Ghana. How does the banking industry, especially in Ghana, intend to address this worrying trend of banking among the populace?

MAB: Today, banking is not coming to banks because it’s gone beyond that. There are a lot of people who use digital banking and have their accounts on their phones. One can’t tell me that is not banking. So, if a farmer has all his money on his bank card or his phone; that is not banking? Banking is no longer account opening, cheque book, savings book; no! Banking is borderless! In fact, banks are looking at ways of not even opening branches. So, one can be in Wa and be a bank’s customer without the bank not necessarily positioned in Wa; one can also be in Brong Ahafo as well and so on. UBA banks so many people in regions that it’s not present physically. At UBA, we can credit any customer anytime anywhere and the customer can spend the money in his or her account whiles in south Africa, in Holland and so on. That is what UBA has brought; digitalization of banking. Banking is no longer beautiful walls with paintings; no! In fact, banks are trying to break down those walls, so the figures may not be the correct reflection of what is on the ground.

Business Focus

TVM: When UBA initially incorporated in 2014, it was known as Standard Trust Bank. When did the change of name take place, and how has the bank performed over the years, since its incorporation?

MAB: Standard Trust Bank became UBA simply because the latter acquired the former in 2005; it’s as simple as that. I think the bank has done relatively well; we’ve done very well I must say. The bank has remained very relevant to the economy of Ghana; supported the government in various sectors, employed numerous Ghanaians, supported a lot of businesses, and among its peers the bank stands tall. Above all, Bank of Ghana has always rated the bank as stable for a very long time. So, the bank has no problem with stability. The bank had met its capital long before the deadline and it’s poised to do more. UBA Ghana is poised for growth and it seriously believes that, in the next few years it should be strategically very important to the Ghanaian economy.

TVM: The business strategy of the bank is built on being the bank of choice for businesses across the African continent. How has the bank been able to achieve this over the period or how does it intend to continue to achieve this?

MAB: We will continue to achieve. The Group just opened Mali last year and so today UBA Bank outside of Nigeria is in 19 countries. The Bank has presence in the UK, US, France, among others and it will continue its expansion works. Moreover, the bank’s strategy is to become a top three bank in every country it operates in. That’s what we are all working at and we will get there.

TVM: In 2014, UBA Cameroun launched the ‘UBA Connect’ in the CEMAC region for customers in that region. Currently, the idea of the single currency for the West African region which is moored to the single European currency is expected to be operationalized in 2020. In your opinion, what will be its impact on the banking sector in the sub-region?

MAB: I don’t foresee this to be negative because today I manage three francophone countries that use the same currency and have the same central bank in Senegal and there’s no problem on their economy. So, I don’t foresee the introduction of the “ECO” as collapsing economies; it can only make the sub region stronger. I anticipate growth in trade across the region, easy movement across the region and once there is growth in trade and easy movements, its banks that will thrive. So, for me, I look forward to a positive impact.

TVM: “Our people remain our most valuable assets” states the Bank. Why are people the most valuable assets and not anything else such as technology?

MAB: Can machines work without people? Can technology function without people? Can customers be served effectively and efficiently without people? All these place people as premium and the most valuable assets at UBA. Once you get the people right, technology that has been implemented will function. If the person in charge of that technology decides not to do what he or she is expected, the machine is useless! You will invest so much and the customers will still not be happy. But when your staff is happy and you have good technology, your customer will be happy. Technology, though very important, thrives on distinguished Customer Service. So, I think that the fundamental of everything is the people. That’s why at UBA, we think our people should come first.


TVM: There’s a description of your journey in life that states “from a table-top groundnut seller to a regional CEO of the prestigious bank and the first indigenous CEO of a Pan-African bank as well as the first female to be appointed CEO of a bank”. Beyond all this, who is Marufatu Abiola Bawuah?

MAB: Marafatu Abiola Bawuah is a lady. I started primary school in Aflao and progressed to Datus International School, then proceeded to Achimota School. I read Actuarial Science at the University of Lagos, and had my MBA from University of Ghana. I started banking in 2001 and UBA Bank is my fourth bank. I initially traded on Ghana Stock Exchange briefly before joining the banking industry. I’m married with three kids. I joined UBA Ghana as the Deputy Managing Director in 2013 and later became the MD/ CEO in 2014. Sometime last year, I became the Regional CEO for UBA West Africa 1 and presently manage six countries namely Ghana, Liberia, Sierra Leone, Côte d’Ivoire, Benin and Burkina Faso.

TVM: Sources have it that you underwent a lot of challenges whiles growing up. How were you able to weather the storms you experienced in your growing up moments?

MAB: Determination and Grace! Because, there are times when I look back I can’t understand why I took some decisions or how I survived such decisions; some of them are difficult to explain. But, I think generally, I’m a very determined person. In life, if you don’t know where you are going, you must know where you’re coming from. I do acknowledge I don’t have the best of background and so whatever I do now is a privilege. I keep saying that whatever one finds to do, one must do it well because one just never knows the outcome. One’s work must surely announce him or her no matter what. Thus, whatever I find my fingers doing, I do it well to my satisfaction as if there couldn’t have been any better opportunity.

TVM: As a result of your upbringing, do you reminisce any fondest childhood memory?

MAB: I didn’t enjoy my growing up because I had to sell and look after my siblings and such I was too serious minded. I didn’t know how to have fun. I couldn’t think of anything other than work and school. If there was anything fun, maybe after I had passed my common entrance. Even that, I will still decline. At form 1, I had to sell toffees, had to pay school fees; just too busy to make ends meet. I didn’t attend any entertainment program while in school. But, I’m grateful to God for bringing me this far. The sweetest memory I can recall in my life was the day I graduated from the university with a second class upper. Most of my mates thought I wasn’t going to graduate because of the challenges I was going through and moreover, the difficulty of the course but I ended up the best in class. It’s worth mentioning.

TVM: Can you briefly share one significant childhood experience that has contributed immensely to the woman you are today?

MAB: I think whatever we go through in life, good or bad, is usually a platform for tomorrow. When I look back, the resilience I developed through the sales I undertook whiles growing up has contributed to what I am now; definitely! As a result, I love marketing; I love to sell, I love to achieve, I love to conquer and I love customer service. It’s not something I joke with and I think it has taken me from one level to another. In terms of also being frugal; I think that those upbringings have helped me to manage myself as far as finance is concerned; I don’t strive for what I don’t need. I have learnt to stay where I am. Truly, they have helped me.

TVM: Growing up in a rather challenging environment where the only person ‘the community’ saw as a role model was a messenger. What was your aspiration for the future in those moments?

MAB: Well, the community then just saw a smart guy who was well dressed, walking smart, moving every morning and the women wanted to greet him. They referred to him as “the most learned” but when I got to form 4, I realised the man was a messenger. By then I was enlightened and more educated.As a result of my education I then knew the difference between good and bad so I was already on that pedestal to go forward.

At Achimota, I had gained more exposure after mingling with the children of the affluent and elite. But there was still a pull and push effect between myself, the elite and my background. Fortunately, my friends’ mothers stood in and encouraged me to stay and spend time with them. Despite the force of home pulling me, they tried to pull me also though they didn’t know what I was going through. I started observing their ways of life. As children, we were all thinking of hotel management, air hostess because we wanted to be in the air. Then along the line, I realised I had more flair for Mathematics so I wanted to do Actuarial Science, Mathematics or any of the mathematics related courses. Thus, I ended up studying Actuarial Science in the University.

TVM: So, when did the thought of coming into the banking industry come in?

MAB: It was by default. After graduating, I tried getting employment with the insurance companies but to no avail. I tried other avenues including SSNIT but also to no avail. Then a friend revealed to me that government was recruiting for NADMO to undertake a survey; so I started with NADMO. I performed my task diligently as expected and presented my findings. After presenting my results, I was invited and asked what I studied. I responded and that was my first job breakthrough that earned me an accountant and investment officer with a law firm. From there, I moved on to a stock exchange company where I traded on the stock exchange as an Authorized Dealing Officer or Broker. After a while, for personal reasons, my boss disclosed he didn’t need my services any longer. So, I had to hit the streets again sharing my CVs. Whiles sharing my CVs, then fortune smiled on me and CAL Bank employed me. So, it was by default that I joined the banking industry.

TVM: When people acknowledge you to be successful, you decline by saying “no, I am a product of grace”. Referencing your memoir “Chosen from Darkness”; Why do you see your success as a product of grace and not a dint of your hard work?

MAB: Success is not a lift that one stands in and gets to the top and says I am done. It’s a step by step event and I think I’m still en route, climbing and hoping that grace will take me there. Since, I haven’t gotten there I will not assume I have arrived so I need more grace. Truly, one needs to work hard for grace to beautify it but there are people who also work harder than I and they are not where I am and also there are people who are not working as hard as I am, but are in higher heights. So, it is a combination of the two; you do your part and leave the rest to divinity. I just don’t want to put myself in such an assumption. It’s not as if I don’t appreciate such comments, I really do. I think that, even if I’m not where I’m supposed to be; I’m en routing and I know I’m on the right path and I’m working at it every day. Consequently, I don’t want to pollute my system and get that into me and think that, after all, I’m the first woman here; No! I don’t want that. I’m still moving.

TVM: Your book, “Chosen from Darkness”. What informed your decision to put together this book?

MAB: The reason is simple: To put my story out there to encourage a lot of young girls. It has encouraged a lot of men, a lot of boys, and a lot of women also. It highlights four things everyone needs to understand about life. Firstly, it talks about one not needing to have a good background to be where he or she wants to be. Secondly, it reveals everybody needs to hold somebody’s hand. I wouldn’t have been here just because my parents wanted me to be here but because people lent a helping hand. So, in this our ecosystem, especially women, look around and you will find a lot of people you can hold their hands. If everybody can hold everybody’s hand, we will have a very developed country. Thirdly, one doesn’t need to bend his or her values or principles in life to be able to make it. One doesn’t have to do that! And finally, people must know that the road to the top can be rough, and the fact that you are in a valley today, does not in any way make you a failure. These are the simple messages I tried to put across in the book.

TVM: You are so passionate about girl-child education and that has led to the establishment of the Abiola Bawuah Foundation. How is the foundation helping to change the girl-child education challenges in the most deprived communities?

MAB: We are in the deprived communities and I have people all over the places: villages, deprived communities, rural settlements and so on across the country trying to identify such girls. We have a lot of girls in our books now that we are supporting. I don’t know them from anywhere. We support also people in the hospitals, helped some to go back to school, supplied books, paying school fees, buying wheels, buying chairs; doing everything for them to make sure they are in school. Unfortunately, the resources are limited. The only one who is paid is the young lady who is running the errand; I am not paid and I don’t take money from the NGO. I strongly believe that if I get more support, I will be able to do more than I’m doing currently.

TVM: Being at the helm of affairs and having oversight on UBA Plc West Africa 1, your transformational leadership style is expected to come to the fore. What do you hope to achieve in this new position?

MAB: With this new position, we will take over the West African market; we will become the strongest bank!

TVM: How?

MAB: To become the most systemic and important bank in all my jurisdictions. So, for any decision to be made in any of those countries, we would have to discuss it first.And it will happen. I’m embarking on that.

TVM: In a previous interview you said “When I focus on the people and I show interest in the people and they connect to my vision, while I’m sleeping they’re working”. Can you explain what you meant by the statement?

MAB: Once you get your people right, they dream about your vision. As a leader, part of my responsibility is to make sure that those who work with me buy into my vision and when they do, their energy levels go up. Hence, they are willing to go the extra miles; they want the vision to come life, they want to replicate what you do. Therefore, beyond believe– conviction is what a leader needs to get his or her people to go the extreme to actualise a dream. It is when you move your staff to have conviction that they go to work when they should be resting. They will be willing to go the extra mile; they don’t have a closing time, they don’t have weekends; you didn’t ask them to do it; you don’t need to tell them; if you start asking them, then you don’t have them. So that’s what I mean by that statement.

TVM: There’s nothing on leadership journey that can be attributed to only the leader” you averred; how will you describe your leadership style?

MAB: I’m not permissive. I am a disciplinarian but also believes in reward system. I am an amiable leader as well and have an opened door policy but at the same time what binds my colleagues and I or what is common to us is the institution. So, I would not allow one to destroy what he or she finds in the organization. One must do his or her work. But in doing his or her work, I shouldn’t abuse him or her, I shouldn’t misuse him or her, I shouldn’t destroy him or her; He or she should grow in his or her own personal life. Thus, I show interest in them and they must also go the extra mile for the job. We should not compromise on the work that binds the two of us. And so far, it has worked.

TVM: What is your management philosophy? 

MAB: Reward the people! Reward what you want. What gets measured is what is done. If somebody has done something, reward the person; if someone has done it wrongly, punish the person. In all, my philosophy is “what gets measured gets done”. Most often leaders are quick to punish but slow to say thank you. We need to reward what we want. If it is coming early, reward those who come early and all the others will follow. If it’s sales, or whatever you seek to get into your staff, you need to reward for it.

TVM: Growing up, did you have any mentor or mentors that influenced your thinking in life?

MAB: I once worked with a boss called Andy OJ; he was my MD at Zenith Bank Ghana where I worked some years back. He was a fantastic boss and in my dealings today, I try to put myself in his shoes and try to imagine how he will deal with situations and I think he is one of my mentors. Another is my current Chairman, Tony Elumelu. He is outstanding; his leadership qualities are wow! He’s a realist; one just knows where he or she belongs and he tells one exactly how he feels. He celebrates everyone, and so if there’s anybody who has tapped the apex of my energy, he is the one; so he is my foremost and priceless mentor.

TVM: What enduring principle(s) guide you in all facets of your life?

MAB: Hard work works! One may not reward me today but I believe somebody is looking at what I am doing and at the right time, he or she will reward me. All the cheatings I have suffered from my previous boss(es) or firms, the new person or company will recompense me for them.

TVM: What do you do outside of work to release the stress you experience at work?

MAB: I love to watch crime documentaries. I watch TV a lot also and I love to be with my children and my family. I love to be with my kids at home so I do a lot of ‘sit home’ when I’m not travelling or not working. I love to be home and want my family around me. I like cooking as well.

TVM: What kind of books do you read; is there any particular book that has significantly shaped or influenced your life?

MAB: I love reading leadership books. One book I read and continue to read is a book written by Bill George; it’s about authentic leadership. I just love reading leadership books.

TVM: What is your favourite meal??

MAB: I like the swallows; Tuo Zaafi, a meal mostly known to the northerners in Ghana, Banku, fufu. I love my banku with okro soup. I also love fresh tomato jollof rice.

TVM: What genre of music do you listen to?

MAB: I’m a lover of jazz.

TVM: What kind of sports do you love?

MAB: Football

TVM: Which team is your favourite?

MAB: Arsenal.

TVM: When it’s all over in your working career, how do you want to be remembered?

MAB: I wish to do hundred girls a year. I wish to go to the most deprived, poverty stricken areas, bring people without hope and give them hope and long after I’m gone, some of them will be Managing Directors, others too will be top government officials; positions they wouldn’t have been able to attain but for that education; that seed sewn, they were. That is what I want to be remembered for. They will be able to tell my children “oh your mother found me”. Ghana will reap the benefits afterwards and say “we have 90% of our ladies in schools” because I believe those girls will also cater for some others, and as such we’ll be able to say that majority of girls are graduates; that is my dream!

TVM: What does the future hold for you beyond UBA and banking?

MAB: Beyond UBA and banking, I want to focus on my NGO. I want to concentrate on that when I leave banking.

TVM: What advice would you give to banking industry players?

MAB: Whatever they are doing, they should do it well. Well, there is still a lot of collaborations to be done among banks. Banks need to come together instead of fighting one another in order to manage the loop holes’ customers capitalize on. Banks still need to be able to share information and continue to support government’s initiatives, especially the plan to have an all inclusion system and to continue to reach out to the local communities. Banks also need to continue to come out with products that will serve humanity and cause the banking space to become more relevant than it is now. But above all, banks should find a way of stamping out the unhealthy competition where when a staff commits crime in one bank, goes to the other bank and is accepted. I look forward to healthy competition among the banks.

TVM: You once said “failing is part of the story”. As a mentor to many young women and girls, how would you advise them to cope and deal with challenges and failures in life?

MAB: Accept it and take responsibility. It’s not about crying; it’s not about condemning oneself. Yes, some are mistakes; purely one’s mistake and so must take full responsibilities for them. It should not be about anybody or a blame game. One needs to ask questions and see how he or she can move forward. Therefore, the most important thing is to take yourself less seriously, take responsibility, and always look for that small light in that darkness and move towards that direction. In a short while, one will find fulfilment.With failing, those who condemn themselves will never be able to get up. That’s my story!

TVM: What is your advice to the current youth of Ghana?

MAB: Hard work works; there’s reward in hardwork so work hard.

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