74383 Page Foreword 2 Statement by Mini ster of Finance 3 Statement by Priv ate Enterprise Found ation 4 Statement on behalf of Civil Society 5 H istorical Perspecti ve 6 Ghana Today: hall engcs and Strategies 8 Poverty and the Ghana Poverty Reduction Str are jWI10LlS j iJr Iheir vibral1t economic aClivity alld th e hardworking markel "'omen A PART. ·fR. HLP !'OR PROGRESS 9 GHANA AND THE WORLD BANK 2002 POVERTY AND THE GHANA POVERTY REDUCTION STRATEGY P overty is a multi-dimensional concept which encompasses levels of income, nutrition, health, literacy and insecurity. One of the main sources of data headed househ Ids. Even in Eastern region where poverty has fallen slightly, female poverty has increased. The data indicate that women are still vulnerable and on poverty is the Ghana Living Standards Survey often are the pri mary victims of poverty. Among farmers (GLSS), for which the World Bank provides technical - the most co mmon occupation in Ghana - export assistance to the Ghana Statistical Service (GSS). farmers made the greatest gains in their incomes, while food crop farmers did less welL The GLSS3 and GLSS4 indicates that 40 percent of the population is classi fied as poor in Ghana in 1999, a The most striking res ult of this data is that although dec rease from 52 percent in 1992. However, the economic growth has enabled more households to chieve reduction in poverty was not experienced evenly in all levels of consumption above the poverty line, there are parts of the country. The major reduction in poverty some groups that have been left behind. There are areas was observed in Accra and the Forest (urban and rural) ofthe country (the Northern Region) and some occupation zone. There were very modest declines in poverty in groups (food crop farmers) that have benefited littlc, if at most other parts of Ghana, except the Urban Savannah all, from economic growth during the 1990's. where poverty in fact increased between 1992-9. On other welfare indicators such as potable water and Poverty continues to be more prevalent and serious in toilet facilities, there was improvement overall , but rural areas. Both urban and rural poverty are heavily again differences among areas and types of households. concentrated in the Savannah zone. This implies that In urban areas, while overall there was an increase in the Savannah zone has benefited little from Ghana's the access to potable water, among the poorest 60 economic growth during the Last decade, where poverty percent of households acces:; actually fell slightly rates of about 80% were recorded, about7.5 percentage between 1992 and 1999. The sto is much better for r , ",; .. ­ points worse than a decade earlier T Idition, extreme rural areas where access to potab' ,n,er increased fr m 'j, poverty is concentrated in the 'S;l ltdnnah and Coastal one-half of households to al mo~1 :wo thirds, with poorer zones, and the levels of urban extreme poverty have households showing the greatest gains. hardly changed. On health services, the data raise some concerns becal e Looking at the data by Region, poverty has declined in they indicate that fewer people an:: consulting doctors the West, G reater Accra Vo lta, Ashanti and Brang and visiting public health facilities when they are ill. Ahafo , but it has insreased in !he Central, Northern and.., ' .:rhi~ is a widespread trend, seen among both urban and Upper East. The incre ase~ it;l 'poverty in the Central }: ' rural households and fo r all but the wealthiest urban region reflects .i! worseni ng wel~re situation of femaie hop,seholds< Desp}te this, most health indicators have GeogrilphlcJI Ol.tribution 01 the IncIdence of Poverty All Upl'fi E.1st UppMWlIISt . , , I .. 5\ 7 I 'Y , t r I Northern B Ahai0 ! , ~. ,. I Ashllnl! - .. h JI .2 I VolU , ,10 , 0 GACCTiJ "' ~2 1 , ,,~ I .. . - Ce nt~1 I, , . - " ". .' ." '" ~ Source: Ghana Statistical Service, 2000, Poverty Trends in the 1990s. Accra APARTNERSHIP FOR PROGRESS 10 GHi\,\Ai\:' % Somee: MOE National [ducat ion Data and Indi cators, [MIS October 17,200 I (*only public school enrollmcnt '*these rs of the project and the of these services by the municipalities are still needed The construction oJthe Odaw River drainage is intended to reduce th e impact ojfloods A PARTNERSHIP FOR PROGRESS 24 GHANA AND THE WORLD BANK 2002 LOCAL GOVERNMENT AND URBAN DEVELOPMENT omparative country data show that economic Weak municipal institutions are unable to provide C development and urban growth are closely linked, that per capita incomes are consistently higher in urban adequate services, asSlll'e the sustainability of services and investments, or mo b ilize funds for adequate areas, and that urbanization increases with economic operation and m a intena nce, let alone capi tal growth more rapidly at lower income levels than at investments. The Local G vem ment Act 462 (1993) higher ones. Inadequate infrastructure services and initiated a shift in the structure of governmenta l weak District Assembly (DA) institutions hamper the authority whereby central government devolved to ability of the Government to fulfil economic and social District Assemb lies the responsibility for pol icy functio ns . Im proving the coverage of urban formulation, planning, and implementation with respect infrastructure and services requires not only investment, to, among other things: community development, town but also major efforts to build institutional capacity i~ planning, public wor ks, town roads and streets, markets, the fi elds of planning, management, finance, and sanitation, and lorry parks. operation and maintenance in the District Assemblies. Current Activities IDA's support for urban development in Ghana since the launch of the Economic Recovery Program in 1983 includes severi operations involving over US$300 million. This has helped implement Ghana's decentratization policy, build accountability in service delivery in project areas, bring the private sector into service delivery, and rehabilitate infrastructure in Accra, Kumasi, Sekondi-Takoradi, Tamale, and Tcma. It has also helped establish several public institutions, including the Department of Urban Roads and the Home Finance Company, the performance of which has surpassed expectations, making them models for the sub-region. Three ongoing urban projects assisted by IDA and other donors benefit 34 District Assemblies and total about US$ 166 million. They involve strengthening the capacity of District Assemblies, constructing roads and drainage works, rehabilitating markets anci lorry parks, upgrading low-income communities, COli: ,meting sanitary landfills, and establishing private sector participation in waste management. C nrren t Proj ecls Project Towns IDA, Disbursemt $ mill. $ mill . Local Governmcnt Boigatanga, Bawku. Wa , Sunyani, Techiman, Koforidua, 38.50 35 Devclopment Ho Keta /Anloga , Elmin ,l, Agonn Swcdru and Cape C oast U rban Accra, TCll1Z1 , KUlllasi, Sckondi Takoradi, and Tamale 71.00 48 En vi ronIl1ental Sanitation - Urban V (Phasc I) Agogo, KOllongo Odumasc, Ejura, Mampong, Obuasi , 10.83 0.1 Bcrckull1, Nkoranza , \Vencili, Dunkwa, W inncba, Akim Oda, Akwatia, Asalllankcsc , Begoro, Nkawkaw, Nsawam, SUhUIll , Madina , Savclugu, Vend i, Aflao, Hohoc. Kpandu . Prc s tca and Tarkw and the International Finance Corporation (IFC). The CVs of owners or promoters Under ESS , SMEs are assisted with consulting A brief description of the business or projt.:L1 services in the areas of Organizational and Human A brief description of products and serv ices Resource Development, Production Planning/ Scheduling & Control, Improving Financial Planning List the assets owned or to be bought and Accounting Systems, Developing and Value of businesses or the estimated project cost; Implementing Marketing Strategies and Developing and and i mplementing Management Information Supporting documents (if available) Syst ms. Services offered also include formal Management Training, Firm Specific Technical Business registrations. financial status, business concept or plan Training and In-house Training as part of the consulting process. For more information contact: Since it began operations in Ghana, APDF Accra has APDF completed 93 projects in Ghana, Nigeria, Sierra Leone House No 150A and The Gambia. The projects have resulted in the Roman Road, R man Ridge mobilizatiou of approximately US$76.4 million in P.O. Box CT2638, Cantonments financing, the creation or preservation of about 7,878 Accra, Ghana jobs, and the generation of approximately US$ 8 1.5 million in exports earning '. Tel: (23321 ) 77 98 04/ 77 98 05 177 81 09 7012 17017012 171 Under ESSA Ghana, 68 contracts have been signed WIth consu ltants for the provi"i n of consulting Fax: (23321) 774961 /77 6245 selvices. 24 fonnal tr.tining programs have been Email: mnjie@ifc.ocg offered to 60 I client personnel and 5 train ing A PARTNERSHIP FOR PROGRESS 41 ------- GHANA AND TH E WORLD BANK 2002 AMSCO MSCO is a private sector company form d to implement the African Tr . • g and M anagement Services A (ATMS) Project. United Nations Development Program (UN DP) and lnt tional Fi1)ance Corpoiation (We, th private sector arm oftbe World Banle:) j ointly initiated this Project. The Project is aimed at improving manageml!Ut capacity at the level of the individual African enterprise. AMSCO's objective is to assist in imProving the competitivenes o f African companies to hring them up to international standards and to train local stalI for management succession. AMSCO's Core Services include Company analysis to identify long term potential and major management needs; Recruitment of managers for senior positions, secondments for periods of 1 to 3 years; Subsidizing palt of manager's salary to client companies Meeting up to 50% of the cost of management development (training) programs; Providing continuous implementation support and backstopping; AssessmenY'ofskill gaps and assisting with the preparation oftai ~ ·,-made Company training and external training courses A" ' isting in raising funds for client companies AMSCO's clients inc Iud African and joint-venture companies wishing to expand and/or further improve their quality; companies in the process of rehabilitation; and parastatal companie, in the process ofprivatization. AMSCO has been iov lved in over 16 companies in Ghana. Presently, there are 69 Managers in 11 Ghanaian companies. Every year, over 2000 employees in client companies receive in-(:ompany training and specific training plans. Who Qualifies SMEs with African presence, at least 10% African ownership and which have the potential for grm.vth and sustainability. Mostly private sectorenterprises but parastatals operated on commercial lines and with serious intention of future private ownership are also considered. How to contact us; Project Officer, Ghana Offi ce 150A Roman Road IFe Building Roman Ridge, Accra Telephone: 779804/5 or 70 11787/8 F~ 77496 1 e-mail: charJesgidi@amscobv.com A PARTNERSHIP FOR PROGRESS 42 THE WORLD BANK GHANA OFFICE PUBLIC INFORMATION CENTER (PIC) The World Bank Ghana Office PIC is open to the general public Monday to Thursday 1:30pm to 4:30pm We stock a selection of World Bank pub lication s in print and you can also access publications on th e w eb. Staff of the PIC are available to answer all questions about the activities of the World Bank in Ghana and elsewhere or di rect you to the appropriate specialist for answe r. ~ You·can access a \ ' ide range of informati n abou t th World Hank and its operations at: www.w orldbank.org and for Ghana specific information: w w w.worldbank.orglghana Please visit u s and contact the following PIC staff for assistance: Kafu Kofi Tsikata Stephen Tettevi Ernmabel Hammond Salli Cudjoe Thank you. 43 ------- Current World Bank Financed Projects in Ghana Name of Project or Program Secto r Year Amount Summary of Objectives (US$I11) l. Second Economic Refonn Macroeconomic 1999 180.0 Suprort for m~croeconoillic stability and for thc implemcntation Support Operation (ERSO II) of deeper reforms in the cocoa, energy Jnd banking sectors. 2. Agric Services Sub -sector Agriculture/ Rural 2000 67.0 Incrcas ing the growth of agricultural rroduetivity and incomes and boosting Investment Development rood security, in an cnvironmentally sustainable manner 3. Rural Finance Serviccs Agricu lture/ Rural 2000 5.13 Broade!1ing and deerening rll1ancial intermcdiation in rmal areas through linkages betwcen ·inforrl1al and formal financial in stinili ons, establishment of arc x body for the rural banking system, earac ity building for rural and community linaneial institutions 4. Vi lIag.:: In frastructure Agriculturel Rural 1997 ~OO Poverty allevi~lt i on through small investments alld grallts targeted at small reso urce-roor Develorment cOl11munities for develorment of social and economic infrastnlcture at the village level. , 5. Fisheries De.velorlllent Agriculture/ Rural 1995 9.0 II11[lroved management of the cxploitation ofmmine fishcl·ies , ami conditions for a sustain ed I Development inerease in inland fisheries. 6. Natural Resource Management Environment 1998 9.1 Sustainable fore stry, wildlife ~l11d other natural res ource management rolieies and [lractiecs ! I through mana gemcnt OffOITstS, [lrotected wildlife areas and land re sources. -I'> -I'> 7. National Functional Literacy Education 1999 30.0 SU[lpllrts the Government's National Lituacy and Functional Skills Program by increasing the number of Ghanaian adults (15 yeal's or older), par1icularly IVomen , wilo ~equirc Iitcracy and function~1 skills. 8. Basic Education Sector Education 1996 50.0 Irn[lroved imrlell1 cntn tion of the Government's Free Compulsory Un ive rsa l Basic Educa ti on Improvement [lrogram by interventions to imrro\'C teachingilearning outcomes, selc:ct ivcly impro ve access, and slren gthen management efficiency at central and de-ccntrali zed levels. 9. Communi ty-Based Poverty Poverty 1999 5.0 Te sting mechanisms for delivering [loverty reduction intervcntions to marginalized grou[ls Reduction Reduction/Health lilrougil coml11unity nutrition , food security interventions and activities for strect chi ldren ; al" .') build cU[lacity for monitoring and evaluating povCl'ty reduction programs . . _- 10. Ghana AlOS Response Project Health 2002 25 Supro r,,: ove r a 4-year [leriod non-MOl-! mandated aetivitics of the Government's strategic fr~mework for AlOS . Districts will al so be mobilized to playa key role in tile fight against HIV/AlOS. II. Health Sector Surport Health 1997 35.0 Sup[lort for the Government's n~ti ona lmcdium term strategies for health, nutrition and popUlation. f2. Urban V Project In frastructure 2000 10 )3 Supports impro vc ments in basi c infrastructure and urban services in seco nd ary (owns, especially th ose se rv ices bcneliting the poor, and stren gthening the filElncial , technical and managerial capacities of Di strict Assembl ies. It is part of mAs 573.2111 3-rhased program. - -­ - - _. -­ - - Name of Project or Program Sector Year Am ount Su mmary of Objectives -­ (tJSSm) 13. Community Water & Sani tation Jl[ Infrastructure 1999 25.0 Rehabi litating/construction appropriate !ilcilities and establ ishing comm uni ty responsibili ty for opera tions and maintenance. I 14. Road Sector Del' Program Infrastructure 2002 220.0 (·ovcrs all three areas of roads: highways, fecdcr and mban roads. An d seeks to achieve sllstainable improvements in the supply and perfomlance of roads and road transpoi1 scrvices in a regio nally equiwblc manner. 15. Local Governmen t Development Infrastructure 1994 38.5 Extension of local governmen t financ ial and institutional reforms earlier unde rtaken in five 16. Urban Environmental Sanitation Infrastructure 1996 71.0 Improved urban waste management and drainage in five main cities with emphasis on improving serviccs for lower-income people and private sector provision of serviccs 17. Thermal (P-VII) Energy 1995 175 .6 Expansion of therlm l gencra tion to compi.:mellt hydro generation ofthc power supply, and the development and implementa tion of the power scctor refo rm program aimed at private pa rt ic ipation in power gencra tion and dis trib uti on .. 11i. Non-Bilnk Fina ncia l Ins ti tutions Private Sector 1\l95 23.9 Technical assistance to aid devclopmcnt on non -bank linancial secto r capacit y to support & Finance pri\;atc sector credit and in surance needs. 19 . Public Enterpri se and Privatization Privatc Scctor 19% 20.9 Further strengthcn publ ic tinancialmanagemcnt practices by the introduction of the Medium I Te chnical Assistance & Finance Te rm Expenditure frame'work for budgeting and expcndirure management and the modernization of the cxpcndirure management systems. 20. Trade & Invcstment Gateway Privatc Sector 1998 50.5 Promotion of export orientcd investmcnt by supporting the developmen! of privately export & Finance proccssing zone, an d by imp roving the efficicncy of trade and investment promotion front line agencies, namely customs, pOi1S services and immigration. 21. Financial Managel11~nt Public Sector Reform 1997 20.9 Enhancing the efficiency, accountabil ity and transpa rency of the financial functions of Techni cal Ass istance Project >! ovcmmen t through the modcm izat ion ofaeeollnting systems, strength enin g audit , imp ro\'cd I 22 . Publ ic Sec tor Managemcnt Reform Pub l ic Sector Refoml 1999 14.3 budget ing procedure s, and mo re open procuremen t systems. Refo rm of ce ntral management agencies and subvented agencies and the improvement of basic publ ic sector management systems and proccsses. --­ - ­ - - ­ - --­ - - - - - -­ ---­ - - DESI GN, L AYO UT So: I' IHNTl NC : MOLTEI'I·J,\ - (233·21) 77Y379