Author name: Dr Maxwell Ampong

The Affirmative Action (Gender Equality) Bill 2024 represents a landmark legislative effort in Ghana’s ongoing journey towards achieving gender parity across all sectors of society. This bill, recently passed by the Ghanaian Parliament, seeks to address the historical and systemic gender imbalances that have long permeated the nation’s political, social, economic, and cultural landscapes. Here are 20 questions and answers on the bill. 1. What is the primary objective of the Bill? The primary objective of the Affirmative Action (Gender Equality) Bill is to ensure the achievement of gender equality in political, social, economic, educational, and cultural spheres within Ghanaian society. This objective seeks to eliminate gender disparities by implementing progressive measures and evaluating their impact periodically. The ultimate aim is to create a balanced representation of genders across all sectors, contributing to national development. 2. What roles and responsibilities are assigned to the Gender Equality Committee established by the bill? The Gender Equality Committee is responsible for ensuring compliance with the bill’s provisions, receiving and analysing annual gender equality reports from organisations, issuing compliance certificates, mediating complaints of non-compliance, and developing national action plans. The committee also liaises with government agencies and private institutions to promote affirmative action and advises the Minister on relevant policy matters. Additionally, it coordinates public education programmes to foster a culture of respect for gender equality. 3. What specific targets and quotas does the bill set for gender representation in governance and public service? The bill sets specific targets for gender representation, aiming for 30% by 2026, 35% by 2028, and 50% by 2030. These quotas apply to appointments in public offices, governance positions, decision-making roles, and leadership positions across various sectors, including ministerial roles, the Council of State, independent constitutional bodies, and the Public Service. Public institutions are required to include gender equality information in their annual reports to the Public Services Commission. 4. How does the bill address gender equality in the security services and the judiciary? The bill mandates that security services ensure gender equality in recruitment and leadership positions, prohibiting gender-based discrimination and promoting equal training opportunities for women. For the judiciary, the bill ensures equal representation of women and men on the Judicial Council and sets targets for gender equality in appointing judges and other judicial officers. The Judicial Council or a sub-committee is responsible for monitoring the implementation of gender equality within the judiciary. 5. What measures are included to ensure gender-responsive budgeting across government sectors? Gender-responsive budgeting is a critical strategy outlined in the bill. All government ministries, departments, agencies, and District Assemblies must include budget lines for addressing gender-specific issues in their plans. The Ministry of Finance is tasked with ensuring adequate resource allocation for gender equality initiatives. Parliament is responsible for demanding accountability for the utilisation of these resources, ensuring that funds are effectively used to promote gender equality. 6. What are the obligations of political parties under the bill to promote gender equality? Political parties are required to achieve progressive gender equality targets in participation and representation. They must adopt measures to support gender equality in candidate nominations and party leadership appointments. Political parties are also required to provide information and financial resources to support gender equality initiatives. The Electoral Commission monitors compliance, ensuring that political parties develop and adhere to gender equality policies and submit annual reports on their progress. 7. How does the bill support gender equality in trade unions and the private sector? Trade unions must reflect the principle of gender equality in their constitutions and work towards gender-balanced representation on their executive boards. In the private sector, employers are required to develop and implement gender equality policies, submit annual reports, and ensure progressive gender equality among employees. The bill provides guidelines for monitoring compliance and addressing grievances related to gender inequality. Non-compliant trade unions may face registration denial or revocation. 8. What incentives and penalties are specified for compliance or non-compliance with the bill’s provisions? The bill includes tax incentives for private sector employers who meet gender equality targets, encouraging compliance through economic benefits. Penalties for non-compliance include fines, imprisonment, and the revocation of trade union registrations. Employers who comply with the bill’s provisions within specified time frames can apply for tax incentives. The bill ensures that both public and private entities are held accountable for their efforts towards achieving gender equality. 9. What are the specific incentives available for private-sector employers under the bill? The bill provides several incentives for private-sector employers who comply with its provisions. These include: 10. What are the offences and penalties under the bill for non-compliance and discrimination? The bill outlines several offences, including: Penalties for these offences include fines ranging from not less than five hundred penalty units to not more than one thousand penalty units, or a term of imprisonment of not less than six months and not more than twelve months, or both. Additionally, employers in the private sector who fail to comply with the provisions of the Act also face similar penalties. 11. How does the bill align with Ghana’s international obligations and conventions on gender equality? The bill aligns with international conventions and regional agreements to which Ghana is a signatory, such as the Convention on the Elimination of All Forms of Discrimination Against Women (CEDAW) and the African Charter on Human and Peoples’ Rights. By incorporating these international standards, the bill ensures that Ghana’s gender equality efforts are consistent with global best practices and commitments. The government is mandated to integrate these obligations into national policies and programmes, promoting gender equality at all levels. 12. How will the bill promote gender equality in education? The bill mandates the Ministry of Education to ensure gender balance in access and opportunity to education at all levels. It includes provisions for reviewing curricula to include courses on gender equality, establishing programmes to address barriers to education for girls, and providing appropriate interventions in deprived districts. Particular emphasis is placed on promoting girls’ education through various incentives and support mechanisms, ensuring their

A striking paradox exists in Ghana: despite our people’s abundant talent and wisdom, many capable individuals shy away from pursuing innovative ventures. The primary reason for this hesitation is a pervasive fear of financial inadequacy. This fear hinders the entrepreneurial spirit and stifles economic growth as potential business leaders opt for safer, less risky paths due to a persistent belief that there is or will be a lack of financial resources. On the surface, it makes sense. But at its core, this issue is not just about the absence of money but also about the psychological barriers and historical contexts that reinforce this fear. Financial constraints are a significant deterrent, creating an environment where brilliant ideas often remain unrealised. Understanding this phenomenon requires a multifaceted approach that considers practical, psychological, historical, and analytical perspectives. For many weeks, my close circle and I have discussed and dissected the complex web of factors contributing to the fear of financial inadequacy among Ghanaian entrepreneurs. In essence, this is their work too, particularly Mr Baddoo. By examining this issue through common sense, psychological theories, historical context, recent findings, numerical data, and statistical analysis, we aim to comprehensively understand why many are reluctant to take the leap into entrepreneurship. Our several hours of discussions were about more than just the problem. We also attempted to explore thoughtful suggestions and potential solutions to empower Ghanaian innovators to overcome these barriers and drive economic prosperity. This also gives some context to why Maxwell Investments Group (MIG) executes the initiatives and partnerships we currently have. Historical Context Historically, Ghana’s financial landscape has been challenging for small and medium-sized enterprises (SMEs). Post-independence economic policies and structural adjustment programs have often favoured large corporations and multinational companies, leaving local entrepreneurs struggling. For instance, the 1980s and 1990s saw significant financial liberalisation, but the benefits were unevenly distributed. Many local businesses could not compete with foreign entities that had better access to capital. This historical marginalisation has left a legacy of financial scarcity that continues to affect Ghanaian entrepreneurs today. Policies from the past, such as the Economic Recovery Programme (ERP) initiated in 1983, aimed to stabilise the economy and promote growth. However, these programs often prioritised foreign investment and giant corporations, inadvertently sidelining local SMEs. This focus on larger entities created an environment where local businesses needed help to secure the necessary capital to grow and thrive. The legacy of these policies is still evident. The financial infrastructure that supports large-scale enterprises is robust, yet the same cannot be said for smaller businesses. The limited access to capital and financial support for SMEs is a direct consequence of these historical economic strategies. Understanding this historical context is crucial for addressing the financial challenges that Ghanaian entrepreneurs face today. It provides a backdrop against which current financial inadequacies can be understood and addressed. Policy and Regulatory Environment Ghana’s policy and regulatory environment significantly impact access to finance for SMEs. While there have been efforts to support entrepreneurship through initiatives like the National Entrepreneurship and Innovation Plan (NEIP), more needs to be done. Simplifying the process for obtaining business licenses and reducing bureaucratic hurdles can make it easier for entrepreneurs to start and sustain their ventures. Additionally, policies that incentivise banks to lend to SMEs, such as tax breaks or guarantees, can improve access to finance. Regulatory challenges and bureaucratic red tape often deter potential entrepreneurs. The complex and time-consuming processes of registering a business, securing permits, and complying with regulations can be overwhelming, particularly for small businesses. Streamlining these processes and providing clear, accessible information can reduce the burden on entrepreneurs and encourage more people to start businesses. Exploratory Solution: One way to address these issues could be through digitalising government services related to business registration and compliance. Implementing online portals for these services can make the process more efficient and transparent, reducing delays and opportunities for corruption. It is also why I collaborate with GCB Bank PLC. As the biggest lender to Ghanaian small businesses, they are looking to allocate circa 40% of all GCB loans to SMEs. This makes them ready to ideate and work with me on how SME challenges can be curbed. About 2000 studentpreneurs are opening no-deposit Entrepreneurship Accounts with free Visa Cards through the’ Entrepreneur In You’ initiative. Sociocultural Factors Cultural norms and values in Ghana significantly influence attitudes towards entrepreneurship and risk-taking. Traditionally, many Ghanaians prefer stable, secure jobs over the uncertainties of starting a business. This aversion to risk is often rooted in the fear of social stigma associated with business failure. In a society where family and community reputations hold substantial weight, the potential shame of a failed venture can be a powerful deterrent. Encouraging a cultural shift towards viewing failure as a learning opportunity rather than a disgrace could foster a more entrepreneurial spirit. Family and community networks play a crucial role in providing both financial and moral support to entrepreneurs. In Ghana, extended families often pool resources to support one member’s business venture. This communal approach can alleviate some financial constraints. However, reliance on personal networks also has limitations, as it may not provide sufficient capital for larger-scale enterprises. Strengthening community-based savings and credit associations can provide a more structured support system for budding entrepreneurs. Exploratory Solution: Community-based financial literacy programs can help shift cultural perceptions and equip individuals with the skills to manage and invest resources effectively. By promoting a culture of saving and investment, these programs can foster a more supportive environment for entrepreneurship. Development Bank Ghana (DBG) is offering certified financial literacy programs that could lead SMEs to collateral-free, reduced-interest loans, which is fantastic news. I learned only this week that DBG intends to have their literacy courses in Twi and Ga as well. The need for financial literacy is also why MIG organised the MIG Business Forum in April. The forum’s theme was ‘The Impact of Financial Literacy on Post-Retirement Financial Security’. Common Sense Perspective The reluctance to start new ventures due to financial limitations is

I. IMPORTANCE OF DIGITAL TRANSFORMATION FOR SMES In today’s fast-paced and highly competitive business environment, digital transformation is no longer a luxury but a necessity, especially for SMEs. That is why if you’re reading this in the newspaper on Monday or my LinkedIn over the weekend, know that the place to be next Tuesday, July 23rd, is the Wesley House, opposite Cedi House.  Ghana’s largest indigenous bank, GCB Bank PLC, is holding a Commercial Banking Capacity-Building Seminar themed “Empowering Growth: Optimizing People and Resources for the Digital Era.” The aim is to impart the knowledge and confidence to drive digital transformation in your and my businesses.  So, why is this seminar important? Why should you tune in? Embracing digital technologies can lead to significant benefits: – Increased Efficiency: Automating routine tasks and optimising business processes can save time and reduce operational costs. – Enhanced Customer Experience: Leveraging digital tools can help you better understand and serve your customers, improving satisfaction and loyalty. – Greater Reach: Digital marketing and online sales platforms can help you reach a wider audience, both locally and globally. – Data-Driven Decision Making: Digital tools provide valuable insights and analytics to inform your strategic decisions. – Improved Security: Advanced cybersecurity measures can protect your business from threats and ensure the safety of your data. However, digital transformation is a journey that requires careful planning, sometimes some investment, and ongoing commitment. As a resource person for this Seminar, I will explore how we can navigate this journey successfully and tap into the vast potential of the digital era. But then I thought I would share my findings with the “Entrepreneur In You” community as I have learned some new things in preparation for this seminar. I know I’ll learn even more on the day with the other resource persons. GCB Bank will also give us an inside track on leveraging their products and service offerings to support our digital transformation efforts.  As a witness, GCB Bank PLC is a trusted partner in this regard. With them, you can access a range of services and products designed to support your digitalisation efforts. From digital banking solutions to financial advisory services, GCB Bank is dedicated to empowering SMEs to thrive in the digital age. How? And why? Let’s dive in. II. NEW TRENDS IN GLOBAL SME BUSINESS Overview of Current Global SME Landscape The global SME landscape is dynamic and ever-evolving. SMEs are the backbone of many economies, driving innovation, employment, and economic growth. However, they also face numerous challenges, such as limited access to finance, intense competition, and rapidly changing market conditions.In this context, digital transformation offers SMEs a lifeline to enhance their competitiveness and resilience. According to recent studies, SMEs that embrace digital technologies are more likely to experience growth and expansion. Successfully combine a Makola businesswoman with the wonders of social media marketplace, and your imagination is your only limit to what could happen. This happened in China with the embrace of Alibaba. It’s not far-fetched to see how it can happen for you, me, and that Makola businesswoman. Key Digital Trends Shaping SMEs E-commerce E-commerce has revolutionised how businesses operate, breaking down geographical barriers and enabling SMEs to reach a global audience. Online marketplaces and e-commerce platforms provide SMEs with the tools to set up virtual storefronts, manage inventory, and process payments seamlessly. Example: I take you back to the Makola businesswoman. She might have a small shop in Accra, but with e-commerce, she can now sell her products to customers in Europe and North America through platforms like Etsy and Amazon. This not only increases sales but also broadens the market reach. Cloud Computing Cloud computing allows SMEs to access advanced computing resources without significant upfront investment. By leveraging cloud services, businesses can store data, run applications, and manage operations remotely and securely. Example: Using cloud-based accounting software like QuickBooks, an SME can manage its finances from anywhere, collaborate with accountants in real time, and ensure data is backed up and protected. Artificial Intelligence (AI) and Machine Learning AI and machine learning are transforming how SMEs operate by automating processes, enhancing customer experiences, and providing valuable insights. From chatbots to predictive analytics, AI solutions are becoming increasingly accessible to smaller businesses. Example: An SME in the retail sector can use AI-driven chatbots to provide 24/7 customer support, handle common queries, and personalise shopping experiences, leading to increased customer satisfaction and loyalty. Internet of Things (IoT) The Internet of Things (IoT) refers to the network of physical objects like devices, vehicles, appliances, and more that are embedded with sensors, software, and other technologies. The goal is to connect and exchange data with other devices and systems over the Internet. IoT can improve operational efficiency, reduce costs, and enable predictive maintenance in various industries. Example: If delivery is a component of your service offering, you can use IoT sensors (or apps) to monitor the position and condition of goods in transit, ensuring timely delivery and maintaining product quality. Blockchain Technology Blockchain technology is a secure, decentralised digital ledger that records transactions across multiple computers. This ensures that the recorded transactions cannot be altered retroactively, providing transparency and security. For SMEs, blockchain can enhance trust and efficiency in various operations, ensuring data integrity and reducing the risk of fraud. Example: An SME involved in international trade can use blockchain to track the origin and movement of goods, ensuring transparency and trust in the supply chain. Check out Myneral Labs as an example. We use their services at Maxwell Investments Group in our Agro-Commodities trading. III. BEST PRACTICES IN DIGITAL TRANSFORMATION Steps to Begin Digital Transformation Assess Current Business Processes Conduct a thorough assessment of your current business processes to identify areas that can benefit from digital transformation. Evaluate your strengths, weaknesses, opportunities, and threats (SWOT analysis) to understand where digital technologies can make the most impact. Develop a Digital Transformation Strategy Define clear goals and objectives for your digital transformation journey. These should align with your overall business strategy and vision. Create a roadmap with specific milestones and