Stocks: Buckle In For A Bumpy Ride

NEW YORK (CNNMoney) -- Stocks are poised to end October with one the best monthly performances on record, but the market's wave of uncertainty is far from over.
Investors are relieved that European officials finally agreed on a plan of action aimed at tackling Europe's debt crisis last week. But they aren't yet convinced that the measures go far enough, as details about the plan and how it will be implemented remain unsettled.
"We have to keep our eyes and ears open for more risks in Europe," said Tom Schrader, managing director at Stifel Nicolaus. "There's a plan to bail out Greece, but there are still major issues in Italy and Spain, which are much bigger."
The spotlight will remain on Europe next week, as leaders of the G-20 nations gather in Cannes, with Europe's debt crisis dominating their agenda.

Euro rescue plan 'sugar rush' wears off

And with increasing signs of a recession in Europe, investors will also be tuning in Thursday to the European Central Bank's rate decision. It will be Mario Draghi's first news conference as he takes the reins from outgoing ECB president Jean-Claude Trichet.
The U.S. central bank will also be in focus. The Federal Reserve concludes its two-day meeting on Wednesday. While interest rates are widely expected to hold steady, investors will be keen to hear Chairman Ben Bernanke's assessment of the economy amid on-and-off fears of another recession.
In June, the Fed cut its growth forecast, estimating that the nation's gross domestic product will rise between 2.7% to 2.9% in 2011. According to the latest government reading, U.S. GDP picked up 2.5% during the third quarter, up from the disappointing 1.3% growth in the second quarter and the anemic 0.4% pace in the first three months of the year.
Investors will also be listening for any hints the Fed chief may make about a third round of bond buying, or QE3, to help stimulate the economy.
As long as the Fed maintains its outlook for slow, but still positive, economic growth, further intervention from the Fed is likely off the table, said Thomas Nyheim, portfolio manager at Christiana Bank & Trust Company.
The biggest beast facing the economy is still the nation's sluggish job market. The unemployment has been stuck above 9% since May 2009, and it's not expected to drop off anytime soon.
In the highly anticipated jobs report due Friday, analysts expect unemployment held steady at 9.1% in October, as the economy added 88,000 jobs.
"If the job report comes in below expectations, it would cast another pall over markets," said Stifel Nicolaus' Schrader. "A worsening job markets would create more uncertainty about whether we're going to have another recession."
Investors will also continue to monitor the health of corporate America during the final big week for third-quarter results. Over 100 S&P 500 companies are expected to open their books, including media leaders News Corp. (NWSA, Fortune 500) and Time Warner (TWX, Fortune 500), the parent company of CNNMoney, as well as Starbucks (SBUX, Fortune 500), Mastercard (MA, Fortune 500) and Pfizer (PFE, Fortune 500). 

Steve Jobs' sister: 'Death didn't happen to Steve, he achieved it'

(CNN) -- The last minutes in the life of Steve Jobs were still filled by the epiphanies and moments of inspiration that fed his inventor's mind, according to an intimate portrait provided by Jobs' sister in a eulogy published Sunday in The New York Times.
Mona Simpson's eulogy -- originally read during Jobs' memorial service on October 16 -- is a sister's celebration of a brother she knew only later in life, and a lament of losing a best friend. It weaves in words what she believed were the foundations of Jobs' genius: his humility and hard work, his love of learning and his family.
"I want to tell you a few things I learned from Steve, during three distinct periods, over the 27 years I knew him," said Simpson in her eulogy. "They're not periods of years, but of states of being. His full life. His illness. His dying."
Simpson, a writer, and Steve Jobs did not meet until they were adults. Their early family history was fragmented, but set the stage for what later became a deep-rooted friendship between two estranged siblings. After Steve Jobs' birth, his parents gave him up for adoption. Simpson was born later, and the parents subsequently divorced.

The best tidbits from the new Steve Jobs biography

 Legacy of Steve Jobs One day, Simpson said in her eulogy, when she was living in New York and writing her first novel, a lawyer gave her a call to inform her that her "long-lost brother" was rich and famous and wanted to contact her.

"Because we were poor and because I knew my father had emigrated from Syria, I imagined he looked like (actor) Omar Sharif," said Simpson.
"The lawyer refused to tell me my brother's name and my colleagues started a betting pool," said Simpson. "The leading candidate: John Travolta. I secretly hoped for a literary descendant of Henry James -- someone more talented than I, someone brilliant without trying," she said.
The man who came to meet her -- her brother -- was Steve Jobs.
"Even as a feminist, my whole life I'd been waiting for a man to love, who could love me. For decades, I'd thought that man would be my father. When I was 25, I met that man and he was my brother," Simpson said in the eulogy as published in the Times.
"When I met Steve, he was a guy my age in jeans, Arab- or Jewish-looking and handsomer than Omar Sharif," she said.
When they first met, Simpson said, she told her brother she had considered buying a computer but had waited.
"Steve told me it was a good thing I'd waited. He said he was going to make something that was going to be insanely beautiful," she said.
Jobs' life was not always a smooth ride, his sister said in her eulogy. He skidded through volatile times with Apple executives and eventually was ousted from the company he had founded.
"When he got kicked out of Apple, things were painful. He told me about a dinner at which 500 Silicon Valley leaders met the then-sitting president. Steve hadn't been invited," said Simpson.
"He was hurt but he still went to work ... Every single day," she said.

Qantas resumes flights after labor board orders end to dispute with unions

Sydney (CNN) -- Australia's Qantas Airways resumed flights Monday after a government labor board ordered it to end a dispute with its unions that grounded the airline over the weekend.
"Qantas can confirm that all domestic and international services have resumed from mid-afternoon on Monday 31 October," the airline's website said. "We are deeply sorry for the inconvenience and stress our customers have faced over the past days and months."
The first planes to depart were an international flight from Sydney to Jakarta and a domestic route from Melbourne to Sydney.
Some 100,000 passengers were impacted by the groundings, said Kira Reed, an airline representative.
Labor relations tribunal Fair Work Australia ordered an end to the labor dispute "to avoid significant damage to the tourism industry" after Qantas grounded its jets Saturday afternoon.
The airline grounded 447 flights and, ahead of the order to end the dispute, had announced it would lock out its unionized pilots, engineers, ramp, baggage and catering crews effective Monday evening.
The dispute with the unions has dragged on for 14 months, the labor board said.
Qantas argued that the unions' demands would leave the airline "seriously impaired or destroyed."
The labor board gave the two sides three weeks to reach an agreement, with a possible three-week extension if talks were making progress.
The decision "provides certainty for Qantas passengers," company CEO Alan Joyce said in a statement following the decision. He apologized to passengers.
The Australian and International Pilots Association said it hoped for a "positive outcome" from the talks, calling the decision to ground the airline a "gross overreaction" to its demands. "It is a sign that the current management has lost touch with the traveling public, its workers and the basic Australian ethos of free speech," the union said in a statement.
The labor dispute involves three unions representing air and ground staff of Australia's largest domestic and international airline.
Union officials have accused the airline of planning to outsource ground jobs at a cost of thousands of Australian jobs and of putting profits first. Pay and working conditions have also been at the center of the disputes.
The industrial action is aimed at ensuring Qantas will not have enough funds to set up overseas operations that will jeopardize job security, union officials said.
Joyce has come under fire for grounding the fleet, which was preceded by weeks of tension between the airline and its workers.
It's "a maniacal overreaction," said Richard Woodward, vice president of the Australian and International Pilots' Union.
The decision to ground the Qantas fleet, stranding thousands of passengers around the world, was unnecessary and grossly irresponsible, he said in a statement.
In a statement, the Transport Workers Union of Australia described the cancellations as "disgraceful" and aimed at destroying the airline.
Qantas, which has its headquarters in Sydney, is the second oldest airline in the world, and marked its 90th anniversary last year.
It employs about 32,500 people and flies to more than 180 destinations worldwide, according to the company website.

"Gambia Economy Remains Stable" Said Central Bank Governor

The governor of the Central Bank of The Gambia has disclosed that despite the financial market turbulence generated by the European sovereign debt crisis and world banks projection of slow growth in developing countries, the Gambia economy is steadily sustaining growth.

Amadou Colley made this revelation on Friday 28th October 2011 at a press briefing of the Monetary Policy Committee of the Central Bank.  ‘The Gambia economy continues to grow at a robust pace despite the challenging global environment. Economic growth is projected at 5.5 percent in 2011, but lower than the 6.1 percent in 2010. The economy is expected to benefit from increased value-added of agriculture and tourism’, he stated.

Below is the full text of the Central Bank governor’s statement at the briefing.

Since the last MPC meeting in July 2011, growth in some of the advanced economies has weakened against the backdrop of financial market turbulence generated in large part by the unresolved European sovereign debt crisis. Although economic growth in emerging economies is expected to continue to outperform that of the advanced economies, they are unlikely to emerge unscathed from the challenging global environment.

According to the latest World Economic Outlook, global growth is projected to slowdown to 3.9 percent in 2011 compared to 5.0 percent in 2010. Owing to strong growth in the emerging economies, commodity prices remain at elevated levels. This coupled with persistent excess demand in the major emerging market economies are contributing to broader global inflationary pressures.

The Global Food Price Index of the United Nations Food and Agriculture Organization (FAO) reached a historic peak of 238 points in February 2011, well above the peak of 213.5 points reached in 2008. Prices have since eased and in September 2011, the index was 225 points, but still 15 percent higher than in September 2010.

Crude oil prices remain elevated despite recent decrease in prices in September 2011, the largest since May 2010. Overall, oil prices decelerated by 7.4 percent in the second quarter of 2011.

The Gambian economy continues to grow at a robust pace despite the challenging global environment. Economic growth is projected at 5.5 percent in 2011, but lower than the 6.1 percent in 2010. The economy is expected to benefit from increased value – added of agriculture and tourism.

Broad money grew by 11.5 percent in the year to end-September 2011 compared to 20.1 percent a year ago. Both components of money supply increased. However, narrow money grew at a faster pace of 15.3 percent than quasi money (8.6 percent).  Reserve money rose by 13.0 percent, lower than the 20.8 percent a year ago. Although the net domestic assets (NDA) of the Central Bank of The Gambia (CBG) increased by 128.9 percent, the net foreign assets (NFA) contracted by 5.1 percent.

According to the data on Government fiscal operations, total revenue and grants in the first nine months of 2011 amounted to D3.9 billion (12.0 percent of GDP) compared with D3.8 billion (13.1 per cent of GDP) in the corresponding period in 2010.

Tax revenue decreased to D2.7 billion, or 2.3 percent. Non-tax revenue, on the other hand, increased to D404.9 million, or 14.3 percent. Total expenditure and net lending rose to D4.6 billion, or 6.3 percent, reflecting in the main, the 14.1 percent increase in current spending. Capital expenditure, in contrast, decreased by 9.6 percent during the period under review.

The overall budget balance (including grants) on commitment basis was a deficit of D714.50 million (2.2 percent of GDP) compared to a deficit of D530.0 million (1.8 percent of GDP) in the corresponding period in 2010.

As at end-September 2011, the domestic debt increased to D9.2 billion (29.5 percent of GDP) compared to D7.8 billion (27.4 percent of GDP) in September 2010. Outstanding Treasury bills, accounting for 74.0 percent of the debt stock, rose to D6.8 billion compared to D5.5 billion in September 2010.

Data on the distribution of Treasury bills by maturity indicate that the 364- day bill, 182-day bill and 91-day bill accounted for 69.31 percent, 20.51 percent and 10.18 percent of the outstanding bills compared to 65.64 percent, 21.0 percent and 13.36 percent respectively in September 2010.

Treasury bills and Sukuk Al-Salaam yields continue to decline. The 91-day Treasury bill and Sukuk Al-Salaam yields declined to 7.98 percent and 8.15 percent in September 2011 from 9.57 percent and 10.08 percent respectively in September 2010.

Similarly, the yield on the 182-day and 364-day bills decreased to 8.7 percent and 10.01 percent from 10.24 percent and 13.37 percent respectively in September 2010. The volume of transactions in the foreign exchange market contracted to US$1.56 billion in the year to end-September 2011 compared to US$1.68 billion a year earlier.

The Dalasi continues to weaken against all the major currencies. Year-on year to end-September 2011, the Dalasi depreciated against the US Dollar by 4.7 percent, Euro (6.6 percent) and Pound Sterling (0.95 percent). In nominal effective exchange rate terms, the Dalasi depreciated by about 5 percent.  Preliminary balance of payments estimates indicated an overall surplus of US$39.29 million in the first half of 2011 compared to US$39.94 million in the corresponding period of 2010.

The current account recorded a surplus of US$43.5 million, significantly higher than the US$20.7 million in the corresponding period in 2010. The goods account recorded a deficit of US$55.17 million compared to the deficit of US$49.02 million in the first half of 2010.

Imports and exports rose by 17.0 percent and 19.4 percent respectively. The capital and financial account recorded a deficit of US$4.2 million relative to the surplus of US$19.2 million in the corresponding period in 2010. As at end-September 2011, the gross official reserves totaled US$171.7 million, equivalent to 4.9 months of import cover.

According to the key financial sector indicators, the banking industry remains fundamentally sound. The average risk-weighted capital adequacy ratio was 27.1 percent in September 2011, higher than the 24.8 percent in the previous quarter. All the banks met the minimum requirement of 10.0 percent.

The industry’s assets increased slightly to D18.1 billion, or 0.12 percent from the previous quarter. Compared to the corresponding quarter of 2010, assets increased by 10.7 percent. Gross loans and advances, accounting for 30.0 percent of total assets, rose to D5.4 billion, or 6.5 percent.

Although the ratio of non-performing loans to gross loans at 13.0 percent was the same as in the previous quarter, it was below the 16.2 percent in the third quarter of 2010.. Deposit liabilities rose to D11.9 billion, or 0.04 percent over the second quarter of 2011. However, compared to the corresponding quarter in 2010, deposit liabilities rose by 9.3 percent.

According to the readings of the forward-looking business sentiment survey, the vast majority of respondents expect economic and business activity to be higher in the fourth quarter of 2011 compared to the third quarter of 2011. Also, the majority of respondents reported that current prices are higher, but expect inflation to be lower in the fourth quarter of 2011.

End-period inflation, measured by the National Consumer Price Index (NCPI) was 4.1 percent at end-September 2011, from 6.2 percent in September 2010. Average inflation (12-month moving average), however, increased to 5.2 percent in the year to end-September 2011 compared to 4.2 percent a year earlier. Consumer food inflation decelerated from 8.4 percent in September 2010 to 5.5 percent in September 2011. Non-food inflation also declined to 2.2 percent from 2.9 percent in September 2010.  Core inflation, which excludes prices of energy, utilities and volatile food items, decreased to 4.2 percent in September 2011 from 6.2 percent in September 2010.

Outlook for Inflation
Inflation is projected to be within the target of 6.0 percent in the remainder of the year premised on the continuous decline in global food and energy prices, expected increase in domestic food production and the prudent stance of monetary policy. There are, however, upside risks to the outlook mainly emanating from exogenous price shocks and the stance of fiscal policy.

Decision
Taking the above developments into consideration, including the risks to the inflation outlook, the MPC has decided to reduce the rediscount rate by 1 percentage point to 14.0 percent.

Chinese investment in Europe to surge

(Financial Times) -- In the wake of a handful of high-profile Chinese investments in companies like Volvo and a constant barrage of headlines declaring China's economic rise, some Europeans might have the impression they are already being bought up by Beijing.
This impression is reinforced by a proposal that would see China give a small chunk of its $3,200bn foreign exchange reserves to the International Monetary Fund to bail out European banks or backstop sovereign debt in the eurozone.
But while the country's huge reserves make it an important participant in international debt markets, they do not represent a piggy bank that China Inc can raid to snap up big swathes of European industry.
In fact, China's total stock of direct non-financial investment in the 27 European Union member states, while growing quickly, is still miniscule at around $15bn, according to a new study from Rhodium Group, an economic consultancy.
That represents less than 0.2 per cent of all foreign investment stock in Europe.
Europe agrees on debt crisis deal.
To put it in perspective, total Chinese investment in hard assets in Europe in recent decades is equivalent to the average weekly increase of its foreign exchange reserves in the first half of 2011.
The vast bulk of those reserves is managed under a strict mandate that does not allow it to be spent on direct investments abroad. However, Beijing is encouraging its cash-rich state enterprises to expand beyond China's borders and the country's outbound investment is expected to surge in the coming years.
According to government figures, China's global stock of outbound direct investment reached $330bn at the end of June, up from less than $30bn in 2002 but that still only accounted for about 1.6 per cent of the global total from all countries.
Given Beijing's ambitions and the size of China's economy, the Rhodium Group estimates that Chinese companies could invest as much as $1,000bn abroad between now and 2020, with much of it going to developed economies.
"China's investment interest is moving from natural resources toward developed economy assets such as brands, technology and distribution channels so places like Europe will receive a greater portion of that $1,000bn," said Thilo Hanemann, research director at the Rhodium Group.
Chinese direct investment in Europe in the first half of this year hit almost $3.3bn, exceeding the total for all of last year. If some large proposed deals in the energy, gas and PC sectors are completed, the total for this year could be as high as $8bn.
The EU and Beijing are considering opening negotiations on an investment treaty that would make it easier for Chinese companies to invest in Europe and would help counter possible protectionist sentiment in Europe.
While European officials insist the continent is open to all foreign investment Chinese officials complain that their companies are treated unfairly and regarded as a threat while investors from the US are welcomed.
Analysts say the biggest obstacles to more direct investment in Europe are Chinese companies' lack of experience in international deal-making and their inability to adapt to the legal and political environment they encounter there.
"So far we have seen very few successful stories of Chinese companies operating in Europe," said Tao Jingzhou, managing partner for Asia at Dechert law firm. "It is a struggle because of much higher costs and a very different legal structure, especially when it comes to labour laws."

6th African Economic Conference opens in Addis.-Experts call for major structural transformation of African economies

The 6th African Economic Conference opened Tuesday, 25th October 2011 at the United Nations Conference Centre in Addis Ababa, Ethiopia, with calls by experts for a major structural transformation of African economies.

With the theme: ‘Green Economy and Structural Transformation’, the four-day conference is jointly hosted by the United Nations Economic Commission for Africa (ECA), the African Development Bank, and the United Nations Development Programme (UNDP). The specific objectives of the Sixth African Economic Conference is to provide a platform for experts on Africa, both within and outside the continent, to reflect and dialogue on new directions for growth policy on the continent in order to determine the best approaches to attain the Millennium Development Goals, achieve the objectives of NEPAD and accelerate Africa’s sustainable development.

It will also help to build a common understanding of and exchange knowledge on the green economy concept among African scholars, policy makers as well as other experts in the field; To deepen the knowledge-base in the subject in the quest to meet challenges and identify opportunities in a ‘green economy’ and to share experiences on what is working and what is not in terms of policy responses and interventions; Suggest ways to reinforce capacities of governments and the private sector as well as empowering citizens in the promotion of green economy on the continent, to articulate ways of formalizing a framework for African countries to ensure that relevant green economy concerns are addressed in international, regional and national fora.

Speaking at the opening ceremony, Abdoulie Janneh, the UN Under Secretary General and Executive Secretary of the United Nations Economic Commission for Africa (UNECA) said it is now evident to all concerned that mankind needs to move from old resource intensive methods of growth in which progress has been at the expense of the environment to one in which productivity is boosted by using and managing natural resources more efficiently and effectively. He said green economy must contributes to the structural transformation of African economies, as economic activities must take account of long-term consequences for the environment and the need to preserve our common heritage for future generations while promoting improved social conditions, noting that building a green economy is therefore an important element of the solution.

According to him, the commitment to building a green economy brings its own challenges noting that switching to a green growth path may enable leap-frogging of dirty and inefficient technologies, there are more fundamental dilemmas to grapple with including costly adaptation and path dependence. “Radical changes would be required in behaviour from government, firms and consumers and matched by sufficient financial resources if this approach is to succeed.  We also face a predicament in the sense that while the pressing priority for most African countries is to promote growth that creates jobs the immediate effect of on-going growth is a short-run increase in demand for food, energy, and water that may further burden the environment.” Janneh posited.

The Gambian-born UN under Secretary General said: “It is against this background that we must examine how best the green economy can bring about structural transformation in Africa.  In doing so, however, we must note that Africa has been growing quite steadily since the turn of the new Millennium with growth rates averaging about 5%.  We therefore need to take this situation into account as we try to shift to a green growth trajectory, and especially as our major development partners are also grappling with debt, unemployment and slow growth.  Moreover, we must strive to ensure that our growth processes provide job opportunities for young people and give them hope for the future.”
To ensure that the green economy contributes to structural transformation in Africa, Janneh said we have to overcome some of the challenges outlined, and would also mean providing a persuasive vision for the green economy, promoting green growth, determining key sectoral priorities and establishing frameworks for coordination at national and international levels.

Janneh reminded African leaders that if the green economy is to drive a process of structural transformation it would be important to convey a clear vision to all stakeholders of what it entails and what is required to bring it about.  Creating awareness about the concept is an important and necessary first step in meeting this very important requirement, just as it would be necessary to highlight its potential contribution to growth and structural transformation. He said Africa has an abundance of natural resources such as minerals, fisheries, forests, wind, hydro and solar which provide it with options for their long-term use in an eco-friendly manner. He added that the green economy would also need to be properly coordinated with on-going processes and must therefore be integrated in national development plans and strategies pointing out that African countries like Ethiopia, Kenya, Morocco, Rwanda and South Africa are good examples of how the green economy could be used to create jobs, generate energy and aim towards carbon-free targets.  In addition, he said governments also have a role in establishing policy frameworks that will prioritize investments in the green economy and create incentives to overcome negative externalities and encourage private actors to embrace the idea.

He then made it clear that  it is important that international governance of the environment promotes rather than hinders green growth.  “There is legitimate fear that a green economy may allow for trade protectionism and the imposition of additional policy conditionalities but this need not to be the case if we promote and adopt global norms that make it easier to produce and trade in green goods” he said. He stated that since developed economies have the resources and technological capabilities needed to undertake required changes, serious consideration should be given to how best to assist African countries to implement agreed outcomes including through the provision of accessible finance, building of local capacities, and access to green technologies. He then described the theme of the conference as relevant, apt and compelling and urged Africans to address this concern by clearly defining what we mean by the green economy and to show that it does not subtract or detract from sustainable development but rather further deepens our ability to promote the balanced integration of its economic, social and environmental pillars.

The Ethiopian Prime Minister, Meles Zenawi, stressed that green growth of utmost importance to Africa due to its abundant renewable energy sources. He said that since African economies are largely agrarian-based, any action on green growth must first target the agriculture sector. He also stated that structural transformation can only take place with a massive increase the production of energy in Africa, from renewable sources. And added that Ethiopia had already embarked on such a programme, that will increase energy generation five-fold in the next five years. “By 2025, when we expect to be a middle-income country, we will have close to zero net emissions of carbon in our economy,” he said.
The Chairperson of the African Union Commission, Jean Ping, said the theme of the meeting was very timely and will help Africa’s preparations for the CoP17 negotiations later this year in Johannesburg, South Africa; and the Rio + 20 meeting in Brazil in June 2012.

Ping quoted the famous political economist, Thomas Malthus, who once said: “The power of population is indefinitely greater than the power in the earth to produce subsistence for man.” He made it clear that he was not a Malthusian, and said green economic growth would be the solution to population pressures. He also noted that the 2011 Economic Report on Africa, jointly published by the African Union Commission and the Economic Commission for Africa, calls on the state to intervene in economic activities to guide development, and said the developmental state would be central to progress in Africa.

Tegegnework Getu of UNDP noted that although African countries had achieved impressive growth rates in recent years, this had not led to a significant improvement in the lives of Africans. He therefore called for a new economic development model such as green growth. “African countries must achieve much-needed advances in human development without replicating the unsustainable practices of those already there; improve the utilisation of their natural resources, including the new discoveries of minerals and hydro-carbons, such that critical environmental systems functions that are preserved and so that the human development of current and future generations is maximised,” Getu said.

Mthuli Ncube, the vice president and chief economist of the African Development Bank, pointed to the difficulties that the global economy is currently facing and the dangers this can pose to African economic prospects. He said African policy-makers therefore have a responsible to manage African economies to shield it against external shocks and to promote global growth. He added the continent also needs to access more funds available for climate change adaptation and called for the creation of a climate change fund that is specific to Africa.

The African Economic Conference will finally inform the 17th United Nations Framework Convention on Climate Change, which takes place in Durban, South Africa from 28 November to 9 December 2011 and will also help the continent to prepare for the United Nations Conference on Sustainable Development (Rio+20) to be held in Rio de Janeiro, Brazil, on 4-6 June, 2012.

Outgoing GTBank MD bids farewell to VP

The outgoing managing director of Guaranty Trust Bank Ltd (GTBank) Friday bade farewell to the vice president and minister of Women’s Affairs, Aja Dr Isatou Njie-Saidy at State House.

Olalekan Sanusi, who was accompanied to State House by the incoming MD, Olufemi Omotoso, used the opportunity to thank the Gambian officials for the remarkable support rendered over the years as well as ensuring a business-friendly environment.

The outgoing MD, who is taking up a new appointment in Accra, Ghana, further stated that they deem it prudent to pay a courtesy call on VP Njie-Saidy, so as to introduce his successor to the Gambian officials.

He described the new MD as a man with a vast wealth of experience, who had previously worked at their branch in Liberia before taking up the Banjul assignment.

Sanusi also commented on The Gambia’s banking performance in recent times saying it is a country where business is viable due to its political stability.

He stated that the bank is a responsible corporate institution and that they pay corporate taxes which amount to millions of dalasi annually.

“Currently, we employ about 250 Gambians and we are committed to transfer the knowledge and skills in fulfillment of the South-South Cooperation,” he added.

Sanusi also hailed the authorities for ensuring stability in the country. “The Gambia is a safe haven to me and the authorities have demonstrated a high level of confidence on us to do business here,” he concluded.

On his part, the incoming MD, Olufemi Omotoso, expressed similar sentiments and thanked the Gambian authorities for creating the enabling environment for businesses to operate successfully in the country.

In her response, VP Njie-Saidy thanked the outgoing GTBank MD for the efforts he put in while serving in the country. She also welcomed his successor on behalf of the Gambian leader and the entire citizenry.

She assured that the Gambia government is appreciative of the bank’s intervention in the development of the country and thanked the officials for their efforts.

She further assured that the Gambia government has placed a lot of confidence and trust on the bank, which she said, is as a result of the bank’s remarkable performance.

The vice president finally assured the new GTB MD of government’s full time support in creating the enabling business and policy environment for businesses to thrive.

Alhagie Saihou Denton, GTBank Group head of Public Sector also thanked the leadership of the country for creating an enabling environment to conduct business.  Babou Gai, head of Corporate Affairs, GTBank chaired the occasion.

Africa’s hard-earned economic gains at serious risk....Says GCCI prezy

The president of The Gambia Chamber of Commerce and Industry (GCCI) has said that Africa’s hard-earned economic gains over the past decade are at serious risk because of the current global financial and economic crisis.

Bai Matarr Drammeh made this remark Tuesday at a one-day Economic Outreach  Seminar on Tax Reforms in The Gambia jointly organised by the International Monetary Fund (IMF), the Ministry of Finance and Economic Affairs(MoFEA) and the GCCI at the Kairaba Beach Hotel in Kololi.

The GCCI prezy, who doubles as the president of Federation of West African Chambers of Commerce and Industry (FEWACCI) said that like the rest of the world, the continent is feeling the impact if the global financial and economic crisis and that the economic slowdown is also likely to increase credit risk and non-performing assets, weakening the balance sheets of financial institutions and corporations. 

He said the demand for exports in Africa has fallen; commodity prices declined and remittance flows may be weakening.  He added: “The tighter global credit and investors risk aversion have led portfolio flows to reverse, deterred foreign direct investment in our countries and made trade finance more costly.

The squeeze on the financial flows implies that the continent will once again rely greatly on the multilateral financial institutions, that is the IMF, the World Bank and the African Development Bank.”

Harping on the importance of tax to the economy, the GCCI boss said taxes account for almost all of government revenue in most African countries. He explained that increasing tax revenue can have a significant impact on improving domestic resource mobilisation, provided it does so without discouraging private economic activity. “Public revenue should be mobilised in a way that preserves incentives for private sector actors to work and save,” he noted.

He further noted that Africa loses significant amounts of its own much-needed resources through capital flight. He stated that the estimates of capital flight from Africa vary considerably -according to the African Union US$148 billion leaves the continent every year because of corruption.

 “Other researchers have estimated that Africa has suffered a net accumulated outflow, including loss of interest earnings amounting to over US$600 billion since 1975.

Most analysts agree that the outflows of illicit money originating in Africa tend to be permanent, indicating that between 80%-90% of such flows remain outside the continent,” he further stated.

After giving the breakdown of challenges confronting the African continent on trade and economic-related activities, Drammeh observed and suggested the need to help African countries to retain and tax the profits attributable to them from multinationals to increase transparency and to implement internationally agreed standards on exchange of information to counter tax evasion and other abuses.

He spoke of the need to develop a renewed focus on enhancing domestic revenues through broadly-based taxation, alongside higher aid flows at least in the medium-term.

For  his part, Mod Secka, the permanent secretary, Ministry of Finance and Economic Affairs explained that the reforms aim to improve effectiveness and efficiency of tax policies for improved domestic revenue mobilisation and creation of better investment climate.

Since then, he said there has been great improvement in resource mobilisation. He used the opportunity to inform the gathering that the government of The Gambia over the past five years has introduced a number of public financial management (PFM) reforms.

“These reforms are expected to promote macroeconomic stability, improve revenue mobilisation, promote efficiency in resource allocation, provide information on stock of arrears and the public debt, ensure integrity in the budget process and improve resource management and financial stability,” PS Secka added.

He disclosed that in its efforts to modernise and strengthen the tax system for improved domestic resource mobilisation in support of national development, the government has made a commitment to replace the existing sales tax with value added tax (VAT) by 2013.

According to him, this provides a great opportunity to widen tax base, as the VAT is seen as more broad-based revenue enhancing consumption tax than the current sales tax, which applies to limited domestic supplies of goods and services and imports.

Other speakers at the meeting, which was characterised by a question and answer session included the IMF resident representative, Meshack T. Tjirongo, and David Dunn, IMF’s Mission chief.

Impressive performance of Ecobank’s microfinance initiatives gain international recognition

Ecobank Group’s microfinance affiliates in Ghana and Nigeria have both recently won prestigious awards for their contribution to empowering low-income but economically active entrepreneurs by providing tailored, accessible microfinance services.

In Ghana, Ecobank’s subsidiary,EB-ACCION Savings & Loans(‘EB-ASL’), a joint venture with Accion Investments and the IFC, has won African Banker’s 2011 “Microfinance Project of the Year Award” for creating a platform for financial inclusion for the  un-banked, under-banked and low income earners.

This included a mass savings scheme, started in 2010 with the financial backing of the Bill and Melinda Gates Foundation. To augment its 7 branches in Ghana, EB-ASL has adopted a branchless banking model, supported by Ecobank’s robust IT platform and utilizing a number of distribution channels including a team of 185 roving agents, Ecobank’s network of over 100 ATMs throughout Ghana, a free customer deposit mobilization scheme via POS terminals and SMS banking services. This has enabled the company to service more than 60,000 clients and to break-even within three years.

Ecobank’s affiliate in Nigeria, ACCION Microfinance Bank (‘AMfB’), a collaboration with Accion Investments, the IFC and other institutional investors, also has won the 2011 “Best Microfinance Bank of the Year” in the Lagos Enterprise Awards, which recognise leading companies that have contributed significantly to the economic development of Nigeria.

AMfB is a Nigerian microfinance provider that operates twelve branches throughout Lagos and has more than 57,000 customers. AMfB is a market leader in Nigeria in the provision of microfinance and related financial services to micro-entrepreneurs and  low-income earners.

Ecobank also provides loan finance and banking services to more than 700 other microfinance institutions in Africa on a wholesale basis. The Group is creating Africa’s largest regional microfinance platform, offering comprehensive financial services to informal sector players who have been largely underserved in the past.

 Ecobank now has microfinance  subsidiaries and associated companies in five  countries (Burkina Faso, Cameroon, Ghana, Nigeria and Sierra Leone), servicing 171,000 microfinance clients.

Patrick Akinwuntan, Group Executive, Domestic Banking of Ecobank,  commented:
“At Ecobank, we understand that providing financial access to unbanked and under-banked low-income customers is fundamental to unlocking the immense economic potential of Africa. Our  microfinance business leverages Ecobank’s unrivalled      footprint in Africa, as well as our capacity to provide rapid, convenient and cost-effective access to savings and loans.

The success of Ecobank’s initiatives is generating increasing interest from   international investors and development institutions to partner with us in expanding our microfinance platform throughout Africa.”

About EB-Accion
In 2006, the Ecobank Group and ACCION International, a private, nonprofit organization, entered into a joint venture to create microfinance institutions and offer financial services targeting low-income groups in West and Central Africa.

The initiative  leverages both ACCION’s technical expertise in the microfinance sector and Ecobank’s banking infrastructure. The objective is to build a large-scale banking platform offering tailored financial services to micro and small businesses.

 Key to the strategy is a cash-flow credit assessment of customers, as opposed to the traditional collateral-based approach, and the development of a team of dedicated loan officers offering banking services through intensive personal relationships with clients.

Islamic Banking Forum Opens

A five-day regional course on the rudiments of interest-free Islamic banking kicked-off Monday at the Paradise Suites Hotel in Banjul.  The course, organised by the West African Institute for Financial and Economic Management (WAIFEM) and attended by bankers from the sub-region is geared towards exposing bankers in the region to the basic tenets of Islamic banking.

Welcoming participants to the course, Professor Akpan H Ekpo, director general of WAIFEM explained that Islamic banking is a banking model based on profit and loss sharing system and rests on the Islamic doctrine of ‘universal permissibility’ in business dealings, which states that everything is permissible unless it is clearly prohibited.

He further noted that Islamic banking is expected to give depositors another choice of when to deposit their wealth. “In our conventional banking environment, it is a fact that borrowers are at times rendered miserable and frustrated leading to failure as a result of overbearing interest rates.

This irony is that while lending rates are always in an upward trajectory, depositors’ rates pitiably low. A case for non-interest or Islamic banking would therefore bridge this gap between the depositors and lending rates,” he asserted, whilst affirming that Islamic banking sees its client as its own and in such, issues of greed, highhandedness, selfishness and corruption would always be checked.

He further explained that the objectives of the course is to provide a broad understanding on rudiments of Islamic banking, as well as provide clarity on the Shariah requirements and the avoidance of RIBA in modern day banking business.

The WAIFEM boss also seized opportunity to give a brief account of his institute. He informed participants that WAIFEM was established in July 1996 by the central banks of The Gambia, Nigeria, Sierra Leone, Liberia and Ghana, with a view to build sustainable capacity for improved macroeconomic and financial management in the constituent countries.

He said that since inception his institute has been enjoying short-term courses and as at end June 2011, some 10,200 participants including senior and executive officials of central banks and key policy ministries, national parliamentarians, senior policy analysts, journalists university lecturers and officials in both public and private sectors of the economy have benefited from the institute’s programmes.

Ekpo finally expressed optimism that the course will enhance the knowledge of participants on Islamic banking for the efficient execution of their duties.

For  his part, Amadou Colley, the governor of the Central Bank of The Gambia who delivered the keynote address, also spoke at length about the history and significance of Islamic banking and how it can sanitise the global financial system particularly at this era of financial troubles.

Exposing participants to Islamic banking in The Gambia, the Central Bank governor explained that the government of The Gambia realising the potential of Islamic banking in the country given its large Muslim population engaged the Islamic Development Bank in partnership to develop the necessary infrastructure to accommodate Islamic banking. 

This partnership, he went on, resulted in the review of the Financial Institutions Act 1992, now the Banking Act 2009 and the relationship facilitated the creation of a legal framework for the establishment of Islamic banking in the country, which was followed by the necessary regulatory framework to adequately supervise Islamic banks.

“In 1997, the first Islamic institution, the Arab Gambia Islamic Bank, was established through private equity participation including the Islamic Development Bank. Within a decade, the bank was able to mobilise 25,000 depositors with a total deposit of D400 million,” Colley revealed, adding that that the bank engaged in products such as Murabaha, Mudarabah, Musharakah and Wikala”.

He also revealed that to further deepen the financial system and create an investment outlet for the Islamic banks and other Sharia compliant investors, the Central Bank of The Gambia developed an investible Islamic instrument called Sukuk Al Salam in 2007.

He explains: “The instrument had a ‘yield’ comparable to the Treasury Bills and it gained popularity and attracted investments from the Islamic and conventional banks alike.

To compliment the activities of the Islamic bank under Sharia and further deepen the financial sector, the insurance legal regulatory framework was reviewed to cater for Islamic insurance, and in 2008 the first Islamic insurance company was created to operate under Sharia principles.”

Colley also urged participants to take maximum advantage of the opportunity to enhance their knowledge and skills on Islamic banking and as well as cultivate personal and professional friendships.

Trust Bank Limited...Quintessentially Gambian

Trust Bank Gambia limited (TBL) the ‘Gambian bank’ has cut a niche for itself as the most successful bank in The Gambia today.  When the bank commenced operations in the country 14 years ago, it promised Gambians and even non-Gambians living in the country that it would provide sound, convenient and reliable banking services backed by remarkable corporate social responsibilities.

It pledged to bring banking services to the door steps of its ever growing customers across the country. Today, the bank has delivered on its promises so much so that it has even gone beyond. TBL today employs nearly 300 people and a management team consisting of highly experienced Gambians who have a very strong knowledge of the banking industry.

The shareholding is in the hands of institutional investors, both local and foreign, individuals and employees of the Bank. With its Head Office located at 3-4 Ecowas Avenue Banjul, Trust Bank operates 13 branches spread across the country.

The bank offers a wide range of products and services that serves the needs of its individual and corporate clientele. In the last few years the bank has invested significant amount of fund to leverage on superior technology to provide more access and convenience to its customers both home and abroad.

It is not surprising that TBL has won the Gambia Chamber of Commerce and Industry (GCCI) Bank of the Year award an impressive five times.

In the words  of Mr Dodou Nyang, marketing manager of the bank: “Trust Bank has a unique and particular way of doing things and it is the wish of every organisation around the world that when you have a vision, people log on to that vision.

At Trust Bank, all what I can say is that we have a vision, we have a unique way of doing business and we are really grateful that the market has logged on to this particular vision and the unique way that we do business.

"You can come and propose a way of doing business but then people fail to notice it or people fail to really accept your particular way of doing business. So really we should be very gratified that the customers based in The Gambia with all the choice that they have in front of them, have decided that they are more in tune with Trust Bank’s way of doing business.

"We have people who have been there during the transition, development and metamorphosis of Gambian banking. We have people at Trust Bank who have understanding of the banking industry.

We also have to accept that Gambian banking has really developed in the last Fifteen years. Trust Bank is unique that it is the envy of the banking industry in the Gambia; that it has the people who have seen it all how banking was years ago and how it has developed.

We give solutions to our customers that are unique and specifically targeted to their needs; we do it in a way that will always be very difficult for any bank to replicate.”

 He continued: “After 13 years of successful operations, Trust Bank today stands out as a bank that contributed and continues to contribute heavily in the areas of health, education and sports.

In the area of youth and sports, the bank continued to make donations to secondary school sports, U17 National Team, private and public sector football tournaments as well as to the National Youth Service Scheme [NYSS].

In the field of education, the bank continues to award prizes to deserving students from secondary schools as part of the Excellence in the Millennium Award Scheme and continued to support the University of The Gambia [UTG].

The bank's corporate social responsibility objective is to empower the nation through building a stronger, healthier and educated populace.

In spite of the stiff competition in the Gambian banking sector, Trust Bank continues to record hefty profits in his operations, as explained by Nyang:
"Our profit increased from D64.9 million to almost D70 million but most importantly, the amount of loan we have given and I will tell you why this is important, the amount of loan that we have given increased by almost D400 million.

 It is important because it shows you the unique way Trust Bank does its business. There are banks in The Gambia who have actually given out fewer loans to their customers last year than the previous years."

Cognizant of the fact that we are in a hitech world, where individuals and businesses are highly in need of stress-free and quick financial transactions, the ‘Gambian bank’ has made  available for its customers a vast array of banking services.

Nyang further explains: "We have introduced many valued added services. In the area of products that we offer, we have services like the online banking, the SMS banking, the trust alert, the ten ATM machines that we have, which is by far the most ATM machine that you can find from any banks in The Gambia.

“Our Online Banking Service allows customers to get access to their account information anytime and anywhere in the world. The service is geared towards bringing banking to your door step thereby making it more accessible to all our existing customers.

The  Point Of Sale (POS) payment system is another service aimed at giving our esteemed customers value for their money.

This service comes with a debit card called Quick Cash which is a highly secured card that can be conveniently used to make payment for goods and services received at various selected Supermarkets, Shops, Petrol stations & Restaurants around the country.

This service comes with a Point Of Sale Terminal which is an electronic device placed at selected merchant locations used for verifying and processing our Quick Cash debit card transaction.

 The Point Of Sale service is an ideal product for all Trust Bank customers. The debit card provides an alternative payment method to cash when making a purchase and wherein the funds are transferred directly from the customers or cardholders account.


The debit card allows payments only on credit balances and approved overdraft facilities.

“We also have our own Automated Teller Machines (ATM) at identified locations around the country just for the convenience of our valued customers.

This will allow our customers to make cash withdrawals and also make enquiries on their accounts twenty four hours a day and seven days a week.

The ATM machines are located in Banjul, Bakau, Serrekunda, Kololi, Bakoteh, Bundung, Serrekunda Market, Brikama, Kairaba Shopping Center and Latrikunda. With 10 ATM.

“There is also our SMS BANKING Service which is a simple and easy to use system that offers round the clock stress-free service to our esteemed customers.

To get information from your account no longer requires a phone call, queues or writing a letter; simply send an SMS to get access to any information of your choice.
The SMS service enables you to do the following:

 *Balance Enquiry: This will give you both the latest Ledger and the available balances on your account.

*Pin change: This will enable you to change the pin to a new one.

*Mobile Airtime Top up: You no longer need to rush for scratch cards. Just top up your phone anywhere for any amount.

*Cheque book request: This option will enable you to request for trust bank cheque book and pick it at your convenient time.

*Account Statement request: This option will enable you to request for your account statement anytime and just pick it from your branch.

*Exchange rates: This gives you the latest currency exchange rates for the five major currencies.

*Mini statement: This option returns the latest 5 transactions from your account.

*Account Funds transfer: This option enables you to transfer cash from one account to the other. This is between your accounts.

*Stop cheque payment: This option allows you to instruct the bank to stop the payment of a given cheque(s) in case you do not want them to be paid.”

GTBank Gives Prizes To The Winners Of The VISA CARD 2011 Summer Promotion

Guaranty Trust Bank(Gambia) Limited, on Thursday gave prizes to the winners of the Bank's Visa Card 2011 Summer Promotion, at a ceremony held at the Bank's Jimpex branch in Kanifing.
The raffle draw was done in two forms and was witnessed by some of the Bank's customers, staff of the bank, media practitioners and other important personalities.

In his welcoming remarks, Femi Omotoso, the new Managing Director of Guaranty Trust Bank(Gambia) Limited, spoke at length on the importance and benefits of the Visa Card 2011 Summer Promotion.

He added that the GT Bank Visa Card holders are qualified to pertake in this promotion. According to him, if one gets a Visa Card, then one can have access to over one million ATM machines all over the world and can also access the Gambian Dalasi in their account in The Gambia and anywhere else in the world.

”We also have over 25 million machines that access the card worldwide and with the visa card, you can go shopping and when you are shopping you are qualified to win all the prizes mentioned herein,” he explained.

Commenting on the significance of the card, he said, when you have the card it means one is not carrying cash and it helps customers to avoid the risk of loosing their cash through theft cases and other misfortunes that might occur.

He then urged the general public to try and be part of the GTB Visa Card          promotion, stating that there is a lot of opportunities that one can benefit from in it and that, it is very secured. He also thanked all their Visa Card holders for being part of their promotion.

For his part, Bolaji Ayodeleh, the Bank's General Manager, who gave a brief explanation on how the Bank came up with a such a promotion, said it is a           collective initiative that was jointly discussed together with their Corporate Affairs Unit on how can they tell their customers ’thank you for your loyalty’.

He recalled that the promo started from the 15th July to 15th August, 2011, a period of one month, and the second draw started from the 15th of  August to 15th of September and the 3rd draw is this promotion being witnessed.

Delivering the vote of thanks, Alhaji Denton, a senior manager at GT Bank, highlighted some key issues that the Visa Card has, adding that the rate is cheaper than that of the market rate.

He said for those who have children abroad, they can have additional cards and the child can be able to use it for the purpose. ”The essence of the whole thing is to make life easier for our customers and help you do things in a better way,” he said.

Narrating his experience with the Visa Card, Pa Sulayman Secka, on behalf of the winners of the promotion, said while going on holidays in the United Kingdom with his wife, he decided to go along with his Visa Card, not realising its            importance, until he was in the UK.

”In UK, I was able to use the Card  wherever I go to and I did not encounter any problem with it. From there I trust GTBank Visa Card because it helps me save money due to foriegn exchange, even the cash I went along with I have to bring it back home with me to The Gambia.

It is not that I am trying to promote GTBank, but what I am saying is the truth and I really appreciate banking with GTBank,” he explained. Prizes for the monthly draw and the  winners are as follows; Prizes for the monthly draw includes the following, the 1st prize was free GT Bank Save Account with a starting balance of D10,000  and the winner was Afolabi Isiah Olugbola; the 2nd prize was a free Visa Card with D5,000 credit balance and it was won by Awada Enterprise; and the 3rd prize was free dinner for two persons at Coco Ocean and Spa, and the winner for that prize was Kareem Sati Rahmana. Prizes for the Grand Raffle Draw and winners are as follows;

The prize was a Return Air Ticket to London plus 1,000 pounds as pocket money and the winner was EH Farage; the 2nd prize is two nights for two persons at Coco Ocean and Spa plus D10,000 and the winner was Pass Trading; and the 3rd prize was free Visa Card with D20,000 credit balance, and the winner was Ebenezer Owoey.

How does a GT Bank customer qualify for monthly draw?

To qualify for the monthly draw, one must save more than D50,000 per month.

How does a GT Bank customer qualify for thegrand draw?

To be qualified for the grand draw, one must save more than D100, 000 throughout the promotion period. GT Bank Visa Card is acceptable globally on ATMs, POS Terminals and internet.

MoFEA, ADB Ink US$3.2M Financing Agreement

The Ministry of Finance and Economic Affairs (MoFEA) Wednesday signed a financing agreement with the African Development Bank (ADB) valued at US$ 3.2 million, earmarked to support the activities for the improvement of economic and financial governance in The Gambia.

Signed on behalf of the Ministry of Finance and Economic Affairs by Mod Secka, the permanent secretary MoFEA, and Leila Mokadem, the ADB’s resident representative for the West African Region, the agreement aimed among other things, to enhance macro-economic policy analysis and debt management, as well as strengthen transparency and accountability in the public financial management.

The grant agreement is directed to target the Finance Ministry, the National Audit Office and the Public Accounts Committee of the National Assembly. In the face of this grant, the above mentioned institutions would be provided some technical assistance, notably training and IT upgrades, thus enabling them to better efficiently manage the public finance.

As part of the grant, partnership has been reached between MoFEA and ADB to harness the services of local training institutions and NGOs to deliver part of the capacity support envisaged through the project.

It is indicated that particular attention would be given to ensure that female and young professional staff in these institutions benefit from the training programmes to promote their career development.

Speaking at the signing ceremony, Mamburey Njie, the minister of Finance and Economic Affairs, highlighted the aim of the project, saying it is meant to address the human and institutional capacity constraints and weaknesses in the public financial management that would help in the establishment of efficient, effective and accountable use of public resources, as basis for stable macro-economic environment and improved wellbeing of Gambians.

“The project is to be executed in three years and the key beneficiaries are the Ministry of Finance and Economic Affairs, the National Audit Office and Public Accounts Committee of the National Assembly,” he explained.

He then commended the ADB regional representative for sparing her time in visiting The Gambia, and also hailed the institution for approving such a grant to The Gambia.

For her part, Leila Mokadem said the grant agreement is a three-year project aimed at supporting the government of The Gambia with the implementation of her Public Financial Management Reform Strategy, with an overarching goal of establishing the effective and accountable use of public resources as a basis for a more vibrant and stable macroeconomic environment, socio-economic advancement and the improvement of the welfare of Gambians.

“More specifically, the project focuses on enhancing on macro-economic policy analysis and debt management, as well as strengthening transparency and accountability in the public financial management,” she outlined.

She noted that through this support, the government of The Gambia would have the additional capacity and tools to better implement its reform agenda and manage public resources more efficiently.

The ADB regional representative further dilated on the support her institution has been rendering to The Gambia in terms of her policy and institutional reforms since 1984.

According to her, the Bank Group has recognised the firm commitment and progress achieved by the Gambia government in advancing reforms in public financial management.

She disclosed that in recent years, under ADF-11, the Bank has provided to The Gambia over US$ 8.5 million in the reform of general budget support and the institutional support to strengthening economic and financial governance.

“This support has contributed to improved budget planning and management, with increased allocation to pro-poor spending in sectors such as health, education and agriculture as well as improve revenue collection,” she said, adding:

“It is the aspiration of the bank to continue to consolidate and advance these achievements in close collaboration with the government and other development partners.”

Baroso To Announce Bank Plan

(CNN) -- European Commission president Jose Manuel Barroso will announce his plan to recapitalize Europe's banks on Wednesday afternoon, his office told CNN.
The details will come in a speech to the European Parliament, his office said, declining to say what the plan would include.
The announcement comes as the International Monetary Fund, European Central Bank and European Commission hinted that Greece would get a much-needed infusion of cash as it struggles to stave off default.
The tranche of 8 billion euros (about $10.8 billion) is likely to be released to Greece in early November if the Eurogroup and IMF executive board approve it, the ECB said Tuesday.
Stock markets around the world have eagerly anticipated a recapitalization or bail-out plan for the European banks for weeks. Traders, who have kept stock prices volatile, have feared that Greece would default on its debts and that the large European banks would be pushed into default because they hold billions of euros in Greek government bonds.
French President Nicolas Sarkozy and German Chancellor Angela Merkel pledged Sunday to pursue recapitalizaton of Europe's banks, an announcement that sent world markets soaring.
The French and German leaders did not go into detail about their plan, but Sarkozy said they would "respond before the end of this month."
It is not clear what relationship, if any, there is between the French-German plan and Barroso's.

Greece Moves Closer To A Bailout

NEW YORK (CNNMoney) -- International monitors in Greece completed a review of the nation's finances, and said the latest installment of Greece's €110 billion bailout could be disbursed in early November.
The European Commission, the European Central Bank and the International Monetary Fund -- known as the troika -- said they had completed their fifth review of Greece and agreed "on the economic and financial policies needed to bring the government's economic program back on track."
The officials said they believe Greece will be able to meet its 2011-2012 fiscal targets, citing a rebound in exports "albeit from a low base." The troika noted that rebound could lead toward "more balanced and sustainable growth over the medium term."
But the officials offered a dismal outlook for Greece's fiscal future, noting that "the recession will be deeper than was anticipated in June and a recovery is now expected only from 2013 onwards."
The troika also said that "additional measures" will probably be needed to "meet program targets" for 2013 in 2014.
Of the expected €8 billion installment, the European member states would provide €5.8 billion and the IMF, of which the United States is a member, would provide €2.2 billion.
The funding plan still needs final approval from the Eurogroup (eurozone finance ministers, the ECB president and European Commissioner for economics and monetary affairs) and the IMF's executive board before it becomes a done deal.

Samsung predicts lower earnings

Seoul, South Korea (CNN) -- Samsung Electronics said Friday it is expecting weaker third quarter sales as demand for flat screen televisions and computer chips falls.
The South Korean technology giant forecasts an operating profit of 3.75 trillion won ($3.5 billion), down 13% from a year earlier. Profits are expected to rise though from the previous quarter by 12%.
Analysts say Samsung's handset sales are helping weaknesses in other businesses.
"Semi conductors are still strong and even if they don't make as much profit, it's not because they're less competitive, it's because the semiconductor market as a whole went down. As for smart phones, they are becoming comparable with Apple, they haven't surpassed Apple yet but they are catching up very fast," Lee Sun Tae of Meritz Securities in Seoul said.
Experts also say the strengthening US dollar against the Korean won helps exports and the bottom line. Lee estimates a small increase in the dollar's strength of less than one cent could result in an extra $250,000 profit for Samsung. Lee believes the US dollar will continue to gain strength for the rest of this year.

Retailers Optimistic About Brikama Fish Market

Perhaps one of the most disturbing factors faced by Gambian fish retailers is the unfriendly conditions of the limited availability of fish storage facilities, which constitutes a major factor of early spoilage of fish.

On the other hand, the limited availability of transport for retailers in fish from the fishing centres like Sanyang and Gunjur, to the interior of the country is also a lingering factor to the early destruction of fish. Some of the fish retailers from Brikama, Gunjur and Sanyang have another story. In fact some of them had alleged that people who used to buy fish at markets do also contribute to the early spoilage of fish. They observed that the hands that touch the fish while set for sale at market can easily spoil them.

However, they are optimistic that the coming of the Japanese government’s fish market grant for The Gambia which is currently under construction in Brikama will make great impact in addressing these lingering issues that they are currently facing.

The Brikama fish market, according to officials from the fisheries department, will address if not all, but majority of the problems faced by both fishermen and retailers. This will also provide huge revenue for the country as well as cut down the rate of spoilt fish catches that find their way into the dustbins each day. "The establishment of the fish market will make a positive impact on our business," said one of the fish retailers from Gunjur.

Gambia has gained great triumph in the fishing sector, virtually 40 to 45 per cent of Gambian families either directly or in directly deriving their source of living from the sector. Over the years, there has been an indiscriminate catching and killing of fishes in the Gambian waters especially the pelagic (small) ones. This could be due to the type and size of fishing nets used by the fishermen who have long been contributing to a set back and poses serious threat on the country’s young fish which serve as regenerating aspect of the sector. However, majority of Gambian fishermen alleged that such nefarious and irresponsible way of fishing is done by the foreign fishermen.

Fish is widely consumed by Gambian families. It is one of the predominantly protein and bodybuilding providing food for them. It can be consumed fresh by frying or smoking it. Fish can also be consumed after drying for long. Gambia’s fishing sector has gained the respect from the international markets for its provision of fresh and disease-free fish.

Gambias Real Estates

Real Estate in The Gambia has been a rapidly growing industry over the past several years. The "discovery" of this beautiful stretch of land nestled within Senegal in West Africa has led to significant investment and the development of new properties. Holiday homes have begun springing up all along the smiling coast. Understanding the market conditions can be difficult if you have not spent a lot of time in the country and are considering purchasing real estate as an investment or more permanent vacation destination.

Gambia Real Estate Development Requirements

If you are purchasing undeveloped land in The Gambia there are often development time line requirements set forth by the government. It is common that you are required to build at least basic infrastructure such as a well and building or foundation within a 2 year period. Development requirements should be determined before any purchase at a governmental office. If development requirements are not met the land will return to state ownership.

Who owns the land?

Be sure to validate that the person/group you are buying real estate from is the correct owner. Due to development requirements land has often returned to government ownership. The "owner" may often have a valid legal document stating ownership but in fact the land is not owned by them. Even without them knowing. It is possible to pay for land from this person or community and later discover that you still do not have ownership.

Best Practices

To ensure a safe and successfull step into The Gambia use one of the official, registered Gambia real estate agencies partnered with this website. If you have any questions or concerns feel free to contact Rhythm Ltd. and they will be happy to put you in contact with a reputable agency.

Count Down To Akwaaba 2011

The one and the most popular travel market where the world meet Africa and Africans meet the world is the annual Akwaaba Travel Market expo in Nigeria.

The world, especially travel and tourism industries, will once again this month starting from 19th to 21st October converge in Lagos, Nigeria for this year’s AKWAABA African Travel Market expo.

The only international travel expo in West Africa, Akwaaba Travel Market, in its 7th year of bringing the world together to meet in West Africa continues to register a large number of foreign, local and international participants.

Zimbabwe, Chad and Namibia will be first timers at this year’s event along with the re-entry of representatives from USA. Leading international hotel chains from all over Africa will attend this year only international fair in West Africa.

The travel market expo is not a new market to travel and tourism industry in the Gambia as Gambia Tourism Authority (GTA) once received the Tourism Marketing Award in West Africa during their 4th edition in 2008

To make the event a more fruitful and successful one as usual, the National Association of Nigerian Travel Agents (NANTA) is partnering with the organizers of Akwaaba. NANTA is the biggest travel association in Nigeria and the umbrella body of travel agencies.

The association will bring its members to the event not only as sellers but as buyers as well. As it is well known that travel markets are the lifeblood of travel business Tinuke Nwakohu, NANTA publicity secretary, assured participants of NANTA participation she said “NANTA will participate in Akwaaba as the event provides a local opportunity for players in the travel trade to network and work together as travel markets are the lifeblood of travel business globally.”

However the representative of this big and popular travel market organizer, Ikechi Uko, expressed delight on NANTA partnering with Akwaaba, he said “having NANTA as a partner completes the circle as Akwaaba Travel Market expo events have partnership with global associations. With a credible national group like NANTA, we are excited to tap on their goodwill and expertise.”

Akwaaba African Travel Market is the only international travel expo in West Africa. The Nigeria Tourism Development Corporation (NTDC) as the official travel expo in Nigeria endorsed it in year 2007, and is the only international expo in West Africa listed by UNWTO, a partner event of ATA in the region and the only Member of ITTFA in West Africa. AfTM seeks to make traveling a pleasurably seamless experience in Africa.

The Daily Observer

Moody's downgrade hits UK banks

London (Financial Times) -- London's banks fell on Friday after Moody's cut its rating on a dozen UK financial institutions, sending the sector to the bottom of the FTSE 100. Support from defensive stocks left the index flat overall .
The ratings agency issued a two-notch downgrade for Royal Bank of Scotland -- from "AA3" to "A2"-- in an announcement made just minutes before the start of trade.
The news came on top of a report in the Financial Times about fears that a fresh bail-out of the part-nationalised lender could be required. Its shares moved to the bottom of the FTSE 100, falling 3.6 per cent to 23½p.
Lloyds Banking Group fell 3.4 per cent to 35.2p after Moody's cut its rating by one notch, from "AA3" to "A1".
"Moody's reassessment assumes a decrease in the probability that the UK government would provide future support to financial institutions if needed," said the ratings agency.
Even though Barclays was not one of the banks affected, its shares fell in line with the losses in the sector. The stock was 1.3 per cent weaker at 165.7p. HSBC, which was also left out of Moody's re-rating of both listed and unlisted lenders, rose 0.2 per cent to 510.6p.
The FTSE 100 slipped 5 points to 5,286.42, helped by defensive stocks, in demand as traders sought protection from the sharp gains of the previous two sessions, the benchmark index's biggest two-day gain since 2008.
But the near-term fate of the market was once more looking dependent on US employment data, with the September non-farm payrolls report expected to show the creation of 60,000 jobs.
"With momentum clearly on the rise, it looks as if short-traders are aggressively covering their positions while bullish traders are buying strength for the first time in weeks," said James A. Hyerczyk, Analyst at Autochartist.
"Because of the steepness of the rally and the short-term overbought conditions, traders have to be aware of the possibility of a near-term correction especially since Friday's U.S. Non-Farm Payrolls report typically triggers a volatile two-sided reaction. Based on the short-term rally from 4,868.60 to 5291.26, traders should watch for a possible pullback into 5,079.93 to 5,030.06."
Among the mid-caps, a fresh profit warning from Premier Foods sent its stock 39 per cent lower to 6.1p. The maker of Hovis bread and Bisto gravypowder said third quarter total sales fell by 3.6 per cent to £477m.