Business

 

First and foremost, I was extremely surprised to read an article from the Fourth Estate shared by Sulemana Briamah, making some comparisons between:
1. Telecom Business Model and Lottery Business Model of NLA-KGL

1. Dealers and Agents of Scratch Cards for Telecom companies and Lotto Marketing Companies for National Lottery Authority (NLA).

Comparing lottery business to selling of scratch cards in exchange for commission from Telecom companies clearly shows that Mr. Sulemana Briamah and the Fourth Estate lack full knowledge, understanding, experience, expertise, and competence when it comes to the lottery industry.

For the purpose of clarity, the Telecom Business Model has absolutely no correlation with the Lottery Business Model.

In fact, both business models operate under different industries and are regulated by different authorities.

 

Razak Kojo Opoku PhD

The Telecom Business Model is under the regulatory body of the National Communications Authority (NCA), whereas the Lottery Business Model is under the regulatory body of the National Lottery Authority (NLA).
The NCA’s laws and NLA laws are completely different from each other, so comparing them is quite dishonest.

Based on their assumptions, can the Fourth Estate and Sulemana Briamah give honest answers to the following questions:
1. Do the Telecom Companies pay winning tickets to the customers of the scratch cards dealers and agents on daily basis?

1. Do the Telecom Companies pay 25% commissions based on the money used by the dealers and agents to purchase the scratch cards?

2. Do the Telecom Companies conduct “Scratch Card Draws” for the customers of the scratch card dealers and agents?

3. Are the Telecom Companies’ regulators just like the National Lottery Authority (NLA)?

4. Did Dealers and Agents of Scratch Cards invest millions of dollars into the marketing of the cards?

5. Did Dealers and Agents of Scratch Cards invest millions of dollars into the I. T infrastructure and system engineering for the sale of scratch cards to the general public with zero investments from the Telecom companies?

Providing honest and concrete answers to the above questions would let the Fourth Estate and Sulemana Briamah appreciate the fact that, it was unfair to compare the scratch card business of Telecom companies to the lottery business under the National Lottery Authority (NLA).

Now to the perfect case of the NLA-KGL Deal:
1. Fourth Estate and Sulemana Briamah should kindly take their time to thoroughly read all the 58 Sections of the National Lotto Act, 2006 (Act 722) and point it out to their followers on Facebook, which section of Act 722 specifically made mentioned of NLA paying commission to a Lotto Marketing Company participating in Online lottery?

Can they indicate which specific Section of Act 722 talks about Online Lottery?

1. Just like the LMC selling in the kiosks using Point of Sale Terminals are required to pre-pay for the NLA coupons, KGL Technology Limited as an online LMC also pre-pays each quarter for NLA Coupons.

2. All the money NLA receives from KGL is paid into the Lotto Account as required by law. It is, therefore, the responsibility of NLA to transfer the net balance into the Lotto Account on monthly basis to the Consolidated Fund.

The net balance is rightly so because what if there is no net balance in the Lotto Account after payments of Winning Tickets, Commissions, Administrative, and General Expenses by NLA?

If at any point the money in the Lotto Account is not enough to pay winners, the excess can be charged against the Consolidated Fund (Section 33 of Act 722).

However, in practice, NLA has NEVER taken money from the Consolidated Fund to pay winners of national lotto. Also, it does not even make sense to use public funds in the Consolidated Fund to pay winners of national lotto while the country needs funds to take care of very important national projects.

1. Despite the technology being used by KGL in partnership with the Telecom Companies to sell lottery products, all the monies NLA receives from KGL go into the Lotto Account.

What is the Lotto Account? Let me educate the Fourth Estate, and Sulemana Briamah.

The “Lotto Account is any official Bank Account operated by the National Lottery Authority (NLA)”.

1. What empirical research has Fourth Estate or Sulemana Briamah conducted in the lottery industry particularly Online lottery industry for them to conclude that about 90% of lotto stakers now buy their lotto on their phones directly using short codes (USSD)?

If 90% of Lotto Stakers buy lotto via USSD then how come banker-2-banker lotto operators and agents control 80% of the lottery industry in Ghana?

If 90% buy lotto via USSD, then how many buy lotto via Point of Sale Terminals (POSTs)?

And if only 10% are buying lotto via Point of Sale Terminals (POSTs), then how many are buying lotto via Paper issued by Banker-2-Banker lotto operators and agents?

If 90% are buying lotto via USSD, then how come Lotto Marketing Companies and Private Lotto Operators and Agents are still actively involved in the lottery business?

1. Was NLA successful in experimenting with different technology partners to reap full benefits from online sales of its lotto business?

If Fourth Estate and Sulemana Briamah care to know before KGL coming on board, the NLA in partnership with private technology companies FAILED to benefit from online sales of lotto such as “Mobi Game 2 Sure”, “Mobile 5/90” , NLA 5/90(*890#) and “NLA Soccer Cash”

Has Fourth Estate, as a patriotic CSO, researched on the financial losses NLA incurred during the operations of Mobi Game 2 Sure, Mobile 5/90, NLA 5/90(*896#) and Soccer Cash?

1. Yes, Keed Ghana Limited paid GHC 10 million as penalty to NLA for piloting *959# without the appropriate 5/90 Online License Agreement, and that was a good decision by both NLA and Keed Ghana Limited.

The general public would also like to know the answers from Fourth Estate and Sulemana Briamah regarding the following questions:

(a) How much Alpha Lotto Limited paid to NLA for illegally operating NLA 5/90 USSD and Web online lottery via *896# for 11 months?

(b) How much Onassis Lotto has paid to NLA for illegally operating NLA 5/90 USSD and Web online lottery via *859#?

(c) How much did operators of www.theb2blotto.com pay to NLA for operating illegally the NLA 5/90 lottery via Web Online?

The answers to the above 3 questions would illuminate the understanding of Fourth Estate and Sulemana Briamah that they are just being unprofessional in their investigations against NLA-KGL deal.

The decision of NLA not to pay commission to KGL is equally supported by Section 2(4), and Section 37(d) of the National Lotto Act, 2006(Act 722).

Respectfully speaking, I sincerely don’t think the Fourth Estate and Sulemana Briamah understand the lottery industry more than the Board Members of the National Lottery Authority(NLA); both the current and previous members of the Board.

1. KGL has every legal right to protect its huge investments in the setting up of a world-class I. T. Infrastructure and system for the sustainability of the NLA 5/90 USSD and Web online lottery.

Per precedence, no company was competing with the Private Company operating NLA Mobile 5/90 or Mobi Game 2 Sure or NLA Soccer Cash at the time such products were in existence.
Also, NLA has NEVER given multiple licenses to companies to operate the same NLA product. Every Online LMC or collaborator is licensed to operate a specific lottery product.

For example:

959 exclusively for KGL 5/90

766 exclusively for Atena

787 exclusively for Wotiriyie

446 exclusively for Daywa 5/39

946 exclusively for Game Park

987 exclusively for Lucky 3

Also, regarding the duration of the license, NLA has signed 10-15 years license agreements with several Lotto Marketing Companies and Private Lotto Operators in 2024.

Don’t forget that Lots Services Ghana Limited and Simnet Ghana respectively have a 15-year and 10-year contract with NLA subject to automatic renewal for another 10-15 years.

1. It is absolutely FALSE that 80% to 90% of lotto stakers in Ghana have moved to buying lotto online using just a USSD short code on their phone because there is no empirical research supporting this untrue claim.

The business of analogue lotto Kiosks equally owned by private companies and individuals started declining when majority of them decided to sell products on behalf of Banker-2-Banker Lotto Operators and Agents largely due to the attractive 35-40% commission they received from the Private Lotto Operators and Agents as compared to the 25% pay by the NLA.

The aggressive marketing approach, prompt payments, and higher commission of 35-40% by the Private Lotto Operators and Agents collapsed the lotto Kiosks business of LMCs, and not KGL’s presence in the lottery industry.

1. So, how many companies do Fourth Estate and Sulemana Briamah think that NLA should license to sell NLA 5/90 USSD and Web online? Can they provide the names of such companies? In accordance with precedence, has NLA ever licensed multiple companies in the world to operate one specific Online lottery product? Absolutely NO.

Again, it is absolutely FALSE for Fourth Estate and Sulemana Briamah to state that, a prime business of NLA which will generate 80% to 90% of the NLA’s revenue has been handed over to one company, KGL.

This kind of argument is fueled by jealousy or envy because KGL started making sales from the bottom before, through huge investments and marketing strategies, they have been able to reach where they are now.

At the time KGL started online lottery sales, NLA had ZERO presence in the online lottery sales space.

1. If NLA used 8years from 2013 to 2020 to pay GHC 182, 009, 000(182 million Ghana Cedis) into the Consolidated Fund then certainly any reasonable person would definitely applaud KGL for using one year(2024) to pay NLA GHC 157.6 million. How many license Agreements or contracts signed by NLA have been able to generate GHC 157.6 million to the NLA within one year? Absolutely None.

And if you argue that, NLA should rather pay a commission to KGL then seriously speaking you, maybe speaking from the standpoint of financial ignorance. If NLA decides to pay commission to KGL, the Authority will be paying 31% of the gross revenue generated annually to KGL, and KGL will NOT be responsible for marketing cost, operations cost, payments of prize monies, risks and liabilities associated with the NLA 5/90 USSD and Web online.

Let me point it out to Fourth Estate and Sulemana Briamah that, KGL will be extremely excited if NLA agrees to rather pay the company 31% commission, but the question will be, does NLA own the I. T. infrastructure and the systems for the running of the NLA 5/90 USSD and Web online lottery?

KGL at the initial stages of their license agreement even proposed revenue sharing formula with NLA but the Board in its wisdom and in accordance with the provisions of Section 2(4) and Section 37(d) agreed not to pay commission to KGL as an Online Lotto Marketing Company.

The management of KGL Technology Limited, in the interest of the country, is always very open for reviews and renegotiations when it comes to its License Agreement with the NLA.

1. It is very misleading for Fourth Estate and Sulemana Briamah to create an erroneous impression that NLA doesn’t know the amount of revenue generated by KGL. So if NLA doesn’t even know how much of its digital coupons(online lotto) KGL sells, then how come Fourth Estate and Sulemana Briamah were able to know that KGL generates GHC 3 billion annually?

If GRA is fully aware of KGL’s revenue, how difficult is it then for NLA as a regulator to know the revenue generated by KGL?

Sulemana Briamah and Fourth Estate keep mentioning Lotto Account as if they don’t know that the Lotto Account is just a Bank Account owned and operated by NLA.

For the avoidance of any form of doubt, KGL’s quarterly pre-pay monies to NLA always goes to the Lotto Account.

Also, can Fourth Estate mention just one online lottery company in the world being paid a commission by the State for its operations?

Anyone who understands Act 722 and Lottery Regulations 1948, would clearly educate Fourth Estate and Sulemana Briamah that, paying 31% commission to KGL on the gross revenue generated is a suicide mission for NLA and the State, and the Board of NLA is 100% right for rejecting the payment of 31% as a commission to an online LMC like KGL.

1. It is Never True that all NLA is left with at this stage as its business is the archaic analogue lottery sold in Kiosks with just about 10% or less of Lotto stakers.

If it is 10% of stakers, how come Lotto Marketing Companies haven’t closed their Kiosks?

If it is 10%, how come Banker-2-Banker lotto Operators and Agents are still in business making money?

The NLA, apart from generating revenue through the Kiosks also has the following games in operations.

They include:
(a) Caritas Lottery
(b) Atena
(c) Daywa
(d) Wotiriyie
(e) Game Park
(f)! Several other modern lottery products.

Respectfully, if Sulemana Briamah and Fourth Estate were thorough in their research, they would have realized that, not all the alleged GHC 3 billion comes to KGL as Profit.

Can Fourth Estate please help their readers and followers on Social media know how much out of that quoted 3 billion was used to:
(a) Pay winning tickets(Prize moneys to Winners of national lotto)?

(b) Pay MTN, Telecel and Airteltigo?

(c) Pay for the service, running, management and maintenance of the I. T infrastructure and systems driving the online 5/90 lottery business?

(d) Pay for marketing costs?

(e) Corporate Taxes to Ghana Revenue Authority(GRA)?

(f) Pre-pay NLA?

(g) Pay NLA Stabilization Fund?

(h)Pay to KGL as Profit?

If it is true that, NLA’s total revenue for 2024 including what it received from KGL is under GHC 350 million then what is the basis of Fourth Estate and Sulemana Briamah’s worry on the NLA-KGL deal considering the FACTS and Data below regarding the trends of NLA’s annual revenue from 2013 – 2020:

GHC 299, 761, 074 for 2020

GHC 349, 220, 308 for 2019

GHC 381, 038, 324 for 2018

GHC 401, 711, 318 for 2017

GHC 397, 750, 549 for 2016

GHC 365, 529, 893 for 2015

GHC 315, 918, 378 for 2014

GHC 255, 229, 663 for 2013

Has the Fourth Estate ever done an assessment of NLA regarding its:

(a) increased number of employees which comes at extra cost to the Authority?

(b) increased amount of money paid to Technical Service Providers?

(c) Increased commission payments from 20% to 25% on the gross revenue generated by NLA?

(d). Increased operations of illegal lottery operators and Agents across the country?

The 25% commission payments alone paid to Lotto Marketing Companies would make it extremely difficult for NLA to make any meaningful gains more than the quoted GHC 350 million by Fourth Estate and Sulemana Briamah.

1. The current NLA Board and the Minister of Finance are NOT concerned about the Fourth Estate and Sulemana Briamah saga because:
   (a). Fourth Estate and Sulemana Briamah have failed to establish any form of Corruption or suspected corruption regarding the NLA-KGL deal.

(b). Fourth Estate and Sulemana Briamah have FAILED to genuinely establish that KGL is taking away a GHC 3 billion business from the NLA.

(c) Fourth Estate and Sulemana Briamah have FAILED to establish any breach of Act 722 and L. I. 1948 in the NLA-KGL deal.

(d). Fourth Estate and Sulemana Briamah have FAILED to prove that the presence of KGL is a threat to NLA.

(e). Fourth Estate and Sulemana Briamah have FAILED to exhibit professionalism and higher ethical leadership regarding their investigations about the NLA-KGL deal.

(f). Fourth Estate and Sulemana Briamah have FAILED to demonstrate their full understanding of the lottery industry.

(g). Fourth Estate and Sulemana Briamah are pushing NLA and the Minister of Finance to incur a judgment debt of over $5 billion against the State regarding the NLA-KGL deal.

Moreover, Ghana Revenue Authority(GRA) is quiet about the brouhaha from Fourth Estate and Sulemana Briamah regarding a GHC 3 billion business of KGL because they know Fourth Estate and Sulemana Briamah are LYING about the figures, facts and data.

Finally, if the Car Owner (NLA) is satisfied with the performance of the Driver (KGL), who are the Fourth Estate and Sulemana Briamah to question the Car Owner (NLA)?

Which law can empower the car owner(NLA) to take over the ownership of the NLA 5/90 USSD and Web online lottery (the Car)?

Is the car owner(NLA) prepared to pay a judgment debt to the driver(KGL) if it changes the driver?

Does the new proposed driver by Fourth Estate and Sulemana Briamah have the capacity and competence within a year to pay more or the same amount of money paid by the old driver(KGL)?

And which law says that an Online LMC should be strictly paid by a Commission while NLA has no ownership over the I. T Infrastructure and systems built and managed by the Online LMC?

Clearly, the Fourth Estate and Sulemana Briamah are forcing to create a bad image around the NLA-KGL deal, but it keeps backfiring.

Source: Razak Kojo Opoku PhD

 

 

Many people out of ignorance of the lottery industry have stated that NLA should rather operate NLA 5/90 USSD and Web online lottery instead of Third Party Companies and Collaborators.

They argue that the NLA is also the only body mandated to operate lottery under Section 4 of the National Lotto Act, 2006(Act 722).

Respectfully, I would like to use this Article to correct the misleading accounts, misinformation, disinformation, and misinterpretation of the Act 722 being championed by some media houses such us the Fourth Estate and Mr. Sulemana Briamah against the NLA-KGL license agreement because they think that NLA-KGL deal is not in the best interest of Ghana.

Dr.Razak Kojo Opoku

I will start by breaking down the practical implementation of Act 722 and the Lottery Regulations, 2008(L. I. 1948):

Powers of NLA under Act 722 and L. I. 1948

The National Lottery Authority(NLA) under National Lotto Act, 2006(Act 722) and Lottery Regulations, 2008(L. I. 1948) has six main powers. They include:
1. Operational Powers
2. Regulatory Powers
3. Supervisory Powers
4. Management Powers
5. Collaboration/Partnership/Joint Venture Powers
6. Powers of the Board of NLA

These aforementioned powers can be seen under:
1. Section 4(1) of Act 722 which states that, “A person other than the Authority shall not operate any form of lottery”.

1. Section 35(1) of Act 722 which states that, “The Authority shall regulate, supervise, and manage National Lotto and ensure the enforcement of the laws relating to National Lotto”.

Operational Powers of NLA under Act 722 & L. I. 1948

The operational powers of the National Lottery Authority(NLA) are captured under:
(a). Section 2(2) of Act 722 which states that, “the National Lottery Authority established under Part II(see Section 34 of Act 722) shall be the institution to conduct national lotto.

(b. Section 4(1) of Act 722 which states that, “A person other than the Authority shall not operate any form of lottery”.

To operate lottery in Ghana to the public is NOT the same as to sell lottery products to the public or to regulate and supervise lottery by NLA.

Section 2(2) and Section 4(1) of Act 722 are implemented by using:
(1). Section 3 of Act 722 (Time and place for conducting National Lotto).

(2). Section 23 of Act 722 (Draw of National Lotto).

(3). Section 24 of Act 722 (Supervision of draw).

(4). Regulation 1 of L.I. 1948 (Lottery Draw Committee).

(5). Regulation 21 of L. I. 1948 (Draw of national lottery).

(6). Regulation 22 of L. I. 1948 (Supervision by the Lottery Draw Committee).

Hence, the operational powers of the National Lottery Authority(NLA) under Act 722 and Lottery Regulations, 2008 (L. I. 1948) is strictly about the Conduct and Supervision of Lotto Draws, and it has absolutely nothing to do with the sale of lottery tickets or products.

I wish to state categorically that, the argument put forward by Sulemana Briamah and Fourth Estate using Section 4(1) of Act 722 (Prohibition of lottery) to draw a conclusion that NLA has the sole power to sell Lotto directly to the public using the USSD and Web online instead of KGL Technology Limited is absolutely FALSE and totally misleading to the Public.

To operate lotto under Act 722 and L. I. 1948 means “to conduct and supervise lotto draws”, and it is solely the responsibility of the National Lottery Authority (NLA) to conduct and supervise Lotto Draws in this country.

For the avoidance of any form of doubt, KGL Technology Limited has NOT breached the operational powers of NLA since the company has NEVER conducted or supervised its own Lotto Draws.

KGL Technology Limited ONLY uses the numbers drawn and supervised by the National Lottery Authority (NLA).

Regulatory Powers of NLA under Act 722 and L. I. 1948

The regulatory powers of the National Lottery Authority(NLA) involve:
1. Licensing of Lotto Marketing Companies and Collaborators.

1. Licensing of Private Lotto Operators using Veterans Administration Ghana(VAG), Act 844.

2. Ensuring Compliance and Enforcement of Act 722, L. I. 1948, and Section 22 of Act 844.

The regulatory powers of the National Lottery Authority(NLA) are implemented using:
1. Section 5 of Act 722 (Licensing of Lotto Marketing Companies).

1. Section 6 of Act 722 (Application for Lotto Marketing Companies).

2. Section 7 of Act 722 (Grant of license and license fee)

3. Section 8 of Act 722 (Requirements for Lotto Marketing Companies).

4. Section 9 of Act 722 (Duties of Lotto Marketing Companies.

5. Section 10 of Act 722 (Publication of Lotto Marketing License).

6. Section 11 of Act 722 (Suspension or revocation of license).

7. Section 12 of Act 722 (Renewal of license).

8. Section 13 of Act 722 (Non-transferability of license).

9. Section 14 of Act 722 (Offences in respect of a Lotto Marketing license).

10. Section 18 of Act 722 (Prohibition in relation to coupons).

11. Section 19 of Act 722 (Offences in relation to a coupon).

12. Section 20 of Act 722 (Participation in National lotto and purchase of coupons).

13. Section 27 of Act 722 (Offences in relation to National Lotto Draw).

14. Section 29 of Act 722 (Foreign lottery).

15. Section 30 of Act 722 (Repeated Offences).

16. Section 31 of Act 722 (Seizure and forfeiture of objects used for or relating to Offence).

17. Regulation 2 of L. I. 1948 (Licensing of Lotto Marketing Companies).

18. Regulation 3 of L. I. 1948 (Renewal of a license).

19. Regulation 5 of L. I. 1948 (Grounds for suspension or revocation of a license).

20. Regulation 12 of L. I. 1948 (Online lottery).

21. Regulation 17 of. L. I. 1948 (Offences relating to sale of coupons).

KGL Technology Limited was licensed to sell NLA 5/90 lottery products via USSD and Web online under the regulatory powers of the National Lottery Authority(NLA) especially based on: Sections 5, 6, 7, 8, 9, 10, 12, and 13 of Act 722, as well as Regulations 12 of L. I. 1948.

Therefore, any argument put forward by the Fourth Estate and Sulemana Briamah against the NLA-KGL license Agreement is completely BOGUS, and without any form of legal justification.

Supervisory Powers of NLA under Act 722 and L. I. 1948

The supervisory powers of the National Lottery Authority are implemented using:
1. Section 15 of Act 722 (Issue of Coupons).

1. Section 16 of Act 722 (Supply of coupons to Lotto Marketing Companies).

2. Section 17 of Act 722 (Validity of Coupons).

3. Section 21 of Act 722 (The duties of a participant in National lotto).

4. Section 22 of Act 722 (Acceptance of a stake).

5. Regulation 6 of L. I. 1948 (Prohibitions).

6. Regulation 7 of L. I. 1948 (Sale of lottery).

7. Regulation 10 of L. I. 1948 (Official closure of lottery game).

8. Regulation 18 of L. I. 1948 (Duties of staker).

9. Regulation 19 of L.I.1948 (Acceptance of stakes).

10. Regulation 20 of L. I. 1948 (Deposit of counterfoil books).

11. Regulation 26 of L. I. 1948 (Supply of identification numbers).

12. Regulation 27 of L. I. 1948 (Forfeiture of security).

13. Regulation 30 of L.I.1948 (Discontinuance of existing lottery and introduction of new lottery).

14. Regulation 31 of L.I.1948 (Suspension of lottery activity).

It is only the Board of the National Lottery Authority(NLA) that supervises the business activities of KGL Technology Limited, and appropriately reviews the existing agreements between the Authority and KGL Technology Limited.

Therefore, the allegations by Sulemana Briamah and Fourth Estate should be completely ignored.

Mr. Sulemana Briamah and the Fourth Estate have also FAILED to establish any form of corruption or suspected corruption regarding the NLA-KGL License Agreement.

Management Powers of NLA under Act 722 and L. I. 1948

According to Section 35(2) of the National Lotto Act, 2006(Act 722), “The Authority SHALL NOT RETAIL Lotto coupons to lotto stakers”.

Clearly, Section 35(2) of Act 722 completely defeats the arguments put forward by Sulemana Briamah and Fourth Estate regarding the NLA-KGL deal.

How would NLA manage the NLA 5/90 USSD and Web online lottery since Section 35(2) of Act 722 doesn’t give any power to NLA to retail lottery products to the staking public?

However, the management powers of the National Lottery Authority(NLA) are implemented using:
1. Section 25 of Act 722 (Winnings).

1. Section 26 of Act 722 (Prizes).

2. Section 28 of Act 722 (Commission).

3. Section 32 of Act 722 (Lotto Account).

4. Section 33 of Act 722 (Deficit in Lotto Account to be a charge on Consolidated Fund).

5. Regulation 4 of L. I. 1948 (Security deposit for license).

6. Regulation 8 of L. I. 1948 (Instant lottery and scratch lottery).

7. Regulation 9 of L. I. 1948 (Procedures for claim of instant prizes).

8. Regulation 11 of L. I. 1948 (Instant ticket validation requirements).

9. Regulation 32 of L. I. 1948 (Prize disbursement account).

Collaboration/Partnership/Joint Venture Powers of NLA under Act 722 and L. I. 1948

The National Lottery Authority(NLA) under:
1. Section 2(4) of Act 722 can operate any other game of chance or enter into collaboration, partnership or joint venture with any person, society, association, or corporate entity, to operate a game of chance in accordance with existing laws but losses from the game of chance, the collaboration, partnership or joint venture shall not be compensated for by the State or from the Lotto Account provided for under section 32.

Based on the provisions under Section 2(4), there is absolutely no basis for the brouhaha coming from Sulemana Briamah and Fourth Estate regarding the collaboration and partnership between NLA and KGL.

Also, if through this partnership, all the losses are on the head of KGL, why must we then create an impression that KGL benefits more than the State?

1. Regulation 12 of L. I. 1948 states that, “the Board may authorise the Director-General to select, operate, and contract for the operation of online lottery which shall be subject to some conditions as stated in the Lottery Regulations.

The NLA-KGL deal is strongly backed by Regulations 12, 13, and 14 of Lottery Regulations, 2008(L. I. 1948).

Based on the provisions captured under Regulations 12, 13 and 14 of L. I. 1948, the Fourth Estate and Sulemana Briamah have absolutely NO case against the NLA-KGL deal. This gives strong backing to the public perception that KGL was targeted by some faceless financiers of Sulemana Briamah and Fourth Estate.

Powers of the Board of NLA under Act 722 and L. I. 1948

The Board of National Lottery Authority(NLA) has been given the power to devise methods to help maximize the revenue generated by the Authority for the State(Section 37(d) of Act 722) in full alignment with Section 2(1) of Act 22 which states that, “National lotto shall be conducted for the purpose of raising revenue for the nation and for other purposes stated in this Act.”

The NLA-KGL deal is so far the best license agreement ever issued by the Board of the National Lottery Authority(NLA).

The record speaks for itself as compared to some licenses issued to other Lotto Marketing Companies, Private Lotto Operators, and Collaborators.

Absolutely, none of the license agreements issued by the National Lottery Authority(NLA) to private companies have been able to deliver massive financial resources to the NLA which is higher than what KGL has delivered to the NLA from 2019 up-to-date.

I would like to boldly state that, for the first time, Sulemana Briamah and the Fourth Estate have completely and totally gotten it WRONG with their investigation regarding NLA-KGL License Agreement.

The NLA-KGL deal is the best so far, and we all must encourage the partnership between these two entities with the patriotic aim of demanding more money for the State as the business of KGL Technology Limited keep expanding.

We should not tolerate or encourage unnecessary commentaries against the NLA-KGL license Agreement from Sulemana Briamah and Fourth Estate because it seems they are doing so out of ignorance or perhaps personal agenda borne out of bitterness, envy, and jealousy.

Wrong Interpretation of Section 2(3) of Act 722 by Fourth Estate and Sulemana Briamah

According to the Fourth Estate, money meant for the poor and mentally afflicted were given away to the rich, citing Section 2(3) of Act 722, which states that, “there shall be conducted as part of the operation of National Lotto, a lottery with the object of providing care and protection for the physically or mentally afflicted, needy, the aged, orphans and destitute children”.

Per Section 2(3) of Act 722, the NLA as part of its operation(not full operations) is supposed to introduce a lottery product with the specific objective of raising revenue to provide care and protection for the physically or mentally afflicted, the needy, the aged, orphans and destitute children. This does not mean that all revenues generated by NLA are meant for the physically or mentally afflicted, the needy, the aged, orphans and destitute children.

Since the enactment of Act 722, the NLA has NOT been able as part of its operations to conduct a lottery with the object of providing care and protection for the physically or mentally afflicted, the needy, the aged, orphans and destitute children as stated in Section 2(3) of Act 722.

The NLA 5/90 is NOT a lottery product conducted for the purposes of raising revenue to satisfy the provision of Section 2(3) of Act 722. If NLA want to satisfy the provisions of Section 2(3), the Authority has to conduct a new lottery with that specific objective but unfortunately the Authority has NOT been able to implement Section 2(3) of Act 722.

Therefore, it doesn’t make sense for Fourth Estate and Sulemana Briamah to LIE to the general public that NLA revenue is strictly for providing care and protection to the poor, physically or mentally afflicted, the needy, the aged, orphans and destitute children.

If Fourth Estate and Sulemana Briamah are honest and fair enough then they should do flyers to highlight ALL the beneficiaries of the NLA Good Causes Foundation and share such flyers with the Ghanaian people through their various social media platforms.

The decision of Sulemana Briamah and Fourth Estate to deliberately design flyers and write stories about selected few beneficiaries of NLA Good Causes Foundation, leaving out the rest of the beneficiaries amount to the highest level of unprofessionalism and unethical journalism.

It is very important to state that, revenues generated by NLA are meant for the Consolidated Fund as captured under Section 32(4) of Act 722, not strictly for the physically or mentally afflicted, the needy, the aged, orphans, and destitute children.

Also, National Lottery Authority(NLA) shall meet its operational and capital expenditure from the Lotto Fund as stated in Section 50 of Act 722.

Finally, the Facts and Data proves that, NLA has NEVER generated GHS 3 billion business in a single year in the absence of KGL License Agreement. It is therefore misleading to state that NLA has given away GHS 3 billion Business to KGL because KGL itself started operations from zero, it took huge investments, IT Infrastructure development, Systems Integration, and marketing to reach where they are now with absolutely ZERO investments and support from the National Lottery Authority(NLA).

The only thing NLA does for KGL is the issuance of License and conduct of Lotto Draws.

It is equally important for Fourth Estate and Sulemana Briamah to consider also, the 60-70% of the GHS 3 billion which goes into payment of winners of national lotto.

For instance, NLA used 8years from 2013-2020 to generate GHS 2, 766, 159, 507(GHS 2.7 billion) and out of this GHS 2.7 billion, the NLA used GHS 1, 378, 104, 374(GHS 1.3 billion) to pay Winners of National Lotto.

Also, out of that same GHS 2.7 billion, the NLA:
1. transferred GHS 182, 009, 000(GHS 180 million) to the Consolidated Fund, an amount which is far less than what KGL has paid to NLA even within a 2-year period of 2024-2025.

1. used GHS 553, 014, 988(over GHS 500 million) to pay commission to Lotto Marketing Companies.

The Lotto Marketing Companies earned more money than the Consolidated Fund and the NLA itself based on the existing revenue sharing agreement between Lotto Marketing Companies and the National Lottery Authority(NLA).

1. used GHS 153, 302, 459(over GHS 150 million) to pay fees to the Technical Service Providers such as Lots Services Ghana Limited and Simnet Ghana Limited.

For the purpose of education, it is well noted that:
(a). Lots Services Ghana Limited has 15 years contract with NLA subject to renewal for another 15 years after expiration.

(b). Simnet Ghana Limited has 10 years contract with NLA subject to renewal for another 10 years after expiration.

(c). NLA has also signed 10-15years license agreement with some Private Lotto Operators in 2024.

1. used the rest of the revenue for payment of GPRS Fees to Telecos, Suppliers of Thermal Paper Rolls, and Administrative & General Expenses of the Authority.

Asking for value for money should not mean that we should become mischievous, and diabolical in our demands for public accountability.

Real Problems at the NLA

The real problems at NLA that Fourth Estate and Sulemana Briamah should take an interest in if they are indeed serving the interest of the public and not their personal agenda are as follows:
1. illegal lottery operators and agents controlling about 80% of the lottery industry across the country who pays absolutely nothing to NLA and GRA.

Some of these illegal lottery operators have been in the industry for the past 30-40years without any records of payments to NLA and GRA.

1. Procurement contracts to some Technical Service Providers whereby they are freely enjoying 6% on every gross revenue generated by NLA via the Point of Sale Terminals.

2. Payment of 25% Commission to the Lotto Marketing Companies based on the gross revenue generated by NLA. This is very outrageous when compared to other countries operating lottery.

I am seriously surprised that, Sulemana Briamah and Fourth Estate are not interested in the aforementioned 3 real problems at the NLA but rather wasting their energy and time on KGL which is giving value to NLA and GRA concurrently.

Even if KGL cease running NLA 5/90 USSD and Web Online lottery right now, which section(s) of Act 722 and L. I. 1948 has stated that, NLA by itself can retail 5/90 lottery via USSD and Web online lottery? Absolutely none.

The NLA would still have to rely on another Lotto Marketing company to run the NLA 5/90 USSD and Web online lottery if KGL cease the running of the NLA 5/90 USSD and Web Online lottery.

So, where from this useless noise from Fourth Estate and Sulemana Briamah against NLA-KGL deal?

Source: tntnewspapergh.com

A falling inflation rate doesn’t mean that prices of goods and services have gone down drastically. A falling inflation means that prices of goods and services are rising at a slower pace than before.

Official data from the Ghana Statistical Service(GSS) indicate that, the Consumer Price Index(CPI) rose from 229.4 in August 2024 to 255.7 in August 2025. In practical terms, this means that households are spending GHS 26.30 more on the same basket of goods and services than they did in 2024.

Razak Kojo Opoku

For example, in August 2024, a family spent GHS 50 per week on food under 19.1% food inflation but in August 2025, the same basket of food costs around GHS 56 under 14.8% food inflation.

Yes, food inflation slowed but the family is still worse off because prices never revert to old levels. For instance, Kenkey that climbed from GHS 2 to GHS 5 under 19.1% food inflation has not dropped back to GHS 2 simply because food inflation has lowered to 14.8%.

In response to Hon. Eric Opoku, Food has rather become extremely expensive in 2025, and the facts are as follows:
1. Gari rose from GHS 12 in 2020 to GHS 25 in 2025.
2. A bag of maize rose from GHS 150 in 2020 to GHS 400 in 2025

The illusion of “lower food inflation of 14.8%” has several explanations including:
1. Base Effects

Prices were already abnormally high in 2024. Comparing 2025 against 2024 inflated base makes the rate look smaller even though prices remain high.

1. Imported versus Local Goods

IMF-backed currency stability has made imported rice and wheat slightly cheaper.

Conclusion

The Food Inflation debate favours the New Patriotic Party(NPP) because:

1. CPI at 229.4 in August 2024 proves that prices of food were at record low and stable under NPP even though Food Inflation was 19.1%.

A lower Consumer Price Index(CPI) indicates:
(a). increasing purchasing power of money
(b). lower cost of living
(c). falling prices for goods and services.

1. CPI at 255.7 in August 2025 proves that prices of food are at record high under NDC even though Food Inflation is at 14.8%.

A higher Consumer Price Index(CPI) indicates:
(a). reduced purchasing power of money
(b). higher cost of living
(d). increasing prices for goods and services.

True relief will come only when:
1. Prices stabilize or fall
2. Incomes rise to match living costs
3. Social protection cushions the most vulnerable in society.

Until then, celebrating “lower inflation” is premature at best, and misleading at worst.

…. Signed….
Razak Kojo Opoku
Founding President of UP Tradition Institute

 

The members of the ruling National Democratic Congress (NDC) have been busy celebrating a single-digit inflation of 9.4% for the month of September 2025, creating an impression that they have better records of inflation data than the New Patriotic Party (NPP).

Razak Kojo Opoku PhD

However, Facts and Data prove that the governments of UP Tradition/New Patriotic Party (NPP) hold the best inflation data when it comes to single-digit inflation.

Below are the FACTS & DATA regarding single-digit inflation rates (0-10%) recorded in the history of Ghana:

Busia’s Government (UP Tradition)

3.03% achieved in 1970

7.32% achieved in 1969

9.56% achieved in 1971

10.07% achieved in 1972

Kufuor’s Government (UP Tradition)

9.36% achieved in 2002

10.73% achieved in 2007

Akufo-Addo’s Government (UP Tradition)

7.81% achieved in 2018

7.14% achieved in 2019

9.89% achieved in 2020

9.97% achieved in 2021

Now, let’s check the records of NDC Governments in terms of achieving a single-digit inflation (0-10%):

Rawlings’ Government

4.87% achieved in 1999

10.06% achieved in 1992

10.31% achieved in 1985

Mills’ Government

8.73% achieved in 2011

10.73% achieved in 2010

Mahama’s Government (2013-2016)

The first term of Mahama’s government from 2013-2016 NEVER achieved a single-digit inflation data. The best inflation rate recorded under the first term of Mahama’s government was 11.67%, achieved in 2013.

Therefore, the 9.4% single-digit inflation rate recorded in the month of September 2025 is a significant achievement for H. E. John Mahama, but the NDC should stop making unnecessary noise about it because this is the first time a single-digit inflation has been achieved by John Mahama’s government both in his first and second term.

We are hoping that, Mahama’s government will be able to achieve the yearly Inflation target of 11% as captured in the 2025 Budget Speech.

Conclusion
So far, the facts and data indicate that:

1. Busia government is the overall best in terms of achieving single-digit inflation rates.

2. Akufo-Addo’s government is the second best in terms of achieving single-digit inflation rates, and this achievement can largely be credited to Ken Ofori-Atta, and Governor Ernest Addison, who were strictly responsible for the management of the Fiscal Policy and Monetary Policy of Akufo-Addo’s government.

3. Rawlings’ government is the 3rd best in terms of achieving single-digit inflation rates.

4. Mills’ government is the 4th best in terms of achieving single-digit inflation rates.

5. Kufuor’s government is the 5th best in terms of achieving single-digit inflation rates

6. Mahama’s government during the first term (2013-2016) will be the 6th best in terms of achieving single-digit inflation.

H. E. John Mahama under his second term now has every opportunity to achieve better results in terms of single-digit inflation rates, and we hope that he will be able to deliver and perform better than his first term in government.

1. NPP/UP Tradition has achieved the lowest single-digit inflation of 3.03% whereas the NDC best inflation rate ever achieved was 4.87%.

Therefore, until NDC achieves a single-digit inflation better than 3.03%, the NPP/UP Tradition still holds the title as the best achiever of single-digit inflation rate in the history of Ghana.

Also, until Mahama’s government achieves a single-digit inflation rates throughout the 4-year mandate just like Akufo-Addo’s government achieved from 2018-2021, the NDC can NEVER say that Mahama’s government is better than Akufo-Addo’s government in terms of Single-digit inflation data.

… Signed….
Razak Kojo Opoku(PhD)
Founding President of UP Tradition Institute.