NDC sells ECG for loan?
The Ghanaian Chronicle says the NDC government has offered for sale shares in the Electricity Company of Ghana (ECG) to strategic investors as one of the conditionalities for a $180 million-loan from the International Development Association (IDA), to finance the second phase of the Economic Reform Support Operations (ERSO II). The paper quotes a development credit agreement between IDA and the Ghana Government, which was laid before Parliament last week.
Under the agreement, the Government, as part of the conditionalities, has increased cocoa farmers? share of the free-on-board (FOB) price to 65 per cent in the 1999/2000 crop season, in accordance with the Letter of Development Policy (LDP) sent to the IDA.
The Chronicle says the letter dated April 29, 1999, describes a programme of action, objectives and policies designed to achieve structural adjustment of the economy for which it is seeking assistance.
Among other conditions, the government had informed the IDA that it had presented to Parliament a legislative instrument satisfactory to the Association, establishing electricity regulations for the operation of the national inter-continental electricity system.
