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Today in History: Ghana in a a 'joint venture business' with China - Gideon Boako

Bawumia 11.png Vice President, Dr. Mahamudu Bawumia

Wed, 29 Jun 2022 Source: www.ghanaweb.com

The minority in parliament in 2017 argued some funds secured from China are loans instead of a partnership agreement as stated by the government.

Earlier communiqué from the government indicated that Ghana was seeking to leverage its natural resources, specifically bauxite, through the partnership with the Chinese government that saw the latter pledge to commit over 15 billion dollars to Ghana's economy.

Technical Advisor to the vice president, Dr. Gideon Boako, explained, however, "Ghana and China are in a joint venture. We insisted on that during a meeting with the Chinese government, so the money is not a loan as purported."

Read the full story originally published on June 29, 2017 by peacefmonline

Technical Advisor to the vice president, Dr. Gideon Boako, has noted that the brouhaha surrounding a $19 billion fund from the Chinese government is "unfortunate".

Earlier communiqué from the government indicated that Ghana is seeking to leverage its natural resources, specifically bauxite, through its recent partnership with the Chinese government, which saw the latter pledge to commit over 15 billion dollars to Ghana's economy.

But the minority in parliament also argued that the money was a loan from the Chinese government, which would plunge the country into a Heavily Indebted Poor Country (HIPC) status.

The Minority Spokesperson on Finance, Mr Cassiel Ato Baah Forson, maintained that the loan facility, which would raise the country's debt by 50 percent, would raise the country's debt to Gross Domestic Product (GDP) of 72 percent to about 130 percent.

However, Dr. Gideon Boako, who was among the government delegation to China, explained that "Ghana and China are in a joint venture. We insisted on that during a meeting with the Chinese government, so the money is not a loan as purported."

"The Chinese government agreed to our proposal and signed an agreement on that. we are not going to pay them anything but profits from the joint venture business will be shared among the two great countries," he added

Speaking on NEAT FM's morning show 'Ghana Montie' the vice president's advisor said – "We made it clear to the Chinese government that, whiles they are providing the money for the joint venture business, we will use the money to work on Ghana's bauxite sector for the international market which they agreed."

Source: www.ghanaweb.com
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