$150m World Bank IDA loan approved by parliament after heated debate

The Parliament of Ghana, on Friday, May 17, 2024, passed a $150 million loan agreement between the Government of Ghana and the World Bank.

There was an intense debate in the house over the loan agreement, with the minority side of the house, led by the Minority Leader, Dr. Cassiel Ato Forson, totally opposed to it.

The minority accused the government of misappropriating a previous loan facility meant for the same purpose, which is to desilt drainage systems in the Greater Accra Region.

They also raised concerns about some of the items that the $150 million was going to be used for.

The Majority Caucus, led by the Majority Leader, Alexander Kwamina Afenyo-Markin, argued that the loan was necessary to ensure that the drainages are desilted to help avert floods in the Greater Accra Region as the rainy season commences.

The Speaker of Parliament, Alban Bagbin, ordered a headcount of the MPs on the approval of the loan agreement after his ruling that the loan had been approved by a voice vote.

After the headcount, Speaker Bagbin announced, “Honourable members, at the end of the headcount, the ayes have 137; the nays, 132. Honourable members, the ayes have it.”

The minority still tried to get a resolution on the loan agreement rejected, but their efforts proved futile.

It will be recalled that the Majority Caucus in Parliament requested the Speaker of Parliament, Alban Bagbin, to reconvene the House to address urgent government issues in a timely manner.

The caucus aimed to tackle key government items, including the adoption of the Thirty-Fourth Report of the Appointments Committee and a motion for additional financing.

The letter, signed by the Majority Leader, Alexander Kwamina Afenyo-Markin, invoked Article 112(3) and Order 53 of the Standing Orders of Parliament, which permits 15% of the members of the House to ask for Parliament to reconvene.

"Additional Financing Agreement between the Government of Ghana (GoG) and the International Development Association (IDA) for an amount of US$150 million to finance the ongoing Greater Accra Resilient and Integrated Development (GARID) Project.

"Request for Tax Exemption for selected beneficiaries under the 1D1F Programme," portions of the letter read, as reported by citinewsroom.com.

The letter also elaborated on the reasons for the urgent summons and its intended outcomes.

BAI/NOQ

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