Gov’t chases more loans

Parliament adjourned just before midday yesterday after a loan agreement between the Government of Ghana and the International Development Association (IDA) for an amount of $25 million was laid in the House. It was referred to the Finance Committee for scrutiny before its approval.

The loan is supposed to be used for the transport sector project as an additional financing.

More loan agreements are before the House as it prepares to go on recess later in the month.

There is also a financing agreement between the Government of Ghana and IDA for an amount of $150 million.

This, according to the government, is to help stabilise the economy “for competitiveness and growth development financing.”

Another one is an indemnity agreement with the IDA for a policy-based guarantee of $400 million in respect of the first macro-economic stability for competitiveness and growth development financing.

There is also a loan agreement between the government and the Africa Development Fund for an amount of $56.8 million, which is expected to be used to support public financial management and the Private Sector Competitiveness Support Programme Phase 1.

The fourth is a loan agreement between Ghana and Kreditanstalt fur Wiederaufbau (KfW) in which an amount of €17,310,000 will be approved to help finance multi-donor budget support programme.

There is a financing agreement between the government of Ghana and the International Development Association for an amount of $45 million to support the public financial management reform programme as well.

Then, there is a receivable-backed trade financing facility between the Ghana Cocoa Board (COCOBOD) and a consortium of banks and financial institutions in which the government of Ghana will serve as a guarantor for an amount of $1.8 billion.

This amount will be used for the purchase of cocoa beans for the 2015/2016 crop season.

Currently, Ghana’s debt stock is about 70% to GDP, making it a high risk debt country.

The early rising yesterday was to enable MPs who want to travel to Zebilla in the Upper East Region to attend the funeral of the son of former majority leader and National Democratic Congress (NDC) MP, Cletus Avoka – which is coming off today – to go on time.

The Deputy Minister of Roads and Highways, Isaac Adjei-Mensah, was in the House to answer questions posed by some MPs on roads in their various constituencies

Those who posed the questions were New Patriotic Party (NPP) Member for Sunyani East, Kwasi Ameyaw-Cheremeh; NPP MP for Takoradi, Kwabena Okyere Darko-Mensah; NPP MP for Nkawkaw, Eric Kwakye Darfour and the MP for Hemang Lower Denkyira, Foster Joseph Andoh.

After the question time, the business statement for the tenth week – beginning Tuesday, July 14 – was presented to the House by the deputy majority leader, Alfred Agbesi.

Among the top issues for next week are an expected briefing by the Local Government Minister and the Accra Metropolitan Chief Executive on the recent demolition exercise at Old Fadama, popularly known as Sodom and Gomorrah and the consideration of some other important bills.

The Minister of Local Government and Rural Development will also be expected to answer an urgent question standing in the name of the NPP MP for Akwapim South, O.B. Amoah.