Mahama must answer questions on the $3billion chinese loan

Sat, 11 Jan 2014 Source: Otoo, Joseph

The $3 billion Chinese loan from the China Development Bank (CDB), which attracted many discussions among Civil Society Organizations, including IMANI Ghana and the Government of Ghana in the year 2011, has become an albatross around the neck of President Mahama, after defying advice not to pursue the Chinese loan.

According to a Daily Graphic report on Friday, January, 10, 2014, President John Mahama is mounting pressure on the Chinese Government to expedite the process for the release of the loan to support the projects in Ghana. Currently, only one fifth of the $3billion Chinese loan amounting to $600million dollars has been paid to the Ghana Government over the past three years. What is worrying and heart breaking is that, Ghana is currently paying commitment fees on the whole $3 billion loan, meanwhile, we have not received the full $3billion loan.

Public Action Against Corruption and Abuse (P.A.A.C.A.) would like to find out from President Mahama and his Government answers to the following questions;

• How much have we paid to the Chinese Development Bank as commitment fees so far?

• When did we begin the payments and what has been the amount for monthly payments?

• What was the collateral used to acquire the $3billion loan and for which period is the collateral to be held by the CBD?

• What are the challenges confronting the release of the $3billion loan?

• The NDC Government claims that under President Mahama Ghana was able to save $279 million from the oil revenue during the first half of 2013. If this statement is correct, why then should Ghana obtain such an expensive loan to the detriment of the ordinary Ghanaian?

Ever since the NDC government took over the affairs of this country, in the year 2009, it has engaged in what can only be described as very questionable financial dealings. It paid huge amounts of monies out in dubious judgment debts, some to party cronies, the infamous GYEEDA affair, and many other.

P.A.A.C.A is worried the manner in which the Mahama-led Government is managing the economy of this country.

We take this opportunity to invite the general public to take part in the upcoming demonstration on the sale of Merchant Bank to Equity Fund, Fortiz which would take place on Thursday, January 16, 2014, at 7: oo am near Obra Spot.

Thank You.


Joseph Otoo,

(Secretary- 0207347137)

Columnist: Otoo, Joseph