AFRICAB DEVELOPMENT BANK PLEASED WITH GHANA’S MANAGEMENT OF ITS ECONOMY

ACCRA, Ghana can access 500 million US dollars annually from the African Development Bank (AfDB) for its development programmes over a three-year period in view of President Nana Addo Dankwa Akufo-Addo’s prudent management of the economy, says AfDB President Akinwumi Adesina.

We will we work with you to move Ghana towards the commercial window of the Bank, he declared here Wednesday when calling on President Akufo-Addo. I want to assure you that we will provide the maximum amount support for you and your government to succeed. You have put together an excellent team, a first-rate team, and I have every confidence that it will succeed.

Adesina noted the successes being chalked in transforming the Ghanaian economy saying: I must commend you for the growth that I am beginning to see. The economy is going to grow this year at 6.3 per cent, and next year at 7.4 per cent. The medium-term outlook is great, at about 9.2%. You (President Akufo-Addo) have always said you wanted Ghana back, and a Ghana Beyond-Aid. This kind of growth trajectory is exactly what is needed for a Ghana Beyond-Aid.

Adesina, who is on a three day working visit to Ghana, also lauded the clarity of President Akufo-Addo’s vision and the path he was taking Ghana’s economy, which, he said, “has enhanced the image of the country and its standing with the global, international financial community”.

He also commended the government for the efforts at stabilising the macro-economy. The results are quite evident, he noted. If you look at the inflation rate, it has gone down to 12.1 per cent. The debt stock in relation to the size of the GDP (gross domestic product) has also gone down to 67 per cent, from what you inherited. These are all great signs of your stewardship in the few months that you have taken over. That is a very good tone.

The AfDB President also expressed his delight at the stability the government had achieved in the rnergy sector and gave an assurance that the Bank would support Ghana deal with the issue through partial credit guarantees and partial risk guarantees to reduce the debt levels, “because the power sector has to work very well.

On cocoa, Adesina described the leadership of President Akufo-Addo and that of President Ouattara of Cote d’Ivoire as crucial. As both of you mentioned to me, it does not make sense for Ghana and Cote d’Ivoire to produce 64 per cent of the world’s cocoa, and yet be at the short end of the stick of not being able to control the market. So you have given us specific instructions of what you wanted and we’ve moved on that, he said.

We have received a request for 1.2 billion US dollars from Ghana’s Minister of Agriculture and from the Cocoa and Coffee Board of Cote d’Ivoire, and we will be looking at building warehouses so you can store the cocoa and not have to sell immediately after harvest.”

Additionally, Adesina stated that a Stabilization Fund had been set up to make sure we are able to deal with downside risks in terms of the volatility of prices”.

The third is to recapitalise the cocoa plantations because they are quite old, and it requires an injection of money by the State to do that.

Source: NAM NEWS NETWORK