Minority rejects 3 loan agreements totalling $500m

The minority members on the finance committee in parliament have shot down 3 loan agreements totalling $500 million, citing Ghana’s unsustainable debt levels.

The $200 million facility and two other $150 million dollars are meant for digitalization, GIFMIS and some health infrastructure.

However, the NDC MPs during the committee sitting which had the Minister for Communications and Digitalization, Ursula Owusu-Ekuful in attendance demanded a clear-cut debt restructuring roadmap from the finance ministry before it can consider other loan facilities.

Speaking to the media, MP for Asuogyaman, Ampem Nyarko warned that until government gets a handle on the country’s debt crisis, his side will not support any move to borrow more.

“We have taken a very simple position that looking at our debt situation, we’re unable to support further approvals for further loans because we believe that if you’re in a hole you don’t continue to dig further. We are waiting for the Finance Minister to give us a clear-cut to take us out of this debt situation; we need to know our debt sustainability plans otherwise we in the minority are clear that we’re unable to support any additional borrowings by this government,” he said.

But Communications Minister, Ursula Owusu-Ekuful expressed optimism that further engagements will convince the NDC MPs to support the approval of the loans given what the facilities are meant for.

“I am confident that further engagements will enable us achieve the meeting of minds so that these critical facilities that the World Bank has already approved, it’s willing and it’s eager and waiting for those approvals to enable them disburse, will also be forthcoming shortly,” she said.