Gov't secures €170m loan facility to establish Development Bank Ghana
- The Ministry of Finance and the European Investment Bank have signed an agreement for the provision of a €170 million loan facility
- This €170 million loan facility will be used to establish a new bank, the Development Bank Ghana (DBG)
- Akufo-Addo noted that the new bank is going to play a very important part in the rapid transformation of Ghana's economy
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The Ministry of Finance in partnership with the European Investment Bank have signed an agreement for the provision of a €170 million loan facility for the establishment of a new national bank.
The new bank, the Development Bank Ghana (DBG), is an integral feature of the GH¢100 billion Ghana Cares ‘Obaatampa’ Project.
The Minister for Foreign Affairs and Regional Integration, Shirley Ayorkor Botchwey, signed on behalf of Ghana, with Dr. Werner Hoyer, President of EIB, signing on behalf of the Bank.
This event took place during a meeting held with the President of the European Investment Bank, Dr. Werner Hoyer, as part of Akufo-Addo's official visit to Belgium.
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The €170 million loan facility, according to Dr. Hoyer, is the largest facility provided by the European Investment Bank for the establishment of a development bank in Africa or for any other project, for that matter, on the continent.
In a report filed by CitiNews, Akufo-Addo noted that “the new bank is going to play a very important part in the rapid transformation of Ghana economy, following the after-effects of COVID-19.”
The President indicated that the design and operation of the Bank, “which has been on the drawing board for the last two years”, will satisfy the highest standards, scrutiny, and best practices of Development Banks across the world.
President Akufo-Addo reiterated that the provision of this facility signals the determination of Ghana to continue partnering with the EU.
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Africa needs fiscal room to breathe or becomes a forgotten continent - Akufo-Addo to Europe
For his part, Dr. Hoyer was confident that the establishment of the bank will help unlock opportunities for growth in Ghana.
He noted that the establishment of the Bank is in line with the objectives of the European Union, and will help develop Ghana’s private sector, agri-business, manufacturing, and ICT initiatives.
In other news, President Nana Addo Dankwa Akufo-Addo has warned that Africa will become the forgotten continent without the needed fiscal room to breathe.
He said to stop that from happening, “there is an urgent need for comprehensive debt relief and debt cancellation.”
The president made this known on Tuesday, May 18, 2021, when he spoke at the Summit on Financing African Economies in France.
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Source: YEN.com.gh
