Controversy Over $162 Million Loan

PARLIAMENT YESTERDAY approved yet another loan facility of $162 million for electrification projects in 600 communities across seven regions of the country, adding up to the nation�s external debt stock of over $14 billion. However, the approval of the loan was not without heated controversy as the minority caucus in parliament lampooned the ruling National Democratic Congress (NDC) for using the Upper West region to contract the credit facility, when in fact not a single community was benefiting from the cash. The facility, which is a supplier�s credit, was said to be an agreement between the Government of Ghana and China International Water and Electric Corporation (CWE) for the supply and installation of materials and equipment under the national electrification scheme (Extension of Upper West Electrification Project). But Members from the Minority caucus, including Dr. Matthew Opoku Prempeh, MP for Manhyia; Ambrose Dery, MP for Lawra/Nandom, who is also the deputy minority leader and Dr. Anthony Akoto Osei, MP for Old Tafo, described the use of the Upper West region as a complete deception since not a single community from the region was benefitting from the loan. Out of the 600 beneficiary communities, the Volta region is getting the chunk of the projects involving 376 communities; Ashanti region -58; Central region- 22; Greater Accra region � 27; Western region � 24; Brong Ahafo region � 66 and Northern region � 27. The title of the loan facility, they contended, was wrong, stating that the name of Upper West could not be used as the region was not benefiting from the loan. According to them, although the loan was for a good cause, the minority would only support it if the title was changed to capture the actual beneficiaries. Supporting the minority�s argument, Speaker Justice Joyce Bamford-Addo insisted the title of the loan facility be changed as she was not prepared to preside over any wrongdoing. Eventually, a Deputy Minister for Finance and Economic Planning, Seth Tekper, changed the title of the loan facility to capture the actual beneficiaries, paving the way for the approval of the loan.