The Minister of Youth and Sports, Mahama Ayariga has expressed concerns that the Ghana National Petroleum Corporation (GNPC) could lose or pay higher interest on the $700 million loan facility it is seeking due to allegations of sidestepping Parliament.
He said the Deutshe Bank of Germany is likely to reconsider its decision to approve the loan because they will “begin to feel that maybe they are engaging in unnecessary risk.”
Legal practitioner Gabby Asare Otchere-Darko, revealed attempts by the GNPC to secure the loan facility without Parliamentary approval which he said was illegal.
He further alleged that the Corporation was acquiring the loan on behalf of government without Parliamentary scrutiny.
But the Chief Executive of the GNPC, Alex Mould in an interview with Citi News rejected the claims.
He clarified that the loan was not for government but it will be used to support its increasing oil and gas infrastructural investment.
Speaking on Joy FM, Mr. Ayariga stated that the various allegations and media discussions on the $700 million loan is undermining the GNPC’s credibility.
“Don’t do anything that will undermine the institution because this kind of discussion can sometimes even scare the lender or even increase the cost of the money. So for me, these are critical issues,” he said.
He backed Mr Mould’s defense that the GNPC did not need “prior approval” from Parliament.