The controversial three billion dollar Chinese loan
The government is accused by The Minority in Parliament of breaching an IMF conditionality that limits how much it could borrow this year. For agree to approve the controversial three billion dollar Chinese loan, the opposition New Patriotic Party MPs has therefore taken the government. They said the Mills admiration in a rush. They failed to take of an 800 million dollar-limitation on government borrowing as agreed between the IMF and the government of Ghana in June.
On Tuesday, Dr. Anthony Akoto Osei as The Minority’s Spokesperson on Finance said at a news conference in Accra the loan could suffer a jolt if all documents on the facility are finally approved and fine-tuned by parliament. The government has also breached the Petroleum Revenue Management Act, Dr. Anthony Akoto Osei added. The section 18(7) of the Petroleum Revenue Management Act pegs the number of years to not more than 10 years while the tranche ‘A’ of the $3 billion loan required 15 year collateral, he said. Moses Asaga, the chairman of the parliamentary select committee on energy and finance, thinks the Minority got it all wrong.
Moses Asaga maintained that the government will pursue the loan. He added that a delegation has been in China for about three weeks to negotiating the subsidiary agreements for the various projects.