RE: 19 billion China loan will arrive in August – Hamid

Contrary to media reports that, Mustapha Abdul-Hamid had said that government is on course to submit a $19 billion loan facility from the Chinese government to Parliament for approval, the Minister for Information has denied, stressing that the amount he mentioned was rather $2billion.

“This was an incorrect quote of my submissions in an interview I granted Afia Pokuaa of Adom FM on ‘Burning Issues’ on the 9th of April 2018. This said quote is incorrect and total misreportage of my words,” he stated.

“At no point throughout the interview did I mention the figure 19 billion dollars or suggest that a 19billion dollar loan will be concluded.

"Rather, I told Afia Pokuaa that by August, government hopes to break ground across the country on various infrastructure projects that will be financed through an initial 2 billion tranche of upcoming Chinese facilities. I further mentioned that the necessary request for approval for this first tranche of 2 billion will soon be put before parliament,” the minister added.

Background

The government of China is expected to pump some $19 billion into Ghana’s economy as communicated by Vice President, Dr Mahamudu Bawumia on his return from a four-day visit to the Asian country.

The funding partnership with China, according to Dr Bawumia, is not based on direct borrowing and aid model.

But the opposition National Democratic Congress (NDC) described the deal as a hoax, while adding that the economy does not have the capacity to absorb the money.

They further criticized the Akufo-Addo-led government for expressing its willingness to use the country’s natural resources as collateral in securing the loan.

In a rebuttal, Monitoring and Evaluation Minister, Dr. Anthony Akoto Osei, described the Minority’s posture as misplaced, stressing that there is nothing hypocritical about the said deal as posited by the minority. He described it as ‘sensible borrowing’.

Below is the statement;

RE: 19 Billion China Loan will Arrive in August - Hamid

My attention has been drawn to a news item on your web portal that purportedly quotes me as saying that Ghana will conclude a 19 billion dollar loan deal with China in August.

This was an incorrect quote of my submissions in an interview I granted Afia Pokuaa of Adom fm on “Burning Issues” on the 9th of April 2018.

This said quote is incorrect and total misreportage of my words and I wish to correct same as follows:

At no point throughout the interview did I mention the figure 19 billion dollars or suggest that a 19billion dollar loan will be concluded Rather, I told Afia Pokuaa that by August, government hopes to break ground across the country on various infrastructure projects that will be financed through an initial 2 billion tranche of upcoming Chinese facilities.

I further mentioned that the necessary request for approval for this first tranche of 2 billion will soon be put before parliament.

I hope that you will give my rejoinder the same prominence that you gave your original story.

Mustapha Abdul-Hamid (Ph.D)