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General News of Tuesday, 4 September 2018

Source: primenewsghana.com

Floating of $50bn century bond - Minority expresses concern

The Minority in Parliament has expressed concerns over governments plans to float a $50 billion bond for a period of 100 years.

James Klutse Avedzi, Deputy Minority Leader and MP for Ketu North, has said plans by government to go for a $50 billion Century bond could affect the fortunes of the country in the near future.

President Addo Dankwa Akufo-Addo announced on Saturday that his economic management team is considering floating a $50 billion Century Bond, even though he did not state when.

Addressing a meeting, he told Chinese President, Xi Jinping, during a short ceremony in Beijing that, “This will provide us with the resources to finance our infrastructural and industrial development. We are hoping that, at some stage, China will interest itself, and take a part of it as China’s contribution to Ghana’s development,” Akufo-Addo added.

However, Speaking in an interview on Accra- based Joy FM, monitored by PrimeNewsGhana, the deputy Minority MP Noted "If you borrow $50 billion today, which you are going to service over 100 years, it means you are mortgaging the future revenue of this country and you are not going to give an opportunity for the future leader of this country to decide on it own."

"In fact, you do not mortgage the future of this country, you are going to have a different crop of leaders tomorrow and you have to give them the opportunity to decide. The maximum we can go is 20years." the deputy Minority Leader suggested.

Meanwhile, Information Minister-designate, Kojo Oppong Nkrumah, has defended the reason for the bond adding that it forms part of governments efforts to get a cheaper and longer-term loan.

Speaking in an interview on Joy FM, Kojo Oppong Nkrumah said if implemented, the bond will support Ghana’s resources mobilisation drive.