IFC is a consortium of exceptional repute - NPP

The New Patriotic Party at a hurriedly arranged press conference yesterday launched a vicious attack on critics of the Kufuor administration, describing them as "evil forces" determined to undermine Government policies to enhance the country's economy.

The conference, which was addressed by the party's General Secretary, Mr. Dan Botwe, was in reaction to an earlier one, held on Tuesday by the National Democratic Congress (NDC) accusing Government of ingenuity in the US$ 1.0 billion financial loan agreement it has engaged with the International Finance Consortium (IFC).

According to Botwe, the NPP Government confirms its commitment to the people of Ghana, and that "it would not be distracted by the rather wicked and vicious propaganda attacks mounted by the evil forces who are determined to see Ghana sink under the weight of a legacy of economic deterioration, social deprivation, political dishonesty and abject poverty."

Botwe, noted for his radical stand on political issues, said the NDC's reference to the contract as "419," a term used to describe fraudulent transactions in which one party loses all to the other, was a diabolical and narrow-minded attempt to derail the contract which he described as a breakthrough by the country in her quest for external financial assistance to boost national development.

Sounding like a financial expert rather than the politician he's known to be, Mr. Botwe explained that as required by the constitution, the Minister of Finance placed before Parliament on July 2 this year for consideration and approval a loan of US$350,000, being the first in a series of a total amount of US$ 1,000,000 from the International Finance Consortium (IFC) to the Government of Ghana under the infrastructure-lending programme.

He said the loan to be disbursed in three tranches of US$350,000 each over a three-year period on highly concessionary terms is the biggest single loan package for any Government in the history of this country.

Continuing, he asserted that the fact that the IFC as a private source has agreed to offer a loan of this size to the Government of Ghana is a clear recognition of the good performance of the NPP administration.

Explaining the NPP's view on the contract, Botwe said the party is aware that the Governor of the Bank of Ghana who is mandated by law to advise Government on International Financial Transactions was sent to the U.S. and Europe to investigate the background of the IFC and its associates, adding, the Senior Minister, J.H. Mensah also conducted similar investigations.

"Critics of this Government seem to be busily tabulating and calculating loans being contracted by this Government and shouting out to the nation how much we are adding to the national debt within the short period we have been in office," he said and emphasised that if the intention is to create the impression that this Government is averse to the contracting of loans, then it is a complete misunderstanding of its concerns.

He further lashed out at the NDC for commenting on the transaction, saying it has no business to do so, because it has its representatives both in Parliament and on the parliamentary finance committee, but quickly added that as an opposition to Government they can criticize constructively in order to keep Government on its toes.

Nana Ohene Ntow, Government Spokesperson on Finance who was present at the press conference made it clear that if the Breton Woods institutions, that's the World Bank and the International Monetary Fund (IMF), had any serious reservations about the contract, they'll have indicated that to Government because they are the country's development partners.

He said the IFC is accredited by these two bodies (World Bank and IMF), hence no need for brouhaha if Ghana enters into a loan agreement with them, stressing the IFC has credibility with the United Nations, though not a UN agency.