UK to cancel Ghana's debt, if...

The Minister for Finance, Yaw Osafo-Maafo, says the United Kingdom has agreed to write off Ghana's debt owed her if Ghana is able to reach the decision point of the Heavily Indebted Poor (HIPC) Initiative.

Explaining the decision point, he said this refers to the time when nations agree that HIPC relief should flow.

Mr. Osafo-Maafo disclosed this in an interview with newsmen at the Airport on his return from London where he attended a meeting with finance ministers of countries who have either opted for the HIPC initiative or about to do so.

He said the UK is determined to assist Ghana in her economic recovery effort adding, "what is now needed is how Ghana can come out of her difficulties by adopting pragmatic measures as well as hard work.''

Osafo-Maafo said the UK used the meeting to appeal to the other members of the Group of Eight to endeavour to write off Ghana's debt. "Ghana's decision point is between now and September, which is a critical period, hence we should reduce expenditure, control inflation and ensure that we put our house in order. "Normally it takes 18 months for a country to reach the decision point, however, Ghana is doing so by September," he said.

He said, prior to the London meeting, he stayed in Valencia after the African Development Bank and the African Development Fund annual general meeting, to hold further discussions with the Government of Spain on 100 million dollars funding to be made available for on-going Spanish projects in Ghana.