Prez. Mahama to personally chase CDB loan in August

• Posted on July 30, 2014
• by Nana Kwesi Coomson
• Comment

President John Mahama will travel to China in August to meet with his Chinese counterpart in an attempt to get the remainder of the three billion dollar Chinese loan released.

Part of the loan is expected to be invested in the Western region for the gas processing plant; however, only 600 million dollars has been disbursed although key points in the loan agreement had been finalized.

This is a second time a delegation will be going to China in pursuit of the loan facility signed three years ago.

The President announced in March 2014 that a delegation would go to China to finalize the agreement.

President Mahama is however, hopeful that his visit will enable him to sign some agreements on the loan and secure the money for the many projects it has been earmarked for.

Part of the loan is expected to be used to build more landing beaches in the Western Region

The Chiefs were at the Presidency to remind him, among other things, his promises to the Western Region and also reaffirm their support for him.

Nana Kwasi Agyemang who led the chiefs asked President Mahama to also improve roads in cocoa growing areas.

He expressed regret over the decision of one of their members to drag the Ghana Gas Project to court over land issues.

Leader of the chiefs Nana Kwasi Agyemang said: “We were very happy when you promised us landing beaches in Shama, when these beaches are provided, the benefits will be many so we want to plead that these projects see reality in your administration.”

The CDB loan, which is also to be used in improving existing infrastructure in the country, has delayed for almost three years, although key points in the loan agreement has been finalized.

The Chinese government was expected to disburse the full amount in three years in three tranches, in some of the most productive areas of the Ghana economy seen as one of the biggest in the West-African sub-region.

However, since the signing of the final agreement, China has disbursed only $600 million to Ghana for the gas project, which is under the control of the Ghana Gas company. But Ghana continues to pay commitment fees on the whole loan.

The President has been in the Western Region since Friday as part of a three day working visit to the Region

By: Eugenia Tenkorang