CDB Loan Swerves Ghana

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Cdb Loan
China Development Bank Loan Delay
President Mahama in a pose with Mr Yi Wang (2nd left), Chinese Foreign Minister at the Flagstaff House in Accra. With them are Vice-President Kwesi Amissah-Arthur and Mr Gong Jianzhong, Chinese Ambassador to Ghana.
President Mahama in a pose with Mr Yi Wang (2nd left), Chinese Foreign Minister at the Flagstaff House in Accra. With them are Vice-President Kwesi Amissah-Arthur and Mr Gong Jianzhong, Chinese Ambassador to Ghana.

The Chinese economic expansionism and burning desire for global hegemony and dominance is assuming alarming dimension as the Ghanaian economy continues to bleed from the naked exploitation in the name of USD3bn Chinese Development Bank (CDB) facility.

 

In an unprecedented agreement with the beleaguered Government of Ghana, the Chinese have so far succeeded in frittering away almost USD100m belonging to the Ghanaian tax payer in the name of disbursing USD3bn to the nation.
Not satisfied, The Al-Hajj has gathered that the Chinese are also hell bent on ensuring that they extract more pound of flesh from their Ghanaian counterparts as renegotiation on the facility seems inevitable.
According to diplomatic sources, representatives of the Chinese Development Bank (CDB) who jetted into the country few weeks ago demanded renegotiation on the US$3bn deal with Ghanaian authorities.
The source told this newspaper that apart from looking for answers to some queries regarding viability and implementation of some of the projects presented by Ghana, the Chinese are asking for additional 7,000 barrels of crude oil to the earlier 13,000 barrels per day agreed between them and the Ghanaian government.

The Chinese initially got Ghana to use its share of crude from the Jubilee Oil Field as collateral for the US$3bn loan. But they now want an upward adjustment of the daily quota from 13,000 barrels to 20,000 barrels.
Senior Lecturer at Ashesi University and Afro-Chinese Relations expert, Dr. Lloyd Amoah had criticized Ghana using its oil as a guarantee for the US$3billion Chinese Development Bank (CDB) deal.
?Using the Jubilee Oil Field as collateral for the loan should not have happened in the first place because that move collided with the Petroleum Revenue Management Act, Act 815, 2011? Dr. Lloyd Amoah stated..
However, sources at the Finance Ministry and the Flagstaff House declined to confirm government has acquiesced to the latest Chinese request.
Meanwhile, Adom News has reported the Member of Parliament for Dormaa Central, Agyeman Manu is urging the government of Ghana to truncate the deal, pay the necessary penalties to cut Ghana?s losses.

?If you look at how things are going, it would be prudent for the government to cancel it instead of renegotiating which would put extreme pressure on the economy of Ghana,? Mr. Agyeman Manu recently told Afia Pokua on her program, ?Burning Issues? on Adom FM.
According to the Dorman MP ?If the government wants to opt out of the deal, it can give 10 day notification to the CDB,? as demanded of the master agreement.

According to him, things would get worse because of the exchange rate and interest accruing on the loan by the day.

On the other hand, he said ?Government?s intention of renegotiation of the deal should come before the Parliament.?

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