World Bank approves 100 million dollars for Ghana

The World Bank has approved a 100 million dollar facility for the country as the 8th Poverty Reduction Support Grant (PRSG8). This is to support the implementation of the Ghana Shared Growth and Development Agenda (GSGDS 2010-2013),which succeeded the second Growth and Poverty Reduction Strategy (GPRS).

The facility among others is to be used to establish a petroleum regulatory authority, implement an electricity automatic tariff adjustment mechanism, and adopt an action plan for the restoration of the Tema Oil Refinery, TOR financial sustainability.

Also is the adoption of an action plan for the continued overhaul and divestiture of State Owned Enterprises and Implementation of the composite budgeting framework of the district assemblies

According to Kwabena Dufour, Ghana’s Minister of Finance and Economic Planning, “The Government has taken appropriate measures to enhance fiscal discipline and stabilize the economy in pursuit of the country development agenda. We believe that with continued support from the World Bank and other development partners, Ghana will be able to achieve the objectives set out in the Ghana Shared Growth and Development Agenda”.

Sebastien Dessus, Lead Economist for the World Bank in Ghana also notes that “The PRSG8 concluded a series of budget support operations (EGPRC, PRSC7) started in 2009 to support Ghana?s macroeconomic stabilization efforts and the development of the oil and gas legal and regulatory framework. Having regained fiscal space and become a middle income country, Ghana?s challenge is now to take full advantage of its current oil-driven economic boom to decisively propel its economy to a higher development and poverty reduction trajectory, through wise and transformative investments, accelerated policy reform implementation, and the strengthening of accountability mechanisms”.

From: Emmanuel Agyei