Envoy: Be transparent in the disbursement of funds

Mr Barnes

Mr Barnes

The Australian High Commissioner to Ghana, Andrew Banes has cautioned against “endless loans,” following the signing of a $2 billion barter trade agreement between Ghana and Synohydro group of China.

 

The facility will be channeled into infrastructure development, according to the agreement ratified by Parliament and signed in China during President Nana Akufo-Addo’s state visit to Beijing.

 

Commenting on the deal and Ghana’s growing ties with China, Mr Barnes called for transparency in the disbursement of the funds and bemoaned “endless” borrowing.

 

“I can’t stress enough that there’s got to be transparency and there’s got to be a free and fair tendering process for contracts in foreign investments.

 

You can’t keep taking endless loans for projects, if there is transparency in the process, the economics of what are essentially business deals will be apparent, if it is a properly managed business venture, the investment should pay itself back, and the debt should be able to be serviced.

“It becomes a problem if the investment is not done on a commercial basis and does not add up then Ghana is left with businesses that fail, that are not providing a return on the investments, and Ghana is left with a large debt without any ability to service.

 

 “As long as the investments are worthwhile and will lay the benefits for future prosperity and developments and growth, well then the investment is a good thing,” Mr Barnes noted.

The facility will be channeled into infrastructure development, according to the agreement ratified by parliament and signed in China during President Nana Akufo-Addo’s state visit to Beijing. –pulse.com.gh

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