Ghana has received support from the World Bank to strengthen its institutional capacity in domestic revenue mobilisation, public investment management, debt management, and governance of state owned enterprises (SOEs).
Reforming the governance of SOEs and improving government’s oversight will also help improve public service delivery and contribute to economy-wide competitiveness.
A statement issued by the World Bank in Accra yesterday said this was made possible with an approval of a $15 million Ghana Economic Management Strengthening (GEMS) Technical Assistance Project by the World Bank’s Board of Executive Directors.
The statement said the project which complements a series of development policy operations was to support reforms in debt management, public investment management, SOE governance, and capacity strengthening in domestic revenue mobilisation.
It said it would specifically support improvements in the Ministry of Finance; the Ghana Revenue Authority (GRA); the National Development Planning Commission (NDPC); targeted SOEs; and selected Ministries, Departments, and Agencies (MDAs).
“Our support to Ghana under the GEMS project will among others, help the Ministry of Finance build capacity to better operationalise its medium-term debt management strategy and also help improve public service delivery through reforming the governance of SOEs so government financing needs are met at the lowest cost with prudent levels of risk,” World Bank Country Director for Ghana, Henry Kerali said.
The GEMS Technical Assistance project will contribute to increased domestic revenue mobilisation, reduced debt burden, help support better public investments and bring improved economic benefits to the people of Ghana.
The project is consistent with and aligned to the Ghana Shared Growth and Development Agenda II (GSGDA II) 2014–2017, which seeks to support growth and restore macroeconomic stability.
It is also closely aligned to the World Bank’s Country Partnership Strategy for Ghana (2013–2016), which is to deepen support for Ghana’s transition and involves assisting the country to sustain economic growth, reduce extreme poverty, and enhance shared prosperity for all Ghanaians to share in the benefits of that growth.
The World Bank’s International Development Association (IDA), established in 1960, helps the world’s poorest countries by providing grants and low to zero-interest loans for projects and programs that boost economic growth, reduce poverty, and improve poor people’s lives.
IDA is one of the largest sources of assistance for the world’s 77 poorest countries, 39 of which are in Africa. Resources from IDA bring positive change to the 1.3 billion people who live in IDA countries. Since 1960, IDA has supported development work in 112 countries.
Annual commitments have averaged about $19 billion over the last three years, with about 50 per cent going to Africa.