Govt To Establish New Airline

Dzifa-AttivorGOVERNMENT yesterday signed a transactional advisory service agreement with the World Bank through Public Private Partnership (CPP)  to establish a national airline.

The $30 million loan facility, among other things is  to support government to develop institutional capacity in line of achieving the Public Private Partnership agenda.

The Minister of Transport, Mrs. Dzifa Aku Attivor, who signed for Ghana, said the agreement, had come as a great relief, to bring back the country’s glorious days of flying the national carrier.

She said the government adopted the PPP as a strategic investment option to finance and develop the needed infrastructure and services in the country.

“In the transport sector, there are enormous pressure from the citizenry, civil society organisations and the entire population for an improved delivery of infrastructure and services in all modes of transport including the establishment of an airline,” she said.

The Minister said the government budgetary resources were inadequate to provide the transport facilities and also develop and maintain adequate infrastructure in the other sectors of the economy, resulting in huge infrastructural gap.

She said it was in line with this that, the government embraced the PPP option as an alternative finanacing arrangement that would ensure adequate investment in the provision and maintenance of various infrastructure and services in the country.

Ghana, the minister said, did not have to reinvent the wheel noting that it had learnt from other countries such as the United States, UK, Brazil, Singapore, the Philippines, and Malaysia who successfully implemented PPP models and options for the provision of infrastructure and service for their peoples.

Following the adoption of the PPP policy framework, she said the government for that matter her outfit been working closely with the Public Investment Division of Ministry of Finance on a number of projects in the transport sector.

Mrs. Attivor said two key projects, the Boankra Inland Port and the Eastern Railway line project were being facilitated vis-à-vis the establishment of a national airline.

‘For the two projects, the ministry in collaboration with ministry of Finanace with funding by the World Bank has gone through procurement process for the agreement of the transation advisors to manage the PPP process to engage a strategic partner for the project’, she said.

The minister said the selection of Price Waterhouse Coppers (Ghana) Limited to was based on its track record to advise and undertake various business studies, develop plans, finance and economic models, advice management on the procurement process among others.

The establishment of the national airline, she said, would provide regional,sub regional and inter-continenetal air transport service in line with the ministry’s policy of making the Kotoka International Airport, an aviation hub within the sub-region.

Mr. Djibrilla .A. Issa, Country Sector Advisor of the World Bank signed on behalf of the organisation, commended Ghana for taking up the bold step to undertake major developmental drive to put the country on a pedestal.

He said studies had shown that Ghana had made lot of progress over the years in line with the World Bank policies in the quest of bringing development to its people.

However, she said there were some gaps which require support saying that he was therefore not surprise that Ghana took bold initiative to bring its airline industry back.

Mr. Felix Addo, Senior Partner of the Price Waterhouse Coopers (Ghana) Limited, transactional advisors to government for the acquisition of the national carrier assured of his outfits commitment to do due diligence in the discharge of its work.

By Francis Asamoah Tuffour  

 

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