News:
July 24, 2015
Parliament on Thursday approved the contentious GhC1.5 billion Eurobond.
The money is planned to service government loans and also assist in balancing the budget.
The loan agreement was laid before the House following the presentation of the mid-year supplementary budget review by the Finance minister on Tuesday.
The issue generated huge controversy in the chamber with the opposition questioning why government is not able to generate funds internally for developmental projects.
The minority caucus expressed concerns why government couldn’t service earlier bonds taken under the previous Kufour administration.
Per the arrangement, $500m is expected to be used refinancing domestic and external debt. The remaining amount of $1billion would be used to finance the 2015 budget in order to reduce the dependence on short term expensive domestic debt.
GhanaMPs.gov.gh