China agreement won't send Ghana into HIPC- veep's Advisor

pulse-ghana admin

June 29, 2017 11:15 AM

Bawumia's advisor shames NDC conspiracies about $15million Chinese investment

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Following the outcome of Vice President Bawumia’s visit to China towards finding innovative ways of funding the Ghanaian economy, Dr. Gideon Boako,, technical advisor to the Vice President has allayed the fears of worried Ghanaians about conspiracies around the issue.

Reports from the presidency earlier this week stated that a financial commitment to the tune of over $15 million dollars has been made by China after Ghana presented them a module to leverage untapped mineral resources, especially bauxite.

Contrary to what the incumbent says, the minority still contends that the country is on the brink of financial derail because is the money is just a loan that would strangulate the economy and put the nation into Heavily Indebted Poor Country (HIPC) status again.

The loan, Mr Cassiel Ato Baah Forson, Minority Spokesperson on Finance has alleged would further deepen the nation’s indebtedness to 50% and the already high GDP to debt ratio from 72% to 130%.However, a member of the delegation that went to China, Dr. Gideon Boako contests that the deal with China is a joint venture and in no form a loan that would plunge the country into destruction as the opposition say.

READ ALSO: Chinese loan: No strings attached to loan offered by China - Bawumia “The Chinese government agreed to our proposal and signed an agreement on that. We are not going to pay them anything but profits from the joint venture business will be shared among the two great countries,” he added The Vice President’s advisor said on ‘Ghana Montie’, the morning show of NEAT FM that it was agreed that the funding by the Chinese government would be geared towards expanding the bauxite industry of the nation to increase the nation’s prospect in the international market.

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