EU to pump €161m into Ghana’s economy

The European Union is to release EUR 161.38 million of budget support to the Government of Ghana “in the coming weeks.”

According to the EU ambassador to Ghana William Hanna, the decision to resume budget support disbursements to Ghana follows the West African country’s resolve to implement a three-year extended credit facility programme with the IMF.

The IMF programme is aimed at addressing the macroeconomic imbalances which made it impossible for the European Commission “to disburse budget support to Ghana at the end of 2013.”

“I am therefore pleased to announce the decision by the European Commission to resume budget support disbursements to Ghana. The EU will release in total EUR 161.38 Million of budget support to the Government of Ghana in the coming weeks. This support is aimed at 4 areas:

“EUR 105.63 Million to support implementation of the Ghana Shared Growth and Development Agenda II, Ghana’s national development plan for 2014-2017.

“EUR 31.25 Million to support the Ministry of Health in implementing the MDG-Acceleration Framework and country action plan to reduce maternal mortality in Ghana and achieve MDG 5.

“EUR 17.5 Million to support the decentralisation reform process aimed at improving service delivery at local level.

“EUR 7 Million to support the preparation and implementation of policy reforms in the Environment and Natural Resources sector, promoting, amongst others, effective forest law enforcement and the development and implementation of the National Climate Change Strategy,” Hanna said in a press statement.

It added: “The EU stands ready to support Ghana in pursuing its development agenda and particularly in the implementation of the challenging structural reforms ahead. The sound implementation of the IMF programme will be essential to restore macro-economic stability with a view to creating an enabling framework for development, investment and job creation.

“A comprehensive Public Financial Management reform, including all necessary actions to combat any irregularities and mismanagement of public payroll, will also be fundamental. The EU will continue to closely monitor progress

Source : starrfmonline.com