TIG Post

Tag: HIPC

  • COP27: Ghana made over $1.3bn from climate negotiations in 6yrs – Suhuyini alleges

    The Member of Parliament for the Tamale North Constituency, Alhassan Suhuyini, has alleged that Ghana made well over $1.3 billion from climate change negotiations in the last six years.

    As one of Ghana’s delegates to the Conference of Parties (COP27) negotiations in Sharm el-Sheikh, Egypt, he lauded the preparations and organization of the Ghana Negotiation Team.

    “In the last six years, we have made about $1.3 billion from climate change negotiations,” he alleged.

    He however questioned the viability and evidence of the monies Ghana has earned from such conferences and negotiations in the past years.

    “With these monies, shouldn’t we be seeing more projects?”

    Speaking on The Big Issue on Citi FM/Citi TV, Mr. Suhuyini called on African countries that receive monies that are meant for climate mitigation to be used for the right courses and be accountable to the donor countries.

    He also criticized President Akufo-Addo’s proposal to richer nations to swap African nations’ debts for climate interventions when Ghana and other climate-vulnerable countries do not have major climate adaptative projects to show for the monies received so far.

    Speaking as Chair of the Climate Vulnerable Forum (CVF) at the Conference on November 8, President Akufo-Addo said: “as adaptation cost continues to outstrip current international public finance flows, we must, as a matter of urgency, mobilize and scale up adaptation finance inflows to ensure the vulnerable countries are able to meet their adaptation needs. It is critical in this regard that the developed world makes good on their long-delayed pledge to mobilize and make available $100 billion annually to the poorer countries to assist in the fight against climate change and commit as agreed in COP26 in Glasgow to doubling resources for adaptations. Furthermore, it is plain to most to see that a radical restructuring of the global financial architecture as proposed by the African Finance Ministers to accommodate the demands of the developing world is of urgent necessity. I also urge those who owed African debts to commit to debt for climate swap initiatives.”

    Alhassan Suhuyini described the call as a good one, but said, “we must also ask ourselves why we are in this debt cycle situation. A few years ago, Africa championed the Heavily Indebted Poor Countries (HIPC) initiative which saw the cancellation of our debt and less than a decade ago, we are asking for debt forgiveness again.”

    This year’s Conference was held for the first time in an African country and two main themes or fields; loss and damage added to the negotiated items.

    Ghana was also one of the few countries that had a stand at the Conference.

     

  • Flashback: How Asantehene’s phone call saved Ghana after failed attempts by Kufuor, others

    The Asantehene, Otumfuo Osei-Tutu II, is not a politician; however, there is little contention regarding the significant role he has played in the framework of Ghana’s politics.

    In this story which GhanaWeb first published on Tuesday, April 23, 2019, but sourced from mynewsgh.com, a fair idea of one of such instances that the Asantehene’s influence came to bear is given.

    According to the report, Otumfuo’s influence got the World Bank to pass Ghana as a Heavily Indebted Poor Country (HIPC) during the era of President John Agyekum Kufuor.

    Nana Agyenim Boateng, a communications team member at Manhyia Palace, also known as the Amoamanhene, is reported to have made the revelation.

    Read his full account of the story below:

    His Royal Majesty, Otumfuo Osei Tutu II, the King of the Asante Kingdom, heavily influenced the World Bank’s decision to allow Ghana to gain Highly Indebted Poor Country (HIPC) status with just a phone call after President John Agyekum Kufuor and his entire government machinery exhausted all avenues available to them at the time.

    A communications team member from the Manhyia Palace and sub-chief Amoamanhene, Nana Agyenim Boateng, made the shocking revelation about the influence wielded by the respected King to the advantage of the country.

    Former President of the Republic of Ghana John Agyekum Kufuor and his government in the year 2001 joined the HIPC.

    According to Mr Kufuor, the move was to serve as an opportunity to take a breather to pursue medium to long-term targets and not just a “political gimmick or trick”.

    At the time, many Ghanaians, especially the opposition, strongly opposed the decision by the Kufuor administration to opt for HIPC, but the government insisted it was necessary considering the state of the economy at the time.

    However, revealing the brain behind the success of the World Bank deal, Nana Agyenim Boateng clearly noted that it took Otumfuo’s phone call to complete everything.

    “This is an available record and not from me. After the Assessment by World Bank, there were some deficiencies in our economy. At the time, Asantehene did not go to Washington; it was just a telephone call. He called James D. Wolfensohn, the World Bank Boss at the time and told him this was the situation, and the World Bank cancelled our debt, and Ghana went HIPC. It’s on record”. Nana Amoamanhene Nana Agyenim Boateng revealed this in an interview with Hello FM in Kumasi, monitored by MyNewsGh.com.

    “The social intervention Asantehene did was not for Kumasi alone but the whole country”, he added.

    Source: Ghanaweb.com

  • Ghana back to HIPC: Who made that official declaration? – Kweku Baako

    Seasoned Journalist, Abdul Malik Kweku Baako has slammed former President and NDC Presidential candidate, John Dramani Mahama over his HIPC comments.

    Engaging some professionals at the La Palm Royal Beach Hotel in Accra on Monday, 26th October 2020, former President John Mahama was worried about the rate of borrowing by the Akufo-Addo administration.

    Addressing the gathering, he reportedly made an emphatic statement that Ghana is back to the status of a Highly Indebted Poor Country (HIPC).

    “Even worse, the rate of borrowing by this government has dazed many observers.

    “The IMF in its Sub-Saharan African Regional Economic Outlook forecast the current rate of borrowing and debt at a frightening 76.7% debt to GDP ratio. Officially, Ghana is back to HIPC status under Nana Akufo-Addo and Ken Ofori-Atta administration,” he said.

    Kweku Baako, speaking to sit-in host Nana Yaw Kesseh on Peace FM’s ‘Kokrokoo’ programme, has punched holes in Mr. Mahama’s HIPC statements.

    Mr. Baako first wants to know where Mr. Mahama gleaned his information from, asking ”who made that official declaration?”

    ” . . what did President Mahama mean by official, Ghana is back to HIPC status?” he further queried.

    He admitted that Ghana has some debt issues but asserted it doesn’t give credence to the comments made by Mr. Mahama.

    ”I don’t think that any Ghanaian should think that we don’t have a challenge with our debt profile or debt servicing. I don’t think anybody should entertain that idea. We do have as a lower middle income and the borrowing we’re doing, there’s always a risk element there and I think those in charge who are doing the borrowing on our behalf know that. The question really sometimes, when you do a debt sustainability analysis, is to determine whether you’re able, in spite of the profile, the stock, the quantum; whether you’re able to service your debt,” he stated.

    “The IMF hasn’t declared Ghana HIPC,” Kweku Baako called out Mr. Mahama’s lies.

    Source: Peace FM

  • Ghana not back to HIPC Oppong Nkrumah

    Minister of Information, Kojo Oppong-Nkrumah has debunked claims that Ghana has once again been ranked in the category of Highly Indebted Poor Countries (HIPC).

    According to him, the numerous publications making rounds on social media purporting that the country has returned to HIPC is false and fake news.

    Speaking at the Nation Building Updates on Tuesday in Accra, the Minister noted that because the country is approaching a general election in December, there is a deliberate attempt to discredit the work government has done since assuming office in 2017 to revive the economy.

    He said “there are suggestions being spread particularly on social media that Ghana has been declared HIPC again and I am sure you would have noticed that a lot of persons are sharing materials on social media that the IMF or World Bank has declared Ghana HIPC or listed Ghana as one of the HIPC countries and it is a suggestion that the economy is not as good a shape that we claim it is.

    “For the avoidance of doubt and because we have also mentioned that we are aware that some persons in the weeks ahead of the elections will seek to spread a lot of false information and fake news, it is important to quickly respond to it right here and right now. Categorically, we say to you it is not true that Ghana has been declared HIPC or has been added to the list of HIPC countries,” he added.

    The HIPC was a group of 39 developing countries with high levels of poverty and debt overhang who qualified for financial assistance from the World Bank, the International Monetary Fund and other multilateral, bilateral and commercial creditors between 1996 and 2001. It was designed to ensure the reduction in the debt levels of poor and indebted countries.

    This the Minister emphasized that the HIPC was a programme limited to a particular point in time that Ghana and a number of African countries applied, benefited, exited and was done with it.

    “The publication out there list the countries that participated and qualified for it. Currently, there is no HIPC programme for any country to qualify for so if anybody is spreading that and adding to it a narrative that suggests that Ghana is now a highly indebted poor country and has been listed on an IMF or World Bank publication as such.

    However, the Minister encouraged the general public to disregard such publications. He also admonished the media to be circumspect and thoroughly conduct background checks before publishing news items.

    Source: Peace FM