Ghana has secured a major financial boost for its development aspirations by inking a US$2 billion framework arrangement with South Korea’s Economic Development Cooperation Fund (EDCF).
The deal, signed at the 2024 Korea-Africa Summit, will bolster the implementation of Ghana’s key priority programs spanning infrastructure, agriculture, health, education, energy, roads, and transport, as well as ICT, over the next five years.
The signing ceremony witnessed Finance Minister, Dr. Mohammed Amin Adam representing Ghana, marking a significant milestone in the two nations’ long-standing economic development partnership.
“The signing of the 2024-2028 Framework Arrangement represents a renewed commitment to our shared vision of sustainable development and prosperity,” Dr. Amin Adam stated, underscoring the strategic importance of the deal.
Expressing profound gratitude to the Korean government, the minister said, “On behalf of His Excellency President Nana Addo Dankwa Akufo Addo and the good people of Ghana, I want to express our sincere gratitude to the Korean government and the EDCF for their continued partnership and commitment to our development journey.”
It is historic. No country has committed more than this amount on such concessional terms.
The US$2 billion financing facility is poised to catalyze transformative projects across multiple sectors, propelling Ghana’s development ambitions to new heights. Dr. Amin Adam highlighted the deal’s potential impact, stating, “With the provision of $2 billion from EDCF, we will embark on transformative projects that are set to redefine our nation’s infrastructure landscape. High-speed railways, highways, and sustainable energy systems are on our agenda.”
Furthermore, the framework arrangement will bolster Ghana’s efforts to enhance healthcare facilities, disease prevention, and health and education initiatives. “A healthy population is the bedrock of progress,” the minister emphasized, underscoring the government’s commitment to improving the well-being of its citizens.
Education remains a top priority, with plans to expand access to quality learning opportunities, vocational training, and digital literacy programs. “Our commitment to quality education remains unwavering,” Dr. Amin Adam affirmed, recognizing the pivotal role of an educated workforce in driving societal advancement.
Transparency and accountability are at the forefront of the government’s approach, with the minister assuring efficient project management and effective monitoring to maximize the investment’s impact. “We remain committed to ensuring efficient utilization of the EDCF resources through effective project management to maximize the impact of this investment,” he stated.
Dr. Amin Adam also seized the opportunity to highlight Ghana’s recent economic rebound, driven by prudent policies and robust growth. “Ghana has made notable strides in its macroeconomic landscape, underpinned by resilient and robust growth and substantial progress in key performance indicators,” he said, citing GDP growth exceeding expectations, declining inflation, and improvements in gross international reserves.
The successful implementation of Ghana’s IMF-supported Post Covid-19 Programme for Economic Growth (PC-PEG) has been central to these achievements, with the second review in April 2024 leading to a staff-level agreement that is shortly expected to trigger an additional US$360 million disbursement, bringing total disbursements to US$1.56 billion.
Ghana’s delegation to Korea for the Africa-Korea Summit was led by President Nana Addo Dankwa Akufo-Addo and included the Finance Minister , Ministrr for Trade and Industry, Mr Kobina Tahiru Hammond, Minister for Foreign Affairs and Regional Integration Shirley Ayorkor Botchwey and Minister for Health,Dr Bernard Okoe-Boye and Minister for Communication and Digitalisation, Ursula Owusu-Ekuful.
