Connect with us

Hi, what are you looking for?

Business

Government To Issue $2bn Bond To Pay Energy Debts – Oppong Nkrumah

The Akufo-Addo government is set to issue a $2.24billion bond in the coming days to pay the huge debt burdening the country’s energy sector, Kojo Oppong Nkrumah, a deputy Information Minister has disclosed.

The issuance of the bond, he said Thursday on Morning Starr, is part of efforts by government to raise money over a long profile to pay the energy sector debt off out-rightly.

Nonetheless, he failed to disclose whether the bond will be issued domestically or otherwise.

“We have just successfully done a $2.25billion bond and we are looking at how to raise an extra of about $2.24billion to pay off that debt in a single bullet and to have that single bullet amortized with the energy sector levies that are still existing,” he told Morning Starr host Francis Abban.

President Akufo-Addo revealed in his maiden State of the Nation Address that the country’s energy sector is saddled with huge debts threatening reliable power supply if immediate measures are not taken.

He said attempts by the former administration to solve the debilitating power crisis that hit the country led to a debt of over $2billion.

“The attempts by the previous government to resolve the dumsor crisis have led to a gargantuan debt overhang in the sector…we have inherited a heavily indebted energy sector, with the net debt reaching 2.4 billion US dollars as at December 2016,” he stated.

Government through the finance Minister, Ken Ofori Atta, this month, issued a $2.25 bond for 15 years. The bond which was largely bought by Franklin Templeton, a US-based Firm was met with huge controversies and allegations of cronyism.

According to the Minority in Ghana’s parliament, Mr. Ofori Atta cooked the bond for his cronies— a charge he sternly dismissed.

Join GhanaStar.com to receive daily email alerts of breaking news in Ghana. GhanaStar.com is your source for all Ghana News. Get the latest Ghana news, breaking news, sports, politics, entertainment and more about Ghana, Africa and beyond.



You May Also Like

Top Stories

The Paramount Chief of the Effutu Traditional Area, Neenyi Ghartey VII, has assured the public that the impending 2017 Aboakyir Festival would be peaceful....

International

BBC.com hit record high in 2016. Site and apps viewed 15 billion times, with almost 100m unique browsers each month. Three senior appointments, expansion...

lifestyle

The Accra Report started Recipe Tuesdays to showcase the culinary delights of the African continent. There has been a significant time lapse between our...

lifestyle

One of our goals at The Accra Report is to expose to the world the eclectic beauty of Ghana and the African continent. In...

Copyright © 2020 GhanaStar.com