We have transformed STC -Akomea tells Prez
The Managing Director (MD) of the Intercity State Transport Company (STC), Nana Akomea, has said the once defunct state transport agency had been transformed, such that it is now able to purchase new buses on its balance sheet.
According to him, the company had to leverage on government’s support through the taxpayer’s money to revive the firm.
The MD was speaking yesterday at a ceremony to officially commission 100 new buses it had acquired to improve on their services.
“…We initially relied on government’s support – the taxpayer’s support in keeping the company afloat. Indeed, after a long period of decline, the taxpayer, through the government, came to our aid in October 2016, by getting for this company 50 brand new buses. Since then, the company has managed to leverage the operations of these 50 buses from the taxpayer, and improved our balance sheet, so that today, STC is able to provide for itself, on its own balance sheet, one hundred new buses.”
Nana Akomea said the development was a signal that the STC had turned the corner, and would no more be a burden on the taxpayer.
“We are going to be a company that is going to stand on its own. We will pay our way; we will make our profit, and we will actually give the taxpayer some money in return,” he added.
Nana Akomea acknowledged the support given by the Agricultural Development Bank (adb) which paid 75% of the cost, and STC provided the remaining 25%.
Nana Akomea said the commissioning of the buses was the beginning of great work of the transport company.
“We are going to spread throughout the country. All the defunct STC terminals all over the country are coming back,” he said.
The 100 buses are Daewoo Zyle from South Korea, purchased at an amount of US$13,000,000. The 75% loan from the adb has a three-year repayment arrangement.
In his remarks before cutting the ribbon to commission the 100 new buses, President Akufo-Addo commended the tremendous work done by the management of the STC.
He told other state agencies to emulate the STC to develop on what they do in the interest of nation building.
Whilst commending Nana Akomea, President Akufo-Addo said although he initially had plans for him to become an ambassador, Nana Akomea declined and suggested to be given the defunct STC.
According to the President, because of the track record of Nana Akomea, he did not hesitate to hand over the position to him
“When Nana Akomea told me he could do this I was very surprised, because, originally, I had told him to take an important ambassadorial appointment in Ghana. He’s a very senior member of our NPP family. A former Minister and I wanted him to take his experience and abilities abroad to help our country. He told me that he had a different proposal for me if I would accept it, and the proposal was that he would forgo going abroad and stay here and take over the running of STC.
“I looked at him, but then I knew him. I knew him well. Now this is a man who is full of unorthodox attitudes and proposals, and something told me that he would be able to do it, and I’m happy to say today that he’s doing a great job.”
“You know how important transport is to the economy of our country, and the work of STC in advancing the economic development of our country is extremely. I am grateful to the Agricultural Development Bank and his leadership for finding it possible to support the revival of STC. I know the main focus of adb is on agricultural development, but nevertheless, because of the importance of transport in the value chain of agricultural enterprises, he has been able to find this additional support, and we want to thank you very much,” he commended.
The Managing Director of the adb, Dr. John Kofi Mensah, said: “I am glad this is happening during the era of no other President, but His Excellency President Nana Addo Dankwa Akufo-Addo, indeed, our President, and the NPP deserves four more to do more,” he said
“The past three and half years have been highly remarkable for adb, and with the mandate given by His Excellency the President, the bank has refocused its direction to positively impact the agricultural sector.”
He revealed that the bank had taken its rightful position as the lead bank providing financial intermediation to the country’s agricultural sector.