President Akufo-Addo told the German Minister for Finance, Christian Lindner, that though his government encountered some challenges, she has virtually concluded negotiations on the Domestic Debt Exchange Programme (DDEP).
President Akufo-Addo further informed the German Finance Minister that government has already reached a staff level agreement with the International Monetary Fund (IMF), regarding Ghana’s debt restructuring exercise and that what is needed now is the approval of the board.
“Our target is that by the middle of March, we should be before the Board for the full agreement. We have already taken one important step forward in concluding a staff-level agreement with the IMF and we are now looking to go the full hog in concluding the agreement. We are hoping that it will be done by the middle of March”, he said.
The President said this when he held a meeting with the German Finance Minister at the Jubilee House last week Friday.
ENCOURAGE CHINA
President Akufo-Addo urged Germany to encourage China to support Ghana’s debt restructuring efforts since China is an ad hoc member of the Paris Club. The Paris Club is a group of creditor countries, currently made up of 22 permanent members.
The president said it was critical that the Paris Club swiftly establishes a creditors’ committee to support the efforts that would enable Ghana to restore economic growth.
He stressed that there was a vital need for other creditors to support the efforts that his government was undertaking to restructure both the external and domestic debts of the country, to enable the IMF deal to go through quickly.
“We now have our relations with the Paris Club and the common framework and we are looking for as quickly as possible a creditor committee to be established, so we will have the body with whom we can engage to bring those discussions as quickly as possible.
“We have good relations with China. We will like you to encourage China to participate in these programmes as quickly as possible…
“A very important consideration for us is the Financial Stability fund that has been promised us as one of the key outcomes of these negotiations, and definitely once again, your voice in trying to bring that into being, is something that we would appreciate very much,” President Akufo-Addo remarked.
President Akufo-Addo thanked the German Minister for expressing a desire to support Ghana through the economic crisis.
Over 4000 Burkinabe citizens in Ghana as refuges
The Presidency also told the German Minister at the same meeting that over four thousand citizens of neighbouring Burkina Faso are seeking refuge in Ghana.
The number is only what has been officially counted by the Ghana Refugee Board in the last six weeks.
They moved to Ghana as a result of the jihadist activities in the country. Instability has been the order of the day in Burkina Faso following attacks by suspected terrorists and militants, which has given the Economic Community of West African States (ECOWAS) sleepless nights.
President Akufo-Addo was particularly distressed about the spill over of terrorists from the Sahel region and the instability posed by cross-border terrorism in West Africa.
“We are directly in the line of fire. Burkina Faso is our northern neighbour and to have the jihadists menace there, which is very real, I think in the last six weeks some 4000 young people from Burkina Faso have come to take refuge here in Ghana, and these are the ones that the Refugee Board can officially count.
“And usually, in these matters, you have to add another third of the numbers coming in, unaccounted for, so we are talking about substantial numbers of people who are already coming southward as a result of the difficulties in Burkina Faso to Ghana.
“So we have a direct and important strategic interest in doing whatever we can to bring this insurgency to an end and help stabilise the government in Burkina Faso, and in that exercise you have been very useful and helpful to us,” he said.
President Akufo-Addo, in the discussions with the German delegation, praised their government for supporting peace efforts in the West African region.
SUPPORT WEST AFRICA
On his part, Mr. Christian Lindner, the German Federal Minister for Finance, who led the delegation, said the German government would do whatever it could to help West Africa deal with its issues.
He indicated that they were aware of the insurgences but pledged their country’s unflinching support, while taking advantage of bilateral trade opportunities for both countries.
“We know that the stability and security in this region of Africa are essential for our security in Europe and we see economic challenges in Ghana but opportunities for bilateral trade, and this is why we are here,” he said.
BILATERAL TRADE
Mr. Lindner had led a delegation to visit Africa to explore possible bilateral trade. He said they had met some business people in the country and was hopeful that something fruitful could follow. He said Germany was ready to assist Ghana in this difficult situation.
