Ghanaian Parliament okays BADEA loan

Accra- Ghana (PANA) -- Ghana's Parliament has approved a loan of five million US dollars between Ghana and the Arab Bank for Economic Development in Africa (BADEA) to support the agricultural sector.
The loan is aimed at helping increase substantially the production of staple food crops and poultry products to strengthen domestic food security, increase farm incomes and generate foreign exchange earnings.
It would also increase the output and diversify the base of non-traditional exports through expansion primary production as well as processing of agricultural products to secure increased value added.
The line of credit would be administered by the Agricultural Development Bank (ADB) nation-wide and the proceeds would be utilised to purchase machinery and equipment for irrigation and land preparation as well as procure fertilisers, other agro- chemicals, animal feed ingredients and veterinary drugs.
Finance Committee chairman Eugene Atta-Agyepong said negotiations were afoot with the ADB to ensure that farmers benefit fully from the facility.
He said the ADB would be encouraged to use rural banks in the disbursement of funds for the full implementation of the project.
The loan has a repayment period of nine years, with a three-year grace period and an interest rate of 3.
5 percent.

20 august 2003 22:29:00

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