Parliament approves loan for Awoshie-Pokuase road

Page 13, Feb 6, 2010
Story: Emmanuel Adu-Gyamerah

PARLIAMENT has approved a 30 million euro loan agreement between Ghana and Agence Francaise de Development (AFD) for to finance the Awoshie-Pokuase Road and Community Development Project.
The Awoshie-Pokuase area is a rapidly developing community, as a result of Accra’s urban spill, with an estimated physical growth of more than nine per cent per annum.
The situation has made it difficult for residents to meet service demands of residents regarding transportation, health, education, water and sanitation.
The road construction project therefore aims to promote sustainable economic growth and reduce poverty through employment and income generation opportunities.
The report of the Finance Committee of Parliament indicated that the primary and direct project beneficiaries span across Awoshie, Anyaa, Ablekuma, Amamorley and Ayawaso in the Ga West and South municipalities.
The report added that the total estimated cost of the project, excluding taxes and duties, is 98.67 million euros with AFD providing 30 million euros, African Development Bank (ADB), 62.54 million euros with the government providing a counterpart fund of 6.13 million euros.
It said a a technical team from the Ministry of Road and Highways explained to the committee that the government’s counterpart funds consisted essentially of compensation and resettlement costs and that provision had been made in the ministry’s budget for 2010.
The project would affect approximately 274 persons who own 303 permanent structures, among which are dwelling homes and businesses, and 659 persons who own 715 temporary structures.
While compensation would be provided to occupants and owners of permanent structures who would be displaced, occupants of temporary structures would be entitled to supplementary assistance to aide them in relocating their premises.
The committee, the report said advised the Ministry of Road and Highways to work together to secure the ADF resources in time to ensure that the project did not get stalled midway.
Actual construction of the project, which would last for four years, is expected to begin by the end of September, this year.
Contributing to the ensuing debate on the loan, the Member of Parliament for Weija, Ms Sherry Ayokor Botchway, expressed her joy over the approval ,saying that she hoped that the completion of the project would bring comfort to her constituents.
In another development, the House also gave its approval to a 10 million euro agreement between Ghana and the KFW of Germany to finance the Out-grower Value Chain Fund (OVCF).
The fund seeks to improve the income of the target group, especially small-scale farmers, in an effort to reduce rural poverty as part of the overall goal of Ghana’s Growth and Poverty Reduction Strategy (GPRS II).