EU gives additional 29 million grant to Ghana as reward for good performance
The Minister of Finance and Economic Planning, Hon. Kwadwo Baah-Wiredu, MP, in his capacity as the National Authorising Officer for the European Development Fund (EDF) and H.E. Filiberto Ceriani Sebregondi, Ambassador and Head of the European Commission Delegation in Ghana today, May 8, 2007 signed a second Addendum to the 9th European Development Fund (EDF) Country Strategy Paper/National Indicative Programme (CSP/NIP) for 2002-2007, bringing additional 29 million to Ghana and two (2) Financing Agreements (FAs) in respect of the following projects/programmes:
Private Sector and Trade Enabling Programme (PSTEP) worth 5 million and
Guinea Worm Eradication Project with 15 million
"The continued good use and consistent increase of the resource allocated by the EU to Ghana showcases how far Ghana has moved in putting in place the institutional structures to effectively absorb funds, to ensure good governance, proper accountability and transparency in public expenditure and administration. By this decision, the European Commission certificates Ghana as a good performer, surpassing many ACP countries in the effective utilization of EDF Funds" stresses Ambassador Filiberto Ceriani SEBREGONDI, Head of Delegation of the European Commission in Ghana.
The 9th EDF CSP/NIP for 2002-2007 which was signed in 2002 (worth 231 million, approximately ’2.9 trillion) provides the framework of implementation of various projects and programmes being funded by the European Commission (EC). The GOG-EU 9TH EDF CSP/NIP has the overall objective of achieving an accelerated poverty reduction, equitable economic growth and integration of the Ghanaian economy into the global economy.
A first addendum was signed in 2005 after the mid-term review (MTR), which sought to re-allocate the available funds under the 9th EDF programme for Ghana. This review resulted in a total country envelope of 281 million.
The second addendum signed on May 8 2007 will now make available additional fresh resources for an amount of 29 million (approximately ’365 billion). With this addendum the total indicative allocation to Ghana under the 9th EDF programme will raise to 315.4 million. The new resources
will be used to support the Eastern Corridor Road project (22.8 million, approximately ’287 million), the second Technical Cooperation Facility (2.0 million, approximately ’26 billion) and to top up the third Poverty Reduction Budget Support (2.0 million, approximately ’26 billion). The remaining 2 million (approximately ’26 billion) has been re-programmed for other on-going projects and programmes.
The Private Sector and Trade Enabling Programme (PSTEP) intends to provide Sector Budget Support (SBS) of 5.0 million (approximately ’62.9 billion) to be disbursed over the period 2007-2009 to support the implementation of the Private Sector Development Strategy (PSDS) signed in October, 2002.
The Guinea Worm Eradication Project is being jointly financed by the EU and the United Nations Childrens Fund (UNICEF). The total estimated cost of the project is 20 million (’251.5 billion) with an EU grant contribution of 15 million (approximately ’188.6 billion)
The project is intended to eradicate Guinea worm through the provision of water supply and sanitation facilities as well as hygiene promotion in 9 districts in the Northern Region. The 9 beneficiary districts are Central Gonja, East Gonja, Gushiegu, Karaga, Nanumba North, Savelugu/Nanton, Tolon/Kumbungu, Yendi and Zabzugu/Tatale.
The European Union in Ghana underlines "that both the increase in overall development assistance to Ghana and the launch of a new sector budget support programme for private sector development are the right way to help Ghanas preparation for the start of the new EU-ECOWAS Economic Partnership Agreement (EPA)".
