Ghana to receive grant from Germany to support four broad areas of its economy.

To support four broad areas of Ghana’s economy, Germany has announced a grant of €86.5 million. The approval for the  grant came after a bilateral negotiations in Accra last week.

The grant will support reforms and investment partnership under the G20 Compact with Africa initiative; areas under consideration include renewable energy; agriculture; governance. It will also include sustainable economic development.

Totaling €86.5million, the grant will consist of technical cooperation programmes amounting to €35.5million and €51million for financial cooperation projects.

At the signing ceremony representing Ghana was Ghana’s Deputy Minister of Finance, Abena Osei-Asare, while Dr. Stefan Oswald – Director General for the Marshall Plan with Africa, Displacement and Migration at the German Federal Ministry for Economic Cooperation and Development represented Germany.

Over the coming weeks, both countries will also hold in-depth talks to increase synergy in the renewable energy sector.

Areas to receive support

The specific areas to receive support from the projects and programmes are market-oriented agriculture; sustainable economic development; responsiveness factor grant of District Assemblies Common Fund; others also include support for Ghana’s access to Africa Trade Insurance; and support for the establishment of two state-of-the-art vocational training centres.

Others not in the focal areas of cooperation are a study and expert fund. There is also recycling of waste and disposal equipment in environmentally sound ways.

Also as part of the agreement, the Ghanaian and German government are to meet every two years for the Ghana-Germany Negotiations. This event is to review achievements under the cooperation, recount opportunities, and discuss challenges in implementation of ongoing interventions funded by Germany.

Since initiating diplomatic relations with Germany, Ghana has enjoyed support and cooperation from the people and government of the European country in areas of social, economic and political development. Since 1960, technical and economic cooperation agreement between the two countries has yielded over €1.60billion in projects and programmes aid to Ghana.

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