Ghana announces €35m Green Loan backed by UK Export Finance
Ghana has announced the signing of its first ever Green Loan of €35m to support the government to deliver water projects to rural and peri-urban communities across the country.
The project which is to be delivered by UK based, Aqua Africa Limited will deliver clean drinking water to rural communities and small towns, and will alleviate up to 225,000 people from daily water poverty, delivering on the government’s policy of ‘Water for All’.
Following the signing of a supply contract between the Ministry of Sanitation and Water Resources and Aqua Africa, the Ministry of Finance has signed agreements with UK Export Finance and HSBC Bank plc to finance the project.
Ghana’s commitment towards combating climate change and its impact has led the government to take a key policy decision to integrate climate action into Ghana’s national development agenda.
The framework of this initiative has been drawn from the Paris Agreement and SDG 13, which demands urgent action to combat climate change and its impact.
The financing of the project will enable Ghana’s Ministry of Sanitation and Water Resources, in partnership with Aqua Africa Limited and the Community Water and Sanitation Agency, to install and maintain point source and piped water systems to rural and peri-urban communities and secure revenue income from water sales using smart metering or cashless payment systems.
Mrs Cecilia Dapaah, the Minister of Sanitation and Water Resource said: “The fulfilment of our basic human needs in our environment is essentially dependent on adequate clean water. The Government of Ghana is poised to provide Water for All.
Ghana’s ‘Green Agenda’ in the context of the Sustainable Development Goals is on course with the Aqua Africa Water Project. Increasing water coverage requires a consistent investment on year to year basis since population growth and demand for water keeps increasing. That is why we welcome wholeheartedly the investment in the Aqua Africa Project.”
Ghana Investment Promotion Centre’s CEO Yofi Grant said: “It has been a great pleasure working with Aqua Africa to see this project happen. It shows the strong relationships that exist between Ghana and the UK and the collaborative effort in delivering on Ghana’s Sustainable Development Goals (SDG) agenda.
“Water is an essential need and the use of innovative technologies to sustainably deliver safe water to those who need it most, is imperative to ensuring a quality standard of living.”
Her Majesty’s Trade Commissioner for Africa, Emma Wade-Smith expressed delight with the support of the Government of Ghana and UK Export Finance.
“This deal aligns strongly with the priorities of the Ghanaian Government around sustainability; and will have a very real and positive impact on the quality of lives of thousands of Ghanaians. I look forward to visiting once the new water systems are in place.”
Minister for Exports, Graham Stuart MP, said: “This contract shows how UK renewable energy expertise is making a lasting and real difference to communities across the globe. We are proud to lead the world in our efforts to transition to Net Zero emissions and UKEF is backing British exporters to support other countries to meet their Paris climate goals. UKEF’s support for Aqua Africa demonstrates this government’s commitment to exporters with green credentials by ensuring they have the support needed to win international business during the Coronavirus pandemic and beyond.”
Aqua Africa’s Managing Director Philip Foster said: “We commend the tri-partnership approach between the Government of Ghana, UKEF and the private sector in securing agreement for this vital social impact investment project that will provide access to clean water to over 225,000 Ghanaians, in support of the Water for all policy aligned with the SDG agenda.”
Source: GNA