Ghana lawmakers approve $750m loan from Afreximbank

GHANA lawmakers approved a plan by the government to borrow up to $750 million from the African Export-Import Bank for the 2022 budget.

The vote by the nation’s hung parliament removes a major hurdle for President Nana Akufo-Addo’s government to press on with budget projects and stabilise finances after losing access to the international capital market this year.

The facility is the first part of the $1 billion in loans that the government’s looking to wind up this month for the budget. Lawmakers are still studying the second part, syndicated loans worth $250 million from other international banks, Kwaku Kwarteng, chairman of the finance committee in parliament, said by phone.

The loan proceeds are expected to make room for West Africa’s second-biggest economy to reduce domestic borrowing and put it in a stronger position to support the local currency, which has lost 25.6% of its value to the dollar this