COCOBOD signs $1.3bn syndication loan deal
The Ghana COCOBOD has signed its annual cocoa loan syndication deal in Paris, France with some 20 banks including Societe General, Nedbank, MUFG, and NET-IXIS.
COCOBOD signed the syndication deal today [Friday] September 13, 2019.
The signing comes following approval by parliament for COCOBOD to borrow up to $1.3 billion to aid cocoa purchases and pay farmers for the 2019/2020 crop season.
Chief Executive Officer of COCOBOD, Joseph Boahen Aidoo signed the deal with 20 banks in Paris.
The will effectively ensure that adequate funds are made available to the Licensed Buying Companies (LBCs) to pay cocoa farmers for produce bought during the crop season in question.
The first tranche of the 1.3 billion loan deal is likely to hit the Bank of Ghana’s accounts in the first week in October and would be repaid over seven months.
COCOBOD plans to use the funds to finance the purchases 800, 000 cocoa beans.
By: Rashid Obodai Provencal