Ghana has secured $250 million for National Development Bank in 2020-Minister

Government says it has plans to establsih a national developemnt bank in 2020.

Finance Minister Ken Ofori-Atta gave the hint when he presented the 2020 budget statemnt on Wednesday.

He said $250 million has been secured from the World Bank for the start of operations of NDB in 2020.

“The National Development Bank as envisioned will refinance credit to industry and agriculture as a wholesale bank; and also provide guarantee instruments to encourage universal banks to lend to these specific sectors of the economy,” he said.

The Minister told legislators that said the new bank, which comes after the establishment of Consolidated Bank, Ghana (CBG) in 2017, will be independent with a strong corporate governance framework.

NDB will be globally rated ‘to enable it leverage foreign capital for industrial and agriculture development in the country”.

“It is expected that the National Development Bank will provide cheaper and long term funding for the growth and expansion of key companies operating in the agriculture and industry sectors.”

The Bank is also expected to lend to key industries at the local levels through specialised banks “to support the government’s 1D1F initiative”.

By: Rashid Obodai Provencal

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