Ghana and China have signed a US$30 million grant agreement to support the construction of a new university in Damongo, which marks another milestone in the longstanding development partnership between the two countries.
The agreement was signed during a meeting between the Minister for Finance, Dr. Cassiel Ato Forson, and the outgoing Chinese Ambassador to Ghana, Tong Defa.
Dr. Forson, speaking on behalf of President John Dramani Mahama Ghanaians, expressed appreciation to Ambassador Tong for his contribution to strengthening bilateral relations between Accra and Beijing.
He noted that although the Ambassador’s tenure in Ghana was relatively brief, it coincided with the successful conclusion of two major grant agreements of significant national importance.
These include funding for the construction of a multipurpose market in Aflao and the US$30 million grant earmarked for the establishment of the university in Damongo.
According to the Finance Minister, the projects reflect China’s continued support for Ghana’s development priorities, particularly in infrastructure and human capital development.
Dr. Forson also highlighted the broader role of Chinese investment and cooperation in Ghana’s economy, reaffirming the country’s appreciation of its historic relationship with China, which he said dates back to the era of Ghana’s first President, Dr. Kwame Nkrumah, and Chairman Mao Zedong.
The Finance Minister stressed the need to deepen economic cooperation between the two countries by addressing inefficiencies in bilateral trade.
He indicated Ghana’s interest in exploring trade settlements in the Ghanaian cedi and the Chinese renminbi (RMB) to reduce exchange losses associated with the use of third-party currencies.
“Reliance on intermediary currencies is costly and inefficient when trade is conducted directly between Ghana and China,” Dr. Forson said, adding that discussions on alternative settlement arrangements would be pursued at the policy level, including engagements with the Bank of Ghana.
For his part, Ambassador Tong expressed gratitude to the Finance Minister and the Government of Ghana for the cooperation and support extended to him during his tour of duty.
He congratulated Dr. Forson on Ghana’s improving economic performance and said he was proud of the current state of Ghana–China relations.
The outgoing Ambassador said he was particularly encouraged by the tangible outcomes achieved within a short period, especially in the area of development cooperation, and expressed optimism that the strong ties between the two countries would continue to deepen beyond his tenure.
A Business Desk Report