Ghana Parliament on Wednesday approved a Mixed Credit Agreement of $19.1 million to fund critical reforms to alleviate poverty in farming communities to boost agricultural productivity to ensure food security for the country.
The mixed credit agreement comprises a financing agreement between the government of Ghana and the Arab bank for Economic Development in Africa (BADEA) for an amount of $8.6 million and an OPEC Fund for International Development (OFID) for an amount of 10.5 million dollars to finance the Integrated Rural Development Project (IRDP).
The project is to promote integrated rural development by increasing house incomes through enhanced farming, marketing and distribution chain.
The 8.6 million BADEA loan has an interest rate of one per cent, a grace period of 10 years and a repayment period of 20 years, while the OFID 10.5 million loan attracts an interest rate of 1.5%, a service charge of 1%, a grace period of five years and a maturity period of 20 years.
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