The World Bank has approved a US$250 million credit from the International Development Association (IDA) and an additional US$10 million grant from the Energy Sector Management Assistance Programme to support Ghana’s 4-year Energy Sector Recovery Programme for Result (PforR).
This was contained in a statement issued by the Finance Ministry on Tuesday, June 18, 2024.
According to the Ministry, the PforR aims to improve the financial viability of electricity distribution and increase access to clean cooking solutions.
“Through this important results-based financing, the World Bank is committed to supporting the recovery of Ghana’s energy sector and its financial sustainability.
“The operation aims to strengthen revenue collection and improve the quality of energy supply through investments in prepaid metering and in the commercial and meter management systems of distribution utilities,” Robert Taliercio, World Bank Country Director for Ghana, Liberia, and Sierra Leone, is quoted as saying.
Moreover, the Minister for Finance, Dr Mohammed Amin Adam expressed gratitude to the global lender for “their support in the attainment of the Sustainable Development Goals (SDGs), particularly Goal 7 (Affordable and Clean Energy).”
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He added, “Our quest to achieve financial viability in electricity distribution and increasing access to clean cooking solutions is essential for building sustainable energy systems that support economic development, improve public health, and protect the environment while promoting energy access and equity for all”.
Dr Amin Adam continued that “our access to sustainable energy is not just about powering homes and businesses, it’s about empowering communities, protecting the environment, and fostering inclusive and sustainable development”.
According to the Ministry, the Energy Sector Management Assistance Programme provides “knowledge, technical assistance, and advisory services to help countries enhance their institutional capacity and implement sustainable energy solutions.”
What is IDA?
The International Development Association (IDA) is a development finance institution that offers “concessional loans and grants” to the world’s low-income developing countries. The IDA is a member of the World Bank Group.
IDA’s grants and low-interest loans help countries invest in their futures, improve lives, and create safer, more prosperous communities around the world.
