China Eximbank provides $39 million concessional loan for ICT Enabled Distance Learning Project for the Institute of Local Government Studies

Project narrative

According to the Government of Ghana’s Development Cooperation Management Information System (Gh-DCMIS), China Eximbank and the Government of Ghana signed a $39 million concessional loan agreement for the ICT Enabled Distance Learning Project for the Institute of Local Government Studies on October 30, 2020. The borrowing terms of the loan are unknown. The purpose of the project is to establish ICT-based facilities to provide and support distance learning for the Institute of Local Government Studies to carry out effective and efficient distance learning education and training services for public sector workers and organizations. The Gh-DCMIS identifies the project’s originally expected commencement and completion dates as October 30, 2020 and October 31, 2024, respectively. There are some indications that the China Eximbank loan for the ICT Enabled Distance Learning Project may be financially underperforming vis-a-vis the original expectations of the lender. According to the World Bank’s International Development Statistics, the Government of Ghana had accumulated principal and interest arrears to one or more official sector Chinese creditors worth $908,337,346.70) in 2020 ($763,228,526.60 in principal arrears and $145,108,820.10 in interest arrears). Then, on December 19, 2022, the Government of Ghana announced a sovereign default. suspending debt service on its Eurobonds, its commercial loans, and most of its bilateral loans.