Ghana signs $2 billion Bauxite deal with Sinohydro Corp in China

Ghana’s President Nana Akufo-Addo has announced the signing of $2 billion Master Project Support Agreement (MPSM) between the Government of Ghana and Sinohydro Corporation Limited. The agreement was signed during a state visit to China by President Nana Akufo-Addo.

Under the deal Sinohydro will fund the infrastructure projects in Ghana, including roads, bridges, interchanges, hospitals, housing, rural electrification in exchange for refined bauxite.

In a Facebook post, President Akufo-Addo said "On Saturday, 1st September 2018, at the invitation of the President of the People's Republic of China, His Excellency Mr Xi Jinping, I paid a State Visit to China.”

“Amongst others, I held separate bilateral talks with President Xi Jinping, and Chinese Premier, Li Keqiang, with the talks centred on deepening the ties of co-operation and the bonds of friendship between the two countries. The $2 billion Sino-Hydro deal was also signed between the Government of Ghana and Power China."

The Minority in Parliament had expressed concern over the $2 billion deal between Ghana and Sinohydro. “It is our strong belief that this Sinohydro deal is a loan which is coming to add to the debt stock and we are concerned about the burden of additional borrowing cost on the over-burdened taxpayer,” said the Minority Leader in Parliament Haruna Iddrisu.