Borrowing money is not aid – Akufo-Addo defends $60bn Chinese fund for Africa

Business News of Friday, 26 October 2018

Source: Myjoyonline.com

2018-10-26

President Akufo-Addo

President Akufo-Addo has been defending the move by the Chinese government to earmark $60 billion fund for infrastructure projects in Africa.

According to President Akufo-Addo, the facility provided by China is not aid rather a loan which beneficiary countries are expected to pay back.

He said, “Borrowing money is not aid, what President Xi Jinping offered is a $60 billion fund which Africa countries can assess, not as aid but loans.”

“If you can produce a project which the Chinese think it is worth supporting you can have access to such money and you have to pay it back. We’ll borrow money, everybody borrows money…”

President Akufo-Addo was speaking at the ongoing 2018 Tony Elumelu Foundation Entrepreneurship Forum in Lagos, Nigeria.

He made the remarks when responding to a criticism that he has betrayed Africa by accepting part of the facility at the recently held China Africa Forum despite his quest to develop Ghana and Africa beyond aid.

“The facility from the President of China is a fund that African countries can access and use to support their infrastructure development, that cannot be aid because it’s for a purpose and we have accepted it because of the business potential of our nations,” he said.

According to the President, many developed nations have borrowed so much and used it to develop their countries and that is why they have a stable growth.

“Many developed nations borrow, America and all other countries borrow and use it wisely. We’re not taking aid from China,” President Akufo-Addo said.

The President charged African leaders to make good use of their natural resources to better the lives of the people.

Founder of the Tony Elumelu Foundation, Tony Elumelu joined President Akufo-Addo and other dignitaries to launch the largest digital Entrepreneurship platform for African entrepreneurs and innovators.

This year’s event is being attended by about 5,000 entrepreneurs across Africa with about 1,000 receiving the $5,000 seed capital after the valuation as part of the ten-year program.

The program seeks to support brilliant business ideas in Africa.

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