Completed Development AidData Chinese Aid

China Eximbank provides $30 million loan for Phase 1 of E-Government Platform Project (Linked to Record ID#58511)

$30M USD

Funder	Export-Import Bank of China (China Eximbank)
Recipient Organization	Government of Ghana
Country	Ghana
Start Date	Jun 18, 2006
End Date	Apr 13, 2029
Duration	8,335 days
Number of Grantees	1
Roles	Recipient
Data Source	AidData Chinese Aid
Grant ID	`35635`

Grant Description

China Eximbank provides $30 million loan for Phase 1 of E-Government Platform Project On June 18, 2006, China Eximbank and the Government of Ghana signed a $30 million loan agreement for Phase 1 of the E-Government Platform Project.

📋 Loan / Grant Terms

💰 Loan Amountcarried the following terms: 2% interest rate

📅 Maturity20 years

⏳ Grace Period5 years

💹 Interest Rate2%

The final maturity date is September 21, 2026.

The loan’s (principal) amount outstanding was GHS 85,800,000 ($15,178,571) as of December 31, 2020 and GHS 81,000,000 ($15,576,923) as of December 31, 2021.

The project involved the deployment of a Wide Area Network (WAN) to cover 10 regional capitals [Sekondi (Western), Ho (Volta), Accra (Greater Accra), Koforidua (Eastern), Kumasi (Ashanti), Cape Coast (Central), Sunyani (Bono), Tamale (Northern), Bolgatanga (Upper East) and Wa (Upper West)] and 5 towns (Tarkwa, Obuasi, Tema, Nkawkaw and Winneba).

It also involved the development of a National Data Center near the Kofi Annan ICT Centre in Accra to promote the integrated use of ICT and improve efficiency and transparency in governance and facilitate storage, management and dissemination of data for both public and private establishments.

A secondary data centre was also created in Kumasi to serve as a back-up for the primary National Data Center (with disaster recovery capabilities). Huawei Technologies (GH) S.A. Ltd. — a local subsidiary of Huawei Technologies Ltd. — was the contractor responsible for implementation. Phase 1 started on August 13, 2007 and was completed in March 2013.

Huawei’s activities in Ghana were plagued by controversy during the implementation of this project. In 2012, the Alliance for Accountable Governance (AFAG) called for Huawei Technologies (GH) S.A. Ltd. to be kicked out of Ghana because of its alleged illegal involvement the country’s politics.

AFAG provided documentary evidence that Huawei provided sponsorship to the ruling National Democratic Congress (NDC) in the form of party paraphernalia, which contravenes the Political Party’s Act, Act 574 of Ghana. AFAG provided invoices to journalists, demonstrating that Huawei Technologies (GH) S.A.

Ltd. printed NDC paraphernalia such as t-shirts, key holders, and handkerchiefs with two other Chinese companies to the tune of about $150,000 between March and July 2012.

📋 Staff Comments

This project is also known as Phase 1 of the Ghana National Communication Infrastructure Backbone Project. The Chinese project title is 加纳国家通信骨干网一期工程 or 加纳国家通信骨干网工程 2. The (principal) amounts outstanding are drawn from the Ghanaian Ministry of Finance’s Annual Public Debt Reports. These amounts are reported in GHS by the Ministry of Finance. AidData has estimated the USD amounts by applying the average GHS-to-USD exchange rate in 2020 (5.6-to-1) and the average GHS-to-USD exchange rate in 2021 (5.2-to-1).
2006010 is the ID assigned to the loan in the Ghanaian Auditor General Reports

📚 Sources & References

Ghana leader lauds China relations
China to Push Ghanaian Energy Sector and Infrastructural Development, http://business.myjoyonline.com/pages/news/201209/93345.php
The Budget Statement and Economic Policy of the Government of Ghana for 2010
The Budge Statement and Economic Policy of the Government of Ghana for 2009
China Gives Development Package To Ghana
Huawei Nudges Ghana to E-Government
Ghana 2011
Chinese Ambassador Sun Baohong attended the hand-over ceremony of Enhanced Community Information Centre (e-CIC) in the Eastern Region
E-GOVERNMENT PLATFORM PROJECT, eGhana Project
Huawei and the Government of Ghana
Training Modules and Materials on Basic Law and Anti-Corruption in Ghana
Key Highlights - Ghana Country Study June 2017
First phase of the new National Data Centre almost complete
Ghanaian Government Data Center almost complete
Parliament to Approve 27.5m China loan to accelerate e-governance
华为承包加纳国家通信骨干网一期工程项目开工剪彩
The Annual Public Debt Report for the 2018 Financial Year
Chinese Loans to Africa Database
中国对外开放30周年回顾展
The Annual Debt Report for the 2021 Financial Year
The Annual Public Debt Report for the 2020 Financial Year
The Annual Public Debt Report for the 2022 Financial Year Loan applications and disbursements are still being received and processed as the projects continue to evolve. Ongoing monitoring and evaluation are in place to ensure project continuity.