The Ghanaian government has signed a USD 45 Mn grant with the European Union(EU) in an attempt to promote investments and job creation.
Ghana’s Information Minister Kojo Oppong Nkrumah, made this known on Sunday, March 17, 2019 at a press briefing. The Minister divulged that the funds will be managed by the government further noting that the programme is in line with with Ghana President Akufo-Addo’s vision of Ghana Beyond Aid.
This financing agreement is the last programme to be signed from Ghana’s indicative allocation of USD 366 mn under the 11th European Development Fund and National Indicative Programme. These programmes span between 2014 and 2020.
Ghana’s Finance Minister, Ken Ofori-Atta and the EU Ambassador to Ghana, Diana Acconcia, signed the deal which is anticipated to promote the achievement of the Sustainable Development Goals (SDGs) in Ghana.
While addressing the press, Nkrumah mentioned that the program will strengthen public financial governance as well as boost domestic revenue mobilization and fight against corruption.
The information minister further expounded that, “The Programme focuses on the areas of business climate, public financial governance and employment and its main objectives are to promote domestic and foreign investments to enable businesses to spearhead economic transformation and create employment.”
Like most other African countries, Ghana is still struggling with staggeringly high rates of unemployment. In 2018, unemployment rate for Ghana was 2.4 %. Before unemployment rate of Ghana started to increase to reach a level of 2.4 % in 2018, it went through a trough reaching a low of 2.2 % in 2015.Unemployment in Ghana has to a large extent affected not only the economic sector but political and social aspects as well.
Reportedly, almost half of the 10 million graduates churned out of the over 668 universities in Africa yearly do not get jobs. The worsening unemployment trends among the African youth posses danger signs for political instability and insecurity.
There has been a fundamental challenge in establishing the link between unemployment trends and the role of youth in political instability across the continent. The vulnerable youth have now become easy recruits for crime, rebel militias, political gangs and extremist networks. Their desperate quest to survive has led many of them to fall prey to these patronizing networks that usually operate to support political elites and economic heavyweights.
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