Bloomberg News

Ghana to Receive Second Part of Loan for Cocoa Purchases

November 25, 2011

Nov. 25 (Bloomberg) -- Ghana’s central bank will receive $1 billion, the second part of a loan used to finance purchases of cocoa from farmers, fueling plans by the lender to offer more dollars to stem a decline in the cedi.

The money is expected by the Accra-based Bank of Ghana either today or next week, said Adams Nyinaku, head of treasury. The local currency weakened to the lowest on record today, depreciating 0.6 percent to 1.643 per dollar.

Ghana Cocoa Board, which buys the beans from farmers, signed the syndicated loan for a total of $2 billion with more than 20 international and local banks in September. The board swaps the dollars for local currency at the central bank.

“Economic growth has seen the number of companies that buy dollars increased,” Nyinaku said by phone today. “We want to match it by raising the liquidity we provide on the foreign exchange market.”

--Editors: Emily Bowers, Ben Holland

To contact reporter on this story: Moses Mozart Dzawu in Accra at mdzawu@bloomberg.net.

To contact the editor responsible for this story: Antony Sguazzin at asguazzin@bloomberg.net.


Burger King's Young Buns
LIMITED-TIME OFFER SUBSCRIBE NOW

(enter your email)
(enter up to 5 email addresses, separated by commas)

Max 250 characters

 
blog comments powered by Disqus