Parliament has approved a €55,000,000 million Credit Facility between the Government of Ghana and the Deutsche Bank AG, London, for the rehabilitation of the Kumasi inner ring roads.

The credit facility would cover the rehabilitation of the Kumasi inner ring roads and Adjacent Streets Project the first phase covers 100kms of road.

Dr Mark Assibey-Yeboah, Chairman of the Finance Committee, presenting the Committee Report, stated that the objective of the project is to facilitate socio-economic development of the country through an improved, efficient and cost-effective road transport system.

He said the project will enhance road safety standards and integrate economic centres and improve the standard of living of the people in the project’s influenced areas.

He also said the project aims to improve traffic circulation by enhancing the capacity of the road network by removing the sections of the road network.

Dr Assibey-Yeboah also stated that the project would boost the socio-economic development of Kumasi and surrounding communities by improving the movement of people and goods.

Dr Assibey-Yeboah also explained that the Kumasi inner ring roads and Adjacent Streets Project have been divided into two phases for implementation.

He said the entire project would cover 243kms of road and that the first phase covers 100kms while the second phase would cover 143kms of road.

Mr Alex Adomako-Mensah, Member Parliament for Sekyere Afram Plains noted that the commitment fee is high but as soon as the project is signed, it would begin to draw down.

He said the value for money audit, which is a condition precedent, has also not been done and therefore urged the Government of Ghana to ensure that this is done before the project would start.

Mr Adomako-Mensah urged the authorities to ensure that the relocation of utilities is done on time in order not to affect the commencement of the project.

He expressed the hope that the completion of the project would improve the waiting and the travel time of roads users in Kumasi and called on the Government to find an extra loan to support rural communities which has poor road network.

Mr Benjamin Kpodo, MP for Ho Central, who was in favour of credit facility said the Ministry of Roads and Highs should undertake the Kumasi Inner Ring Roads and Adjacent Streets Project.

He called on the government to arrange for cheaper loans since the current facility was expensive, adding that when the Government is able to negotiate for lower rates then its burden on the budget would reduce.