Finance Minister Dr. Mohammed Amin Adam has announced a landmark $250 million credit and an additional $10 million grant from the World Bank, dedicated to Ghana's Energy Sector Recovery Program for Results project.

This agreement, signed in Washington, DC, is a notable milestone, marking the first such arrangement in over twenty years.

Part of Ghana’s broader Energy Sector Recovery Programme, the project targets improvements in the financial stability of the electricity distribution sector, expanded access to clean cooking solutions, and enhanced health and environmental outcomes.

Dr. Adam emphasized the urgent need to address significant distribution losses and low collection rates, which account for a 2% annual GDP deficit.

In his remarks, Dr. Adam noted, “It is in this connection that we continue to work with our partners, the World Bank, to frame important interventions in the energy sector. By enhancing revenue collection and operational efficiency, this project aims to stabilize the energy sector, which is crucial for promoting economic growth and attracting investments”.

Highlighting infrastructure priorities, Dr. Adam explained that efforts such as prepaid metering and advanced commercial management systems for distribution utilities are key to creating a resilient energy supply chain that supports Ghana’s industrial growth.

“Towards this, we have prioritised investments in infrastructure improvements, such as prepaid metering systems and enhanced commercial management for distribution utilities. These investments are designed to streamline operations and reduce costs, thereby contributing to a more robust energy supply chain that can better support industrial and economic growth,” he added.

With energy sector shortfalls amounting to about GHS18 billion ($1.2 billion) this year alone, he underscored the necessity for effective implementation and adherence to financial regulations to ensure the project benefits Ghanaian citizens.

Confident in the program’s potential, Dr. Adam expressed that achieving a financially sustainable energy distribution sector will drive Ghana's medium-term growth goals, creating jobs, enhancing productivity, and stimulating further investments.

He concluded by thanking the World Bank and other development partners for their strategic collaboration towards Ghana's sustainable development and brighter future.