Ghana - Current economic position and prospects (Vol. 9 of 10)

c C T n I 1T 6 n F :'RIA UWY9?Y AWI 8 Vol. 9 - This report was prepared for use within the Bank and its affiliated organizations. They do not accept responsibility for its accuracy or completeness. The report may not be published nor may it be quoted as representing their views. L I INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT INTERNATIONAL DEVELOPMENT ASSOCIATION THE C URRE-NT ECONOMIC POSITIO-N AND PROSPECTS OF GHANA (in ten volumes) VOLUME IX PROJECT LIST October 26, 1970 Western Africa Department  CURRENCY EQUIVALENTS 1 C - -*TT$n 98 1 dollar = Ng 1.02  THE MISSION This annex is based on the findings of a mission in April and May 1970 to Ghana composed of: Mr. Barend A. de Vries Chief of Mission Mr. Fateh Chaudhri General Economist Mr. Thomas Klein Balance of Payments & External Debt Miss Katharine Mortimer Population, Employment & Educaticn Mr. M. Taher Daiani* Fiscal Mr. Ved Gandhi Fiscal Mr. Nake Kamranv Social Sector Mr. Jivat Thadani Industry Mr Alfredon Sroto Tr2nsnort Mr . Hans S chul te Trans port Mr Charles Metcalfe Agr rill tire Mrr. Bruce Johns ton** Agriculture Mr. MerrilL BateRan** Cocoa Mr. Herman Nissenbaum Pro4nec TList Mr ohr. W.eston Electric Power 7fr. .Rngca Research I LL. Z I)Z D IVtL.Lt:6a DL.n L JC O~4JC* * Seconded by the In.ternational M.onetary Fund ** Consultants This volume has been prepared by Mr. Herman J. Nissenbaum  TABLE OF CONTENTS Page INTRODUCTION 1 AGRICULTURE 2 TRANSPORTATION 15 ELECTRIG 25 TETsWr.FMM1ThNTCATTONS 26 WATF.R ANT] q3WJRAr.V. 27 A-NMN I 3T1  PROJECT LI_T In the course of the economic mission, the Bank agreed with the Ghanaian Government on the desirability of initiating a project identitica- tion arLd preparation review in some of Ghana's principal development sec- tors. There is no comprehensive long-range investment program from which projects suitable for external financing could be identified. Its basis was instead the Government's development priorities, as well as the recently completed sector studies in agriculture, telecommunications, transportation and water supply. From these sources, and based on the mission's sector work, a list of projects has been prepared. For each of these proposals, the studies needed to verify their economic and technical feasibility, as well as other steps required to obtain the eventual investment decision were define d. The results; are contained in the project list and descriptions which follow, summarized in the attachedl schedule (Annex I). In all, the current list consists of 33 projects in the sectors of agriculture, trans-- portation, water and sewerage, electric power and telecommunications. Coni- bined technical as well as capital assistance requirements amount to an aggregate total cost of approximately US$147 million for potential commit- ments over the next ifew years. It should be noted that the list gives only provisional outlines or descriptions of projects. All dates and costs are appoximate and must be reviewed :Ln light of resources and facilities available. Project de- tails are also tentative with considerable scope for altering and expanding the projects to permit additional techn:Lcal or other assistance. The list is not exhaustive and further projects are certain to be prepared during the formulation of the medium-term development plan. In particular, no attempt has been made to list all potential technical assistance reauirements. The absence of any references to education and training require-- ments is due solely to the fact that the Government did not have adequate time to review the report of a recent UNESCO appraisal of that area before this document for the Consultative Group meeting was completed. If possi-- ble, an annex to the list covering that sector will be issued prior to that meeting. The list refers to unfinanced new projects only. Excluded are on-goiTg proneritq as well as certain new proiects for which financing has already been negotiated. The list, therefore, is not a comprehensive tabiu- 1 at-inn of alL Prt-prnaL aSSiRt-nnrP in these sec-torq The basic nur,nnao of this nmaterinl is to brino, snprifir details on Ghana's project-type aid requirements to the attention of interested donor countries ard organizations --- their considerationoffinancial assistance. In this connection, the Bank emphasizes Ghana's needs for -as4iance i4n prepar:'ng engineering -n --ano...ic stu as well as othr prelim:Lnaries to investments, besides certain institution-building activi-- ties .  - 2 - AGRICULTURE In the field of agriculture (excluding cocoa), there has been a shift in policy concerning the Government's own activities. From its previous emphasis on directly carrying out varied operational programs, the Ministry of Agriculture's current approach is to help plan a series of commodity production activities and to insure that they are implemented effectively. In addition, from its own funds for 1970-71, the Government is seeking to encourage increased production by expanding agricultural credit, upgrading its extension service, and furnishing more improved inputs, particularly seeds and fertilizer. This series is directed prin- cipally to such food crops as rice, maize, sugar and livestock. A related effort involves a program to improve the marketing systems for domestic agricultural products. For purposes of possible external financing by Consultative Group members, the projects selected are to meet the following criteria: 1) They would seek to assure more adequate supplies of those crops which are important in the increased food demand of the country and presently high-priced. 2) They encourage import substitution of food and raw materials for industry that can be produced economically in Ghana. 3) They encourage small-holder Drospects so as to increase em- ployment opportunities. 4) They seek to supplement foreign exchange earnings from cocoa with other aericultural products which can be exnloited. 5) Thv nput r-plativplv greater emPnhsis on seeking nroduction increases through small-scale, labor-intensive approaches at t-his time than, but not to the neglect of, more c2pital- intensive opportunities. Proj_ects A. Name of Project: Sugar Rehabilitation (Asutsuare and Komenda) Executing Agency: Sugar- nevlo_ et1oad;GI.O LotaUL Estirnated Cost: US$5.0r ILLLi