Concessionaires has failed to raise $330 million needed for Boankra Inland Port project – Asantehene

Asantehene Otumfour Osei Tutu II

The Asantehene Otumfour Osei Tutu II has disclosed that,  Concessionaires on the US$330 million Boankra Integrated Logistics Terminal project, popularly referred to as the Boankra Inland Port Project, could not provide funding for the project.

According to him, the Government of Ghana is now the main financier of the project raising questions about if the original project will be completed as designed.

The overlord of the Asante Kingdom said this during the 2022 Asantehene’s Annual meeting with stakeholders in the kingdom on Wednesday December 14, 2022.

The meeting which seeks to discuss the welfare and development of the area brought together stakeholders in the Ashanti Region including the Ashanti Regional Minister Hon Simon Osei, chiefs, security heads among others.

Speaking on the Boankra Inland Port Project, Otumfour Osei Tutu II expressed concern over the snail pace of work on the site.

“Regional Minister, the Concessionaires on the Boankra Inland Port could not get funding for the project, government is now funding the project”

“We may end up not getting the actual size of the port ad envisioned in the initial design “. He told the Ashanti Regional Minister Hon Simon Osei at the meeting.

Otumfour’s  Suggestion

 The Asantehene Otumfour Osei Tutu II however suggested ways the government could get enough funding for the project without using the country’s sovereign fund.

He suggested the Ghana Ports and Harbour quantify the number of cargo volumes expected at the port for the first 20 years upon completion, the revenue it will be generated, and leverage it with investors for funding instead of relying solely on the meagre revenues generated in the country.

He again recommended government to allow Development Bank of Ghana, the Ghana Infrastructural Fund, and the Ghana Ports and Harbour to team up in order to raise money for the project.

Otumfour however pledged his support and the support of chiefs in the region to ensuring that the project comes to fruition.

About the project

The Boankra Inland Port is a $330m joint venture between the government and Ashanti Port Services, and it is expected to serve importers and exporters in the middle and northern parts of the country when completed in 2024.

Popularly referred to as the Boankra Inland Port Project, the venture, covering a total land area of 413 acres, has been on the drawing board for some 18 years.

The idea of the Boankra Integrated Logistics Terminal project was in the pipeline during the Kufuor era. It encountered several challenges, a significant one being the exit of the NPP government in 2009.

However, President Akufo-Addo cut the sod on November 2020, for the construction of the Port.

It has now immerged that, Concessionaire, Ashanti Ports Services Limited, a joint venture of Afum Quality Limited of Ghana and DSS Associates of the Republic of Korea could not raise enough funding for the project and as such facing liquidity challenges.

Source: Ghana/otecfmghana.com/Jacob Agyenim Boateng