The World Bank Group has warned of pursuing a legal action against the Government of Ghana following a breach of contract.
In a letter cited by angelonline.com.gh, the World Bank Group said the Ministry of Finance has failed to furnish it [Bank] with audited financial statement in connection with a project dubbed ‘the Ghana Accountability for Learning Outcomes Project (GALOP)’.
The letter, which was addressed to the Minister for Finance, Ken Ofori-Atta, read: “We refer to the Financing Agreement dated January 17,2020, between the Intenational Development Association (the “Association”) and the Republic of Ghana (the “Recipient”) in connection with the above-referenced Project.
“In accordance with Section 5.09(b)(ii) of the General Conditions incorporated by reference in the Financing Agreement and as specified in paragraph II (ii) of the Disbursement and Financial Information Letter (DFIL), the Recipient is required to furnish the audited financial statements covering the period of one fiscal year of the Recipient no later than six (6) months after the end of such period. We note that as of today, October 18, 2022, the Association has not received the audited financial statements for the year ending December 2021 in compliance with the General Conditions.”
The Association therefore expressed concern that after almost ten (10) months after the year ended and an independent audit report on the use of funds has still not been furnished to them.
The World Bank Group warned that “unless you come into compliance within the next thirty (30) days from the date of this letter, the Association may have no option than to explore the possibility of exercising the appropriate legal remedies under the Financing Agreement.”
