[2008-06-18]  Stanbic-ADB Deal Still Pending
THOSE WHO hold the perception that the proposed sale of the Agricultural Development Bank (ADB), the nation’s only agriculture-centered financial institution, to Stanbic Bank of South Africa, is over may be day-dreaming as government stated yesterday that the deal was far from over as it has not taken any firm decision yet.

“Government has also received some offers; however, it may interest you to know that government has not yet taken any firm decision on the matter yet,” says Professor George Gyan-Baffour, deputy Minister of Finance and Economic Planning.

The deputy minister, who was speaking on the floor of Parliament in response to questions pertaining to his outfit, explained that though government had not taken any resolute decision on the matter, it was still looking for a model that would enable those in the agricultural sector to get the needed capital when necessary to continue their work.

“Government will therefore take a decision on the matter when it finds a suitable model that will be in the supreme interest of this country.

“Government intends strengthening the ADB in a way that when farmers and fishermen want credit, they will get it,” he stated.

Strengthening ADB, Prof. Gyan-Baffour said, did not exclude divestiture, though government has not necessarily stated so.

He admitted the possibility of floating the bank’s shares on the Ghana Stock Exchange (GSE) so that Ghanaians who are interested might buy them.

In August 2006, the Stanbic Bank of South Africa made an unsolicited bid to purchase 100 percent of the issued shares (or such lesser amount as may be agreed upon) of the ADB.

The proposed sale generated so much national debate for several months to the extent that a number of civil society organisations, the Trades’ Union Congress (TUC) and think tanks kicked against the deal as it was tantamount to killing the ‘goose that lays the golden eggs’.

In a related development, the deputy minister disclosed Ghana’s public debt stock comprising domestic and external debt as at June ending 2007 was about ¢57.72 trillion.

Source: Dailyguide