Ghana is set to receive an annual rent payment exceeding $1 million from West Africa Agro Limited, an Indian-based firm, under the terms of the Komenda Sugar Factory lease agreement.
The announcement was made by Kobina Tahiru Hammond, the Minister of Trade and Industry, who addressed concerns surrounding the lease and the financial arrangements involved.
Speaking on Citi FM’s Eyewitness News, Hammond clarified that Ghana would not be making any payments to the company.
Instead, the firm will pay the government a yearly rent, as part of the lease agreement, which may be extended if the company wishes to continue operations.
“So at the commencement of the agreement to let them lease it, they would be paying us a yearly rent. The company will be paying us, I’ve said that it is over a million dollars,” Hammond stated.
Hammond’s clarification follows concerns raised by Yusif Sulemana, the Ranking Member on the Trade and Industry Committee, who alleged that Parliament had not been informed of the decision and that the company would be receiving $50,000 monthly for management services.
The Minister dismissed these claims, emphasizing that the agreed-upon rent is a fixed annual payment, which will continue for the duration of the lease, potentially bringing significant revenue to the country.
