A deal to raise money for important infrastructure projects through mineral royalties was offered by the government, but it was ultimately shelved after resistance from the National Democratic Congress (NDC) and a few civil society organizations.
The CEO of the Minerals Income Investment Fund, however, claims that prior to the suspension, 12 million dollars were spent on the procedures necessary to launch the initial public offering on the London Stock Exchange.
It has come to light that the Agyapa royalties arrangement, which is currently on hold, cost the government $12 million.
Edward Nana Yaw Koranteng, the CEO of the Minerals Income Investment Fund, revealed this information during a Public Accounts Committee (PAC) Sitting.
After a public uproar in 2021, President Nana Addo Dankwa Akufo-Addo issued an order suspending the Agyapa agreement.
“My understanding, honorable chair, is that the Ministry of Finance procured the services of international consultancy and companies and financial institutions that have done this in the past and that the advice provided was what Ministry of Finance stood on,” Mr. Koranteng said in response to a question about whether the Fund had conducted due diligence.
“We started with the Ministry of Finance, and based on the documents we have, it is evident that the right advice was given regarding the establishment of a gold royalties company where Ghana would benefit from the streaming of the royalties.”
