Deputy Minister of Information, Pius Hadzide

Controversial Agyapa deal not suspended despite CSO claims

On September 3, 2020, 10:41 AM

The controversial Agyapa Royalties deal has been suspended, the Technical Manager for the Public Interest and the Accountability Committee (PIAC) Mark Agyemang has revealed.

According to him, the decision was arrived at after a meeting with the Finance Minister on Wednesday, September 2, 2020.

Mr. Agyemang told Accra-based Starr FM that the temporary suspension of the deal was to allow broader consultations and also address concerns raised by several Civil Society Organisations regarding it.

The Mineral Income Investment Fund (MIIF) set up Agyapa Royalties as an investment wing to trade off 49 % of its stake in the special purpose vehicle to raise $1 billion on the London Stock Market and the Ghana Stock Exchange for development projects.

At least 15 CSOs have questioned the value of the deal.

On Tuesday, the Ministry of Finance announced a meeting with the CSOs.

Government has not suspended Agyapa deal

While CSOs are claiming a temporary victory, the Deputy Minister for Information, Pius Enam Hadzide, denied claims that the controversial Agyapa Royalties deal has been suspended.

According to him, the government is only engaging the CSOs to clarify some misunderstandings and misconceptions surrounding the deal.

“The brief that I have is that the government still is engaging CSOs to give them better clarity. The fundamental misunderstanding and misconceptions are being clarified.

“The CSOs engaged with the Finance Ministry and my understanding is that some clarity has been given. It is the position that we can walk and chew gum at the same time. After the meeting, I heard Franklin Cudjoe describing the deal as a good deal,” he told Accra-based Starr FM.

The company has been registered in the Jersey Island, a tax haven in the United Kingdom.

The Minority and 15 civil society have been shadowboxing with the government over what they described as the opaque nature of the contract as they accused the government of withholding information on the deal.

Against the government’s advice that the move could derail investors interest in the deal, the Minority says it notifying the London Stock Exchange that the agreement “does not meet the minimum requirement of diligence and transparency and minimum requirements of our constitution.”