The Minerals Income and Investment Fund (MIIF) has defended the integrity of the agreements to monetise gold royalties through Agyapa Royalties Limited.
Describing it as a “forward-thinking” endeavour, the Fund said the deal was “being created with Ghanaians’ best interests at heart.”
“This is an investment in our future which will create an upfront sum of capital upon the proposed listing date,” MIIF said in a statement from its Public Relations Unit.
The deal has been criticised as a mortgaging of Ghana’s mineral resources.
The Government of Ghana through the Minerals Income Investment Fund set up a limited liability company, Agyapa Royalties Limited to receive money Ghana is supposed to earn from gold royalties.
In exchange, the company will be raising between $500 million and $750 million lump sum for the Ghana Government on the Ghana and London Stock exchanges to invest in developmental projects.
The Minority in Parliament boycotted its approval in Parliament saying it will shortchange Ghanaians.
The Flagbearer of the National Democratic Congress, John Mahama, described the deal as questionable whilst a presidential aspirant of the Progressive People's Party (PPP), William Dowokpor, called it fraudulent.
But the fund in the statement cleared the air on these concerns.
It assured of its transparency noting that it was listed on both the Ghana and London Stock Exchange, which mandates full disclosure from shareholders.
The Fund further refuted claims it was owned by President Akufo-Addo.
It said, currently, MIIF is the sole shareholder of Agyapa Royalties, an SPV that is expected to be listed on the London and Ghana Stock exchanges.
“Regardless of who is in power, the MIIF is the custodian of Ghana's future mineral revenues in terms of the MIIF Act.”
In general, Ghanaians will benefit because the capital raised “will finance strategic capital investments such as infrastructure and also mining in collaboration with local equity participants to spur socio-economic development,” it added.
On allegations that a legal firm stands to benefit $10 million, the MIIF said the assertions were incorrect and that “the expenses incurred will be available for scrutiny.”
“What is very important to remember is that MIIF will remain as the majority shareholder of Agyapa Royalties Limited. This means it will retain majority shareholder control and receive the majority of the company's dividends when declared and paid.”
“Lastly, Ghana has always been and will always be a leader on the continent. This is but the latest example of our ability to be forward-thinking. We are the first government to implement this transformational and innovative way to raise funds,” the statement added.