Explain processes leading to issuance of $2.25 billion bond —-Minority demands

Mon, 24 Apr 2017 Source: Ghanaian Times

Parliament has asked the Ministry of Finance to explain the processes leading to the issuance of the $2.25 billion bond and allegations of conflict of interest arising out of the transaction.

A statement signed and issued by the Minority Leader, Haruna Iddrisu, , said it was strange the same ministry failed to deny the relational interest between the Finance Minister, Ken Ofori-Atta and his friend, Trevor Trefgarne and his association with Franklin Templeton.

It was in response to a statement by the ministry which described the attacks on the bond by former Deputy Finance Minister, Cassiel Ato Forson, as baseless.

Detailing out its concerns about the bond, the statement noted that the seven-year and 15-year transaction was not on the issuance calendar as claimed by the Ministry of Finance.

It said the initial pricing guidelines of the bond were issued at 5:37pm on March 30 by e-mail at the time domestic investors may have left their offices adding that the transaction was opened at 9am on March 31.

Public announcement of the transaction, the statement alleged was opened at 9:09am immediately on the same day after it was opened adding that the issuance summary indicating the closure of the bond was at 4:20pm the same day.

April 3, the statement said, was the settlement date and not the closing date of the transaction as indicated by the ministry saying that the transaction was not competitive because the short timing did not allow for competitive bidding.

Source: Ghanaian Times
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