Mahama Ayariga poses 6 pertinent questions to BoG Governor over bank's debts, multi-million-dollar residence, others

The Member of Parliament for Bawku Central, Mahama Ayariga, has demanded that the Governor of the Bank of Ghana (BoG), Ernest Addison, provides specific information under the Right to Information (RTI) Act.

The MP, acting on instructions of the Minority Leader, Dr. Cassiel Ato Forson, has submitted a formal request for detailed particulars on some activities of the central bank.

Among his demands is the status of the write-offs made concerning the government's indebtedness to the Bank of Ghana.

Additionally, the Bawku Central legislator is demanding explanations for the combined losses of approximately GH¢70 billion reported in the BoG's financial statements for 2022 and 2023.

He has also requested an update on the expenses related to the controversial head office building, noting that the costs have been escalating, as well as the multi-million-dollar residence the bank is constructing for its Governor.

Below are the demands of the MP:

1. Detailed particulars of the status of the write-offs made in respect of the Government's indebtedness to BoG.

2. Reasons for the combined losses of circa GH¢70 billion as stated in the BoG's financial statements for 2022 and 2023.

3. The status of further expenses on the infamous head office building, whose costs keep escalating.

4. Reasons for recording a policy rate of 30% in 2023, as this is the highest record of policy rate in the last 20 years.

5. Detailed particulars on the costs of the new construction at the premises of the old BoG clinic.

6. Reasons for the total currency issuance expense of GH¢688.87 million as stated in BoG's financial statement and Annual Report for 2023.

The MP has asked the Governor to fulfil his demands within the seven days as stipulated by the RTI Act.

Background:

The Minority Leader in Parliament, Dr. Cassiel Ato Forson, alleged that the Bank of Ghana (BoG) is currently constructing a new multi-million-dollar residence for its Governor.

This new structure, according to him, is being built at the site where the Bank of Ghana Clinic previously stood in Ridge, Accra.

In a post shared on X on Monday, June 3, 2024, Dr. Ato Forson, a former Deputy Finance Minister, expressed concern over the demolition of the clinic to make way for the Governor's new accommodation.

He questioned the timing and necessity of this project, especially given the bank's recent financial performance.

Dr. Ato Forson highlighted that the Bank of Ghana reported a staggering loss in 2023, equivalent to 150,000% of its stated capital. He argued that such poor financial results do not support the justification for embarking on large-scale construction projects.

"In 2022, the Bank of Ghana made a colossal loss of over 600,000% of its stated capital of GHS 10 million. The Bank made another loss equivalent to 150,000% of its stated capital in 2023. Is this poor record of performance comparable to any central bank?

"Yet, apart from ongoing construction of a new HQ with about USD 250 million, the Bank of Ghana is also building a new multi-million-dollar residence for the Governor at where the Bank of Ghana Clinic used to be at Ridge in Accra," he wrote on X.

The Minority Leader added, "That clinic has been demolished to make way for the new accommodation of the Governor."

BAI/AE

Meanwhile, catch up on the latest edition of The Lowdown on GhanaWeb TV as Etsey Atisu sat down with the MP for Mpraeso, Davis Ansah Opoku, to discuss issues surrounding the E-Levy, the Saglemi Housing Controversy, and the OSP Impeachment:

Ghana’s leading digital news platform, GhanaWeb, in conjunction with the Korle-Bu Teaching Hospital, is embarking on an aggressive campaign which is geared towards ensuring that parliament passes comprehensive legislation to guide organ harvesting, organ donation, and organ transplantation in the country.