The People’s Alliance for Governance and Accountability (PAGA) has demanded a full public account of the reported US$1.7 billion loss associated with the Bank of Ghana’s (BoG) Domestic Gold Purchase Programme.
In a statement issued on Monday, August 24, PAGA said the debate over which state institution ultimately carries the loss should not distract from what it considers the central issue: the financial cost to the taxpayer.
“The argument over which institution’s balance sheet carries the loss is a distraction. Whether it appears in the accounts of GoldBod, the Bank of Ghana or another state institution, it remains a loss to Ghana. The taxpayer will bear the cost,” the group said.
PAGA is demanding disclosure of the identities of gold off-takers, discounts granted, fees paid to GoldBod and other intermediaries, the pricing formula used, foreign-exchange losses and the officials who approved the transactions.
It also wants the government to explain what safeguards have been introduced to prevent a recurrence.
The group said the programme’s stated objectives, including building reserves, strengthening the cedi and reducing gold smuggling, should not be used to justify financial losses or inadequate controls.
“Building reserves and strengthening the cedi may be worthy goals, but they do not excuse losses, weak controls or secretive transactions,” PAGA said.
PAGA has consequently called on President John Dramani Mahama to ensure that the programme is fully accounted for and that those responsible for approving transactions resulting in losses are identified.
Among its demands are a complete reconciled account of the programme, publication of relevant audited financial statements, disclosure of the off-takers and beneficiaries, and an explanation of the pricing, trading and foreign-exchange arrangements.
Extortion allegation
The governance group also addressed the separate public dispute between GoldBod Chief Executive Officer Sammy Gyamfi and Mr Afenyo-Markin.
PAGA said Mr Gyamfi’s description of the Minority Leader as an “extortionist” was a serious allegation that required evidence rather than continued political exchanges.
It called on Mr Afenyo-Markin to directly address the allegation and answer questions about any interactions he may have had with Mr Gyamfi concerning GoldBod.
PAGA said the Minority Leader should clarify whether he ever demanded money, a personal benefit or favour from the GoldBod CEO, and whether any private meetings, communications or proposed settlement arrangements took place between them.
At the same time, the group challenged Mr Gyamfi to substantiate the allegation.
“If he has evidence, he must place it before the public and the appropriate authorities,” PAGA said, demanding details of what was allegedly demanded, when and where it occurred, the benefit allegedly sought and any messages, recordings, documents or witnesses supporting the claim.
PAGA also urged the Minority Caucus to address the allegation rather than shield its leader through party solidarity, arguing that the controversy had implications for the credibility of parliamentary oversight.
The group ultimately called for President Mahama, the Finance Ministry, BoG and GoldBod to provide a reconciled account of the gold programme, while urging Mr Afenyo-Markin to respond to the allegation and Mr Gyamfi either to produce the evidence he says he possesses or withdraw the claim.
“Accountability requires facts, records, evidence and consequences,” PAGA noted.
