Following recent public talks on the Agyapa Royalties transaction, former President John Dramani Mahama has restated his party’s opposition.
The 2020 presidential candidate for the National Democratic Congress (NDC), in a Facebook post on Sunday, stated that the NDC will strongly reject the agreement since the government has not addressed various claims surrounding the transaction.
“As I emphasised in my presentation on Ghana at a Crossroads: “Government must clarify reports which are rife in the investment community that it intends to use the Heritage Fund as collateral to raise a US$2 billion loan from a consortium of banks.
We want to make it clear that if this turns out to be true, the NDC will fiercely reject it, just as we did with the Agyapa agreement.
We cannot support the collateralization of every single source of future revenue just to finance today’s consumption”, the post said.
Mahama’s comments are in the wake of a recent call by the Finance Minister, Ken Ofori-Atta, for a re-look at the controversial Agyapa Royalties Agreement, instead of abandoning it.
Mr Ofori-Atta stated that the contract must go through the proper channels in order to succeed since it has the potential to lessen the country’s debt burden.
The Finance Minister explained that the Agyapa deal “is not about whether the monetisation of mineral royalties or listing of the company is bad or good, it is good because that is how you raise resources” at a press conference on Thursday to announce details of the African Development Bank’s 2022 Annual General Meeting.
Following these comments, a number of concerned individuals have expressed their displeasure with the contract and pushed the government to scrap it entirely.