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The hypocrisy of NDC on Agyapa deal: Similarities between Agyapa and Gold Coast Company (GCC).

On September 4, 2020, Paul Adom Otchere released a five minutes video that showed identical objectives between NPP Agyapa deal and NDC Gold Coast Company. 

NDC had an intention to use Ghana royalties for an establishment of Special Purpose Vehicle (SPV) during President Mills administration. Paul posted a slide in his video that showed the benefits of GCC. It said that,

“The GCC will provide a variety of funding options to the government. 1. The sale of stake in the GCC through an IPO” 

This implies that NDC intended to list GCC on a stock exchange in order to raise capital. This is similar to the Agyapa deal NPP intend to do. 

The document also depicted that,

“An established Special Purpose Vehicle (SPV) for the Government's gold interest”

This section indicates that, NDC intended to create a legal entity that will be mandated to handle all interest accumulated on GGC. The purpose of SPV was to reduce financial risk and reduce equity infusion. SPV of Agyapa Royalties deal is the Agyapa company itself. 

The document also portrayed that,

“A listing the GCC on the Ghana Stock Exchange will not only raise money for the government but will enable Ghanaians to participate directly in the Gold interests currently held by the government”

This section implies that, indigenous people can buy and sell shares, acquire dividends and benefit from price changes of GCC on Ghana Stock Exchange. 

However the document didn’t show whether the SPV was to be established at a tax haven country like how Agyapa is intended to be established at Jersey. In most cases, SPVs are established at tax haven countries in order to limit tax liability and reduce financial cost. 

Note that the GCC couldn’t enter parliament for approval. 

Are NDC people being hypocritical? 

Content created and supplied by: GHLatest (via Opera News )

Agyapa GCC Ghana NDC NPP Agyapa


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