BOG Governor defends Seth Terkper in $250m diversion scandal

quist 18:57 - 17 May 2016

According to Governor of the Bank of Ghana, Dr. Issahaku, the Ministry and the Bank of Ghana did nothing wrong in transferring the 250 million dollars which was supposed to be initial deposit of the Ghana Infrastructure Fund.

Governor of the Bank of Ghana, Dr. Abdul Nashiru Issahaku has jumped to the defence of the Minister of Finance, Seth Tekper in the 250 million dollar- Eurobond diversion scandal.

NPP Vice Presidential Candidate, Dr. Mahamudu Bawumia asserted that the Bank of Ghana flouted the BOG Act Section 53 for diverting the 250 million dollars meant for the Ghana Infrastructure Fund to a private bank.

He cited BOG ACT Section 53 to back his argument of no wrong done.

The Governor explained that "All government foreign exchange has to be in the custody of the Central Bank and when government needs its money they take the cedi equivalent. “

So the $250 million was not taken in they didn't take foreign exchange dollars it was sold to the Central Bank and the government took the equivalent in cedi to go and deposit elsewhere," Dr. Issahaku added.

The Ministry of Finance in 2012 issued the first 1billion- dollar Eurobond under the second NDC administration to finance the country’s infrastructure gap and retire some maturing debt.