Skip to main content

Ghana scores 63 on 2013 Resource Governance Index

By Fred Yaw Sarpong
Ghana received a partial score of 63, ranking the country 15th out of the 58 countries in the world, according to 2013 Resource Governance Index released by Revenue Watch Institute (RWI). Ghana’s performances were based of mining activities in the country.
Ghana’s score was base on Institutional and Legal Setting (79), Safeguards and Quality Controls (73), Reporting Practices (51), Enabling Environment (59) and Sub-national Transfer (69).
Ghana earned a satisfactory score of 79 on the product of sub-stantial disclosure policies and an evolving legal framework.
According to the index, in 2012 the Ministry of Minerals, Lands and Natural Resources announced reforms to introduce competitive auctions for mineral licenses. ‘Environmental impact assessments are required prior to licensing, but the results are confidential,’ said the index.
It also noted that the Large Taxpayer Unit of the Ghana Revenue Authority collects all taxes from mining companies; taxes on dividends are collected by a separate unit of the Finance Ministry. ‘The collecting agencies use some mining revenues in their own budgets rather than depositing them in the treasury,’ according to the index.
The index states that Ghana is a signatory to the Extractive Industries Transparency Initiative (EITI) and achieved compliant status in 2010. A Freedom of Information Bill has been dormant in Parliament since 2010.
‘The government does not publish comprehensive information on most key aspects of the mining industry, resulting in a partial score of 51,’ according to the index.
It also said that information on applications for mining concessions is available for a fee, but there is no clear explanation of licensing criteria, adding that mining contracts are not published and it is difficult to evaluate the actual fiscal terms that apply to companies. However, many oil contracts are available on government websites. Some mining companies voluntarily publish their environmental impact assessments.
Ghana received a satisfactory score of 73, on a product of anti-corruption policies but lack of assertive government oversight.
The Resources Governance Index revealed that inadequate resources mean that legislators rarely fulfill the requirement to ratify all mining contacts. ‘Members of Parliament from the ruling party are often appointed to the boards on mining companies, giving legislators a personal stake in the industry despite laws prohibiting conflicts of interest,’ said the index.
The index made it clear that audit mechanisms are weak in Ghana and no reports specific to extractive revenues are published, despite Ghana Audit Office reviews government agencies financial statements and reports to Parliament.
The country also received a partial score of 59, reflecting less-than-satisfactory rankings on measurements of government accountability, transparency, and the rule of law.
The index also accused the central government transfers resource revenue to local authorities, saying that it only transfer revenues after merging them with other revenues in a Common Fund for Local Authorities. Information on distributions from the common fund is published in local government budgets, available by request from local governments or the Interior Ministry. However, the rules that determine the allocations are not available.




Popular posts from this blog

Deputy AG sues Facebooker over 'malicious' Ameri deal

The Deputy Attorney-General and Member of Parliament for Bolgatanga East, Mr Dominic Ayine has filed a defamation suit at an Accra High Court against a Facebook commentator, Evron Hughes.
In Mr Ayine’s statement of claim, sighted by Graphic Online, he accused Mr Hughes of defaming him in a post he authored and published on Facebook on December 21, 2015, titled “RE: AMERI TRANSACTION”.
According to the Deputy A-G, the “false and malicious” post has provoked “public disaffection” against him and exposed him to public ridicule and contempt.
Describing Mr Hughes as a “self-styled social media blogger and a social commentator”, Mr Ayine said the Facebook post had brought his hard-won reputation “as a respected politician, teacher and lawyer” into “hatred, ridicule, odium, discredit, contempt, opprobrium and reproach”.
The Deputy A-G said the “defamatory words” were authored with the sole intent to reduce him in the estimation of all right thinking Ghanaians, adding that he had received numerou…

PIAC told to go to court to enforce recommendations

By: Fred Yaw Sarpong

The Public Interest and Accountability Committee (PIAC), the mandated body to monitor the use of Ghana’s oil revenues has been asked to go to court to seek strict compliance of the laws covering accountability of oil funds in the country.

According to Dr. Steve Manteaw, the Campaign Coordinator for ISODEC and a member of the PIAC , it’s time for PIAC as a body to consider going to court to compel institutions responsible for managing Ghana’s oil revenue to answers some questions concerning the expenditure of oil funds.

He pointed out that there are several recommendations made by the PIAC in its past reports on management of petroleum revenues, and a lot of these recommendations has received no positive response from the institutions concerned.

He disclosed this to the Daily Express at a three-day workshop on Interrogating the 2016 Semi Annual PIAC Report at Koforidua in the Eastern Region.

The workshop was organized by the Institute of Financ…

BoG shuts down two financial institutions

The Bank of Ghana has closed down two financial institutions in the country. This was after the central bank investigation revealed that the two companies were operating without approval.

The two companies were Agro Development Fund Services Limited (ADFSL) and Hebron Financial Investment Limited (HFIL).

The Daily Express gathered that the ADFSL was asked to stop operating after the central bank realized the institution had not been licensed to take deposit from the public.

A statement from BoG said the ADFSL continued to operate despite the orders from the Bank of Ghana. It however closed down ADFSL’s operation until further notice.

The Bank of Ghana said that the ADFSL is located at Asufufu, opposite the Sunyani Traditional Council in the Brong Ahafo region.

“The decision to close down ADFSL is in furtherance of section 20(2) (g) of the Banks and Specialized Deposit-Taking Institutions Act, 2016 (Act 930). Bank of Ghana has investigated ADFSL thoroughly and has concluded that its a…