Minority scaring away investors – Ofori Atta

Finance Minister Ken Ofori Atta has chastised the minority in parliament of scaring away investors following their insistence that the $2.25billion bond issued by government was done in secrecy.

The Minority at a press briefing on April 18 accused government of wrongdoing in the issuance of the bond accusing Mr. Ofori-Atta of conflict of interest and insider trading.

According to the opposition National Democratic Congress (NDC) legislators, Franklin Templeton Investment Limited which acquired about 95percent of the domestic bond has a direct relationship with Entreprise Group—a company Mr. Ofori-Atta has an interest in.

Mr. Ofori-Atta, however, repudiated the accusations as baseless and appearing before parliament Wednesday to answer questions on circumstances leading to the issuance of the controversial bond, chastised the opposition lawmakers warning that their actions will scare prospective investors.

Hitherto to Mr. Ofori-Atta’s warning, some financial analysts including the President of the Ghana Bankers Association, Alhassan Andani warned the minority’s crusade will dampen investor confidence and that will result in lower returns in future bond issuance.

“They are huge companies with wide international reputations and therefore we have to be extremely careful if we are making any comment that’s going to impugn wrongdoing to especially the people we will go to, to raise capital at any point in time” he cautioned in an interview with Starr News’ Ibrahim Alhassan in April.

But the NDC legislator for Bawku Central, Mahama Ayariga disagreed arguing that their crusade will do exactly opposite what the analysts including Mr. Ofori-Atta are positing.

According to him, the quest for more transparency in the deal will rather engender confidence in the investor community.

“I don’t think so. I think that it will rather strengthen the credentials of the country and make people who deal with us more confident that no wrongdoing will be tolerated by the people of this country that full accountability will be required of the leaders that act on our behalf when they as private investors engage with them.”