BoG responds to PAC's queries on $41m bauxite export

The Bank of Ghana (BoG) has responded the Public Accounts Committee's (PAC) queries on the $41 million bauxite export said to have not been captured in its audited report for 2015.

The committee under the chairmanship of James Klutse Avedzi directed the Central Bank to furnish it with details on the matter after appearing before it on Tuesday.

The committee raised issues with the BoG over its failure to capture a transaction involving the export of more than 40,000 tonnes of bauxite by the Ghana Export Company Limited in its audited accounts for 2015.

Appearing today [Thursday], the BoG said the proceeds from the export of bauxite in 2015 of US$41.05million was captured in the Statement of Foreign Exchange Receipts and Payments of the bank as part of non-traditional exports in the Schedule of Earnings of Dealer Commercial Banks in Table 17 of the first half report and Table 18 of the second half report.

The BoG in its response said: “As stated in paragraph three of both reports, repatriation through the commercial banks do not constitute receipts in foreign currency that increase the reserve of the country as managed by Bank of Ghana. That explains why the proceeds from bauxite exports were not captured as part of Bank of Ghana’s foreign exchange receipts and payments reports.”

“From the foregoing it is evident that the issue relating to the US$41.05m proceeds of bauxite has indeed been accounted for in the 2015 Statements of Foreign Exchange Receipts and Payments report,'' it added.

The Bank of Ghana can also confirm that total bauxite export volume and value for 2015 was captured in the Balance of Payments statistics, just as in all other years before and after,” it concluded.