MIIF to increase royalties collection
The Minerals Income Investment Fund (MIIF) is strengthening its relationship with other state agencies to help with the collection of royalties from mining companies operating in the country.
In a move meant to ensure full compliance, among other things, it is also to compel recalcitrant mining companies that fail to comply with the law to honour their obligations to the state or be forced to do so per the law.
The collaborating agencies are the Minerals Commission (MinCom), the Ghana Revenue Authority (GRA), the Economic and Organised Crime Office (EOCO) and the National Investigative Board (NIB).
The acting Chief Executive Officer of MIIF, Justina Nelson, made this known when she led a four-member delegation from her office to pay a courtesy call on the Managing Director of the Graphic Communications Group Ltd, Ato Afful, and his executive team.
The visit was to help the two state institutions to forge stronger ties and help with the development of the country.
The MIIF acting CEO said it had become even more imperative today than ever for the Fund to intensify the collection of royalties from eligible mining companies, noting that “we need to do so to help the government in its reset agenda meant to accelerate the development and transformation of the country”.
She said per the mandate of the Fund, royalties collected are to be invested and the returns used to support government projects, particularly in the mining communities.
Mrs Nelson said the Fund had about GH¢8.5 billion in Asset Under Management (AUM) as of last year and noted that “we are working with the key state agencies mentioned to collect more royalties to help increase AUM significantly by year-end”.
She stressed the maximisation of the collection of royalties and their monetisation to support government budget to undertake more developmental projects for the country.
Mandate
The mandate of the MIIF is to maximise the value of the income due the country from its mineral wealth for the benefit of citizens; monetise the minerals income accruing to the state in a beneficial, responsible, transparent, accountable and sustainable manner; and to develop and implement measures to reduce the budgetary exposure of the country to minerals income fluctuations.
Investment
The Fund, Mrs Nelson emphasised, had invested in some equities such as Electrochem, a salt mining company in Ada near Accra, AsanteGold Corporation and Injaro, a venture capital fund to support small and medium enterprises (SMEs), as well as investments in local banks.
She said in its quest to ensure that the invested funds were being properly managed to earn positive returns, she had begun visits to some of the companies in which the Fund has equity stakes to better appreciate their operations and look into their books to ensure that all was well.
So far, the Fund has been able to visit Electrochem, as well as Injaro and some of its portfolio companies such as Zeepay, Kofa and DDP Advertising.
The MIIF CEO called on the GCGL to support its work by reminding particularly the medium and small mining companies, to honour their obligation by paying promptly, their royalties.
As part of its corporate social responsibility (CSR), she said, MIIF would sustain and enhance its scholarship scheme that gave women the opportunity to pursue courses in mining at the University of Mines and Technology (UMaT) this year.
Minerals wealth
Mr Afful highlighted the crucial role of human resources and effective communication in unlocking the country’s minerals’ wealth.
He emphasised that addressing such gaps would be key to maximising the country's mineral benefits.
The MD of GCGL congratulated the CEO on her appointment and encouraged her to strive for excellence in the minerals investment industry during her tenure.
He assured the MIIF team of the GCGL’s support to the fund's initiatives and strategies, expressing his confidence in her leadership.
"We would give you everything within our abilities to help you succeed. I hope and pray that you make a significant difference.
I believe in the leadership of women,” Mr Afful said.
Provide support
The Editor, Graphic, Theophilus Yartey, also expressed the support of the company’s brands to the MIIF, and urged the CEO to leverage the reach and impact of the Daily Graphic and its sister brands across the country to educate the public about MIIF’s activities.
He also called for collaborations of mutual benefit to the two business concerns, and for the MIIF to carve a conscious project that impacted the delivery of the Junior Graphic newspaper to underprivileged children in order for them to access information such as the Chief Examiner's report.
The GCGL’s Director, Marketing and Sales, Franklin Sowa, urged the leadership of MIIF to adopt the brands of GCGL, and the Daily Graphic’s special pages such as the Mining, Oil and Gas page to tell its own story.
He also encouraged the leadership to be part of the Tertiary Business Sense Challenge and to utilise GCGL’s online studio to have conversations on MIIF.
