NDC demands resignation of BoG Governor

The opposition National Democratic Congress (NDC) has called for the resignation of the Governor of the Bank of Ghana, Dr Ernest Addison, over alleged mismanagement of the nation’s central bank. 

The party threatened to occupy the central bank if the governor and his team refused to vacate their positions after the 21-day ultimatum.

“In this regard, we call for the resignation of the Governor of the central bank and his deputies within 21 days from today," it said.

The Minority Leader and NDC Member of Parliament (MP) for Ajumako Enyan Esiam in the Central Region, Dr Cassiel Ato Forson, made the call at a press conference dubbed the "Moment of Truth" series in Accra yesterday.

The call comes after the Annual Report and Financial Statement of the Bank of Ghana (BOG), which was released last week, revealed that the BoG had recorded a loss of GH¢60.8 billion, which is equivalent to $6 billion and recorded a negative equity of over GH¢55.1 billion.

“In other words, the once prestigious Bank of Ghana, the mother of all banks in Ghana, has been bankrupted and collapsed by this NPP economic management team led by Dr Mahamudu Bawumia with the complicity of the Governor of the Central Bank,” Dr Forson stressed. 

Causes

The NDC alleged that the governor conspired with members of the Economic Management Team led by Vice-President Dr Mahamudu Bawumia and the Finance Minister, Ken Ofori-Atta, to illegally print money after the country got locked out of the capital market due to unsustainable debt obligations.

He said that after over-lending to the government, the central bank proceeded to write-off a GH¢ 48.4 billion debt owed it by the government without seeking parliamentary approval.

“It is about half of Ghana Government’s indebtedness to the Central Bank.

This is illegal and the NDC Members of Parliament will not allow this to pass,” he stated.

Stressing  the acts of alleged mismanagement captured in the 2022 report, he said that millions of Ghana Cedis had been wasted on frivolous administrative expenditure, including GH¢131.6 million on motor vehicle maintenance, signifying a 114 per cent increase over the 2021 expenditure.  

Similarly, he said, foreign and domestic travels of the Bank of Ghana cost the Ghanaian tax payer a staggering GH¢97.4 million, which was about 246 per cent increase over the previous year.

“The Bank of Ghana also dissipated another GH¢8.6 million on directors remuneration alone.

This represents about 87 per cent increase over the previous year’s expenditure.

This means that Ghanaians were charged a mismanagement fee to deliver the collapse of the bank,” he said.

“The Bank further claimed to have spent a colossal GH¢357.9 million on Banking Supervision Expenses.

The Report disclosed ‘other’ undisclosed expenses amounted to GH¢287.8 million of the taxpayer’s money,” he added.

He further accused the governor of being insensitive to the nation and the central bank’s plight because Dr Addison working with the bank’s Board was investing $250 million (GH¢2.8 billion) on another Head Office building at Ridge. 

  Rescue

Dr Forson said the party would continue to explore ways of rescuing the country to prevent it from the doom that had befallen several countries in the subregion, adding that the  International Monetary Fund had made offers to assist develop a plan for the recapitalisation of the central bank .

“Those who have by their reckless conduct unleashed economic hardship and financial distress on the suffering people of Ghana must be held to account.

Impunity of the highest order can no longer be tolerated by the suffering masses of Ghanaians.

We must not allow dangerous precedents to be set for future leaders,” he said.