Minister for Energy Boakye Agyarko
The Minister for Energy Boakye Agyarko has lashed out at the Minority MPs in Parliament for describing Ghana’s maiden energy bond as a complete failure.

According to him, various commentaries which were made by the Minority on radio and television network clearly showed that they were complete ignorant about the whole energy bond issue.

He said if the Minority had taken their time to read they would have known that the maiden energy bond was a huge success.

Government issued a ten year and seven year bond with the aim of getting GH6 billion to offset the legacy debts of the energy sector, which was about ¢10 billion, but in all, a total of GH¢5.32 billion was realized even after a seven day extension period.

The 7-year component raked in GH¢2.529 billion cedis as targeted, at an interest rate of 19 percent.

However, the 10-year bond raked in GH¢2.79 billion cedis mark relative to the target of GH¢ 3.6billion.
Per calculations the bond recorded 85% subscription. But the Minority argued that because government failed to raise the GH¢6million it was a complete failure.

But speaking on Oman FM’s political analysis programme “Boiling Point” insisted that Ghana’s Energy Bond was the best ever in the whole of Africa.

“This is the first time in Africa that a country has floated an energy bond and succeeded. Nowhere! Nigeria and Angola as big as they are in energy they haven’t been able to issue an energy bond” he said.

He believes the Minority lacked understanding of how the capital market operatives hence their “hollow” conclusion on the bond issuance.

“When you have been to the capital market before that is when you will think 85% was bad,” he said.

“In my 25 years of experience most transaction fail.The success rate is about 45%,” he added.

Source: mynewsgh.com

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