The Bank of Ghana (BoG) has staunchly defended its decision to persist with the construction of its new head office, despite posting a substantial loss of 10.50 billion cedis in 2023.
Last year, the Central Bank disbursed $82 million to contractors for the ongoing project.
The continuation of this development has drawn criticism, particularly from MP Yusif Suleman, who questioned the project’s feasibility given the bank’s dire financial situation during a Public Accounts Committee hearing on Friday.
Stephen Opata, Special Advisor to the BoG Governor, addressed these concerns by arguing that halting the project was not a viable option.
“The project was too advanced to be halted,” Opata stated, emphasizing that the financial losses incurred were not solely attributable to the construction.
He pointed out that ceasing work mid-way would have been both inefficient and financially detrimental due to the presence of active contractors and the potential for wasted resources.
While acknowledging the legitimacy of MP Suleman’s concerns, Opata underscored that stopping the project could have led to greater costs.
“The other alternative was to stop the project,” Opata explained. “But as I explained earlier, the losses we incurred were not because of this project.”
The BoG’s defense comes as the bank seeks government assistance to recapitalize and support its policy objectives.