The Bank of Ghana (BoG) has defended its decision to proceed with the construction of its new head office despite reporting a significant loss of 10.50 billion cedis in 2023. Last year, the Central Bank paid $82 million to contractors for the project, sparking scrutiny and questions about the project’s viability given the bank’s financial situation.
MP Yusif Suleman raised concerns about the project’s feasibility during a Public Accounts Committee hearing on Friday. However, Stephen Opasa, Special Advisor to the BoG Governor, justified the continued construction, arguing that halting the project at its advanced stage would have been inefficient and costly.
Opasa emphasized that the bank’s losses were due to various factors and not solely attributable to the construction project. He acknowledged the concerns raised by the MP but maintained that stopping the project mid-way was not a viable option due to the presence of contractors on-site.
“The other alternative was to stop the project. I understand your point in management, but as I explained earlier, the losses we incurred in 2023 and 2022 were due to various reasons, not because of this project. While I hear you that stopping the project might seem like a way to reduce losses, contractors were still on site, and halting construction at that stage would not have been the best decision. This project was already way advanced,” Opasa explained.
The BoG’s defense comes as the bank seeks a government bailout to recapitalize and support its policy objectives. The ongoing construction of the new head office remains a point of contention, highlighting the challenges faced by the Central Bank in balancing financial management with infrastructural development.
