The Mineral Income Investment Fund (MIIF) is introducing a dividend pay–up policy to support the government with essential funds for economic development.
The policy, expected to be ready by the end of November, is a medium-term strategy to limit undue interference and mitigate unintended risk associated with leveraging minerals income to attract upfront funding, in line with section 3, clause (h) of the MIIF Act 2018.
“That is a real risk and that is why I agree with my panelist to relook at the act, and that would cement the independence of the act and ensure that MIIF does not go beyond what it is mandated to do,” said Mr Edward Nana Yaw Koranteng, Chief Executive Officer of MIIF.
He was speaking during a panel session at the second edition of the MIIF stakeholder conference in Accra on Tuesday.
It was held on the theme, “Minerals Value Addition and Value Chain Development – Essential tools for Ghana’s Development.”
In an interview, Mr. Koranteng emphasized the importance of MIIF being perceived as an independent Sovereign Wealth Fund, highlighting the need for measures that prevent negative perceptions among investors.
Dr. Steve Manteaw, Co-Chair of the Ghana Extractive Industries Transparency Initiative, suggested that the MIIF Act should be reviewed to establish an additional citizen-led oversight committee.
The committee would provide updates to the public on the use of mineral revenue and facilitate arrangements for creating inter-generational benefits from the country’s mineral resources.
“Back to 2016, I ask you to take look at the NPP manifesto pledge, the NPP party promised us a minerals revenue management framework similar to the petroleum revenue management act.
My question to you is whether what we have today in the name of MIIF is similar to the petroleum revenue management act,” he said.
Mr. Denis Gyeyir, Africa Senior Programme Officer, Natural Resource Governance Institute (NRGI) advised MIIF to commit to transparency by ensuring financial statements, contractual agreements, and information on Assets under management are made public and punctual.
The MIIF is a minerals sovereign fund established pursuant by the MIIF Act 2018 (Act 978) to receive royalties’ payment from mineral production activities in Ghana and manage governments equity interest in mining companies.
MIIF derives royalties from five minerals, including, gold, quarries, limestone, salt, sand winners and Manganese.
