Former Minister of Finance, Seth Terkper, has joined the opposition to the Agyapa Royalties deal, criticising the decision by government to incorporate the company in Jersey, UK, a tax haven.Government has defended the decision to incorporate the company in a tax haven on grounds that cut out the payment of extra taxes on mining royalties.
Jersey is a known tax haven and a destination for incorporating companies that want to be listed on the London Stock Exchange.
The Agyapa Royalties deal, according to government, is part of its strategy to beat the long-standing problem of lack of capital for developmental projects.
Agyapa Royalties Limited is expected to trade shares on the Ghana Stock Exchange and the London Stock Exchange for the private market.
But Mr. Terkper told Citi News that that decision is likely to raise the concerns of multinationals and other state-owned enterprises who have to operate in Ghana and pay taxes.
Copied from:Ghana web
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