Govt Moves To Pay Off Trafigura Debt

 

The Ministry of Finance has issued a statement addressing recent media speculation surrounding the government’s engagement with Trafigura, a global commodities trading company.

The statement, released on Tuesday, September 24, 2024, confirms that the government has made necessary arrangements to pay off outstanding claims agreed upon with Trafigura after several rounds of negotiations.

 

Background

The dispute between the Government of Ghana and Trafigura dates back to 2018 when Ghana unilaterally terminated a power purchase agreement with Trafigura’s Ghana Power Generation Company (GPGC).

A UK tribunal subsequently ruled in favor of GPGC, awarding $134 million in damages. Ghana has since paid $23 million, leaving a balance of $111 million.

 

Recent Developments

A letter circulated on social media Tuesday suggested that the government was inactive regarding the Settlement Agreement with Trafigura.

However, the Ministry of Finance has clarified that ongoing engagements are focused on resolving the claims.

The government’s commitment to honoring its obligations under the Settlement Agreement aims to bring the matter to a close.

 

Government’s Commitment

The Ministry of Finance emphasized its surprise at the circulation of the letter on social media, reiterating its commitment to paying off the outstanding claims.

This move demonstrates the government’s determination to resolve the dispute amicably and maintain a positive relationship with Trafigura.

 

BY Daniel Bampoe

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