The High Commissioner of Ghana to the United Kingdom (UK), Papa Owusu-Ankomah, has confirmed the looming threat of the sale of Government of Ghana properties in the UK due to a failure to settle a judgment debt owed to GPGC, a subsidiary of international commodities company, Trafigura.
In an interview on JoyNews on October 23, 2023, Papa Owusu-Ankomah revealed that only one Government of Ghana property has been attached so far, with the rest enjoying diplomatic immunity. He expressed his disappointment at the situation, citing the government’s current financial constraints, which have made it unable to meet its debt obligations.
Owusu-Ankomah clarified, “As far as I am aware, it’s only Regina House which is used for commercial purposes because it’s been rented by the Ghana International Bank, two other banks, and another commercial entity. That is the one that has been attached. All other properties are diplomatic properties and covered by immunity. I heard you talk about the High Commissioner’s residence, but that’s being used for diplomatic purposes; likewise, the other building you’re talking about, that’s the chancery, has not been attached. But I am sure the government is taking steps to liquidate that debt.”
He acknowledged the seriousness of the situation, expressing embarrassment as the High Commissioner, and emphasized that the Ministry of Finance is working diligently to reach an agreement with the creditor to prevent the sale of Ghanaian properties.
Background:
The issue stems from a UK court awarding a $140 million arbitral award against Ghana in 2021 over the termination of a power deal with GPGC, a subsidiary of Trafigura. The court ruled that Ghana must pay the full value of the Early Termination Payment of $134,348,661, along with additional costs. The government is not only required to pay the debt but also the accrued interest, arbitration costs, and GPGC’s legal fees. Trafigura now holds the authority to sell Ghana’s assets in the UK to recover the owed amount.