The Chief Executive of Minerals Investment Fund (MIIF) has said that the repackaged ‘Agyapa deal’ will remain registered in the United Kingdom (UK) tax haven of Jersey.
Speaking on Joy FM‘s Top Story on Tuesday, Edward Nana Yaw Koranteng added that Agyapa Mineral Royalty Limited would be listed on the London Stock Exchange (LSE) and Ghana’s Stock Exchange.
Explaining the rationale behind the selection of Jersey, he said “it is easier to have issues surrounding your operations in London than in Jersey and that is why you have about 70 top companies in the world, Tullow which is listed on the Ghana Stock Exchange as well and Vodafone all having offices in Jersey.”
He, therefore advised the public to “disabuse our minds that Jersey the tax haven, is an illegal contraption for which we are trying to hide something.”
“If tax havens are illegal, you can imagine United Kingdom regulates it and with all their stringent regulations would not allow us to establish in Jersey and list on the LSEs. It goes through quite a laborious process and every single thing is checked… it is more stringent to establish an office in Jersey than in London,” he indicated.
He further stated that the Agyapa deal was listed off shore in Jersey to help provide incentives for investors.
“That could be you that could be me, Ghanaians everywhere, foreigners etcetera that when your dividends are paid, you are not going to pay tax from those dividends, there are not going to be any capital gains tax etc and that is an incentive and that is the reason why we are setting it up in Jersey and listing on the LSE. Jersey is part of the United Kingdom,” he stressed