Member of Parliament for Bolgatanga Central, Isaac Adongo, is demanding from the Bank of Ghana (BoG), a value for money audit for the construction of its new head office.
He wants the central bank to explain to Ghanaians whether other companies were willing to construct the edifice at a relatively cheaper rate than what was approved for the project.
According to the MP, the sum of the contract as valued was US$100 million which was revised to US$88 million, and does not understand why the then BoG leadership approved a bidding which was US$261 million, constituting 250% increment of the cost.
Speaking at a Committee sitting in Parliament Wednesday, March 05, 2025, Mr. Adongo, who is currently a Member of the Governing Board of the Bank of Ghana, demanded for details of the second lowest bidder and other bidders which were ignored by the BoG to approve the estimate with 250% increase in value.
“Mr. Chairman, can they tell us the second lowest or the lowest bidder per the valuation report? There were other bidders, can they tell us what the other bidders were willing to construct the property for, for which they were ignored and went for US$121million?” he demanded.
He asked for the value for money audit for the contract, questioning how the nation has not had a value for money report despite the value for the project being exceeded.
“As we speak today, it’s been five years, we still don’t have a value for money audit. We are now going to determine value for money for a project whose cost has been increased almost every now and then? So why is it that we didn’t have value for money when it became clear to us that the original figure was being exceeded?” he questioned.
His comments follow a briefing by the new Governor of the BoG, Dr. Johnson Pandit Asiama, to Parliament at a committee sitting where he disclosed that the state under the previous Akufo-Addo administration paid US$230 million to the contractor working on the bank’s new headquarters.
He had also disclosed that there was an outstanding balance of US$31.8 million still owed the construction firm by the state.
He revealed that the total cost of the project has risen to $261.8 million, with the payments to the contractor being made as recently as February this year.
“As of February this year, a total of approximately $230 million has been paid towards the project, with an outstanding balance of $31.8 million still due to the contractor,” he stated in parliament on Wednesday, March 5.
Dr. Asiama also noted that an additional US$48.3 million has been paid in taxes and levies associated with the construction of the building.
In addition to the main building, the BoG boss explained that several other facilities were part of the project, including an Integrated Communication and Computing (ICC) system and Network Infrastructure, which cost US$8.6 million.
Other expenditures included integrated electronic security systems at $15.8 million and furniture and furnishings, which amounted to $11.1 million.
He emphasised that these investments are aimed at ensuring the Bank of Ghana operates in a secure and technologically advanced environment, in line with the needs of a modern central bank.
But according to Adongo, it is mind boggling that a contract which was valued at US$100 million and further revised to US$88 million could balloon to such a high figure.
“The Board under paragraph 7 indicated that the original estimated contract sum or the engineers estimate put the contract US$100 million. In their own wisdom, they revised this to US$81million before the tender. Then, a tender is received which is 50% above the estimated figure given to us by our engineers.
“Our Engineers having compiled all the bill of quantities think that it will cost us US$88 million to build this facility. And we went ahead to approve it. It didn’t end there, now we are building with US$261 million and this was being done at the time of Covid-19. Ghanaians were being asked to pay Covid levy and you went and sign a contract which is 250% above [the estimate]” he explained.
The BoG headquarters was commissioned by former President Akufo-Addo in November 2024.
The state-of-the-art facility which symbolises financial strength and modernity is situated in the heart of the national capital.
The bank’s new office replaces the old one which has served the nation since its establishment in 1957.
Cost of new BoG headquarters: Was the Bank of Ghana without limitation? – Adongo quizzes
