Finance Minister Dr Cassiel Ato Forson has commended Perseus Mining (Ghana) Limited for paying a GH¢391.2 million dividend, equivalent to US$35 million, to the Government of Ghana.
The payment represents a significant increase from the US$5 million dividend the company paid to the state the previous year.
In a post on his official Facebook page, Dr Forson expressed appreciation to Perseus Mining Limited on behalf of the government and people of Ghana, attributing the substantial increase to improved profitability.
He said the development demonstrates the importance of ensuring that Ghana receives a fair share of the proceeds generated from the country’s extractive sector.
Ato Forson defends sliding-scale mining system
The Finance Minister used the occasion to reiterate the government’s support for the sliding-scale system, under which the state’s share of mining revenues increases when companies record higher earnings.
According to Dr Forson, the policy is intended to ensure that Ghanaians benefit more when mining companies enjoy stronger profits.
He maintained that the country’s natural resources must generate greater returns for the state, particularly during periods of strong commodity prices.
Strong gold prices boost mining revenues
Perseus Mining operates in Ghana’s gold mining industry, with dividend payments forming part of the state’s returns from its interests in mining companies operating in the country.
The increase in Perseus Mining company’s dividend from US$5 million to US$35 million comes amid strong global gold prices, which have boosted the revenues and profitability of gold producers.
The development also comes as the Mahama administration continues to pursue measures aimed at increasing government revenue from Ghana’s extractive sector.
Dr Forson has consistently argued that Ghana, as one of the world’s major gold-producing countries, should secure greater fiscal benefits from the sector, especially when global gold prices are high.
By:Rachael Djabakie