Ghana saved $9 billion from arbitration claims - AG
Accra, Ghana - Nov 5, 2024 - Ghana's Attorney General, Godfred Yeboah Dame has announced that the country has successfully defended against arbitration claims totaling nearly $9 billion over the past four years.
This revelation came during the Public Sector Lawyers Conference in Accra, where Mr. Dame highlighted the significant financial burden Ghana would have faced if the outcomes had been unfavorable.
Arbitration Claims: A Threat to Economic Stability
Mr. Dame emphasized that these claims, if upheld, would have destabilized Ghana's economy. He noted that arbitration claims filed against the government, if not diligently managed, can collapse the entire economy. A single successful claim could bring the economy of a developing country like Ghana to its knees.
High-Stakes Cases
The Attorney General cited several high-stakes arbitration cases, including the financial claim by ENI Viton against Ghana. Initially valued at $7 billion, Ghana successfully challenged the proceedings in court, reducing the claim to $915 million.
“These claims, if upheld, would have destabilized our economy,” he stated, emphasizing the pivotal role of robust legal defence in protecting the nation’s financial health.
“Whilst arbitration is started to ensure neutrality, privacy and efficiency in the adjudication of disputes, arbitral claims filed against the government, if not diligently managed, have the tendency to collapse the entire Ghanaian economy.
“A single arbitral claim, if successful, can bring the economy of a developing country such as Ghana to its knees. In point of fact, over the past four years, the value of arbitral claims against the Republic of Ghana has been in excess of $9 billion.
“I will cite a few examples to illustrate the point. One such case was the financial claim by ENI Viton against Ghana, which was initially $7 billion and subsequently reduced to $915 million after Ghana successfully challenged the proceedings in court. In fact, any of these amounts could have collapsed the Ghanaian economy.”
Source: Lead News Online
