The World Bank has noted that it is aware of allegations that the Development Bank Ghana has been mismanaging funds.
According to the institution, it takes such allegations seriously and has launched due investigations into the matter.
The Development Bank Ghana is a beneficiary under the Ghana Development Finance Project supported by the International Development Association (IDA).
In a short statement quoted by myjoyonline.com, the World Bank said: “We take all fiduciary issues very seriously, and we are engaging key partners to obtain full clarifications.”
Meanwhile, the Development Bank Ghana has refuted claims that it misused funds allocated for its operations by the country’s development partners.
In a statement, the bank describes the media reports as “significant inaccuracies and falsehoods.”
DBG said these claims undermine the institution’s commitment to transparency and Ghana’s economic transformation.
DBG clarified that it was initially capitalised with GH¢1.135 billion (approximately $200 million at the time) by the Ghanaian government in 2021, with additional funding from the African Development Bank.
It also rejected claims that it misappropriated over GH¢400 million, emphasising its stringent procurement policies.
In a statement released on November 13, DBG noted, “Our procurement processes remain stringent, rigorous, and evolving in line with best global practices.”
Also, DBG dispelled assertions that it incurred GH¢700 million in losses, instead highlighting consistent annual profits since its inception, including GH¢80.1 million in 2023.
DBG said the allegations about the misuse of World Bank and European Investment Bank funds are false.
It added that these credit lines are strictly monitored and used exclusively for on-lending through financial institutions.
SSD/OGB
Watch the latest edition of BizTech below:
