MIIF: Assets under management grow by 87.4% to GHS 3.2bn in 2022
The Minerals Income Investment Fund (MIIF) has achieved an 87.4% increase in assets under management (AUM) from GHC1.7 billion to GHC3.2 billion in 2022, based on the last 12 months ending in December.
The annualised end-year return for 2022 was recorded at 6.13%, influenced by foreign exchange volatility and effective treasury management of funds.
MIIF’s CEO, Edward Nana Yaw Koranteng, said that the Fund mobilised GHC1.3 billion and GHC1.8 billion in 2021 and 2022 respectively, marking a 36% growth over the previous year as a major factor in the AUM growth. Koranteng attributed the growth to the innovative strategies the Fund adopted, which helped to expand royalty sources and investment income.
The implementation of an inter-agency framework in 2021 enabled MIIF to partner with more agencies, including the Ghana Standards Authority, the Economic and Organised Crime Office, and the Minerals Commission. MIIF also adopted innovative technologies such as geo-mapping all mining sites in Ghana and creating a real-time dashboard for all royalties contribution from every mine in the country.
MIIF added sand winning and salt to the list of royalties-paying minerals to expand the royalties stream, which helped to diversify the royalties base away from gold. In March 2022, MIIF started investment activities by acquiring a US$20 million stake in Ashanti Gold Corporation, a Canadian and German listed company with assets in Bibiani, Chirano, and Kubi. The Fund also closed a GHC25 million deal in a Ghana/Africa small and medium enterprise (SME)-focused fund.
The growth in MIIF’s AUM signals a promising outlook for the Fund, driven by effective strategies and partnerships, as it continues to explore more opportunities to expand its investment portfolio.
