TIG Post

Tag: BoG

  • US economist proves with hard notes BoG printed money in 2022

    US economist proves with hard notes BoG printed money in 2022

    Financial analyst and US economist, Scott Bolshevik, has provided evidence to support the assertion that the Bank of Ghana (BoG) in 2022 printed new cedi notes to aid the Akufo-Addo government.

    In a post on X on February 3, Bolshevik shared two images of GHC50 and GHC100 notes that were printed and issues on two different dates.

    While one was printed on November 1, 2019, the others were printed on March 4, 2022, a few days to Ghana’s Independence Day.

    He noted that the sad state of the Ghanaian economy cannot be attributed to the Russia-Ukraine war and COVID-19 as done by President Akufo-Addo but the actions of the government. He noted that the printing of money led to Ghana’s rising inflation.

    “Randomly, I had GH650, and it’s bad that all were printed in 2022 except one note. Ukraine and COVID-19 had nothing to do with the economic crisis and impoverishment caused by inflation. If the economic vice president couldn’t anticipate this, then what’s good of him?” he wrote.

    In July 2022, Minority Ranking Member on the Finance Committee in Parliament, Hon. Cassiel Ato Forson alleged that Bank
    of Ghana (BOG) printed an amount of GHC 22.04 billion to finance Government’s budget without parliamentary approval.

    His reaction was in response to the 2022 Mid-Year Fiscal Policy Review which was presented to Parliament by the Minister for Finance on Monday, July 25th 2022.

    In Appendix 2A of the Mid-Year Fiscal Policy Review document, under Financing, out of the total financing of GHC28.12 billion, an amount of GHC22.04 billion was captured under BOG. This is the amount being referred to by the Ranking Member as BOG’s printing of
    currency to support the budget.

    In response, the Bank of Ghana in a statement said the amount of GHC 22.04 billion represents net claims on Government, and not new currency printed to support the Government’s budget. The net claims of GHC 22.04 billion has
    the following four components:

    1. GoG Stocks and bonds sold by commercial banks to Bank of Ghana under repurchase
      agreements, by which banks routinely manage their liquidity positions;
    2. IMF SDR allocation disbursed to Government through Bank of Ghana;
    3. Draw-down of Government’s own deposits held with Bank of Ghana;
    4. Negative balance on Government’s account with Bank of Ghana at a point in time, and selfliquidated as new Government deposits are credited to the account.

    But in August 2023, the BoG in its 2022 annual report and financial statements said it printed GH¢35 billion in 2021 and GH¢42 billion in 2022 to finance the government.

    The Minority Caucus in Parliament described as unfortunate attempts by the Bank of Ghana (BoG) to justify the money it printed for the government in 2021 and 2022, which they (Minority) said was in contravention of Section 30 of the BoG (Amendment) Act, 2016 (ACT 918).

    https://twitter.com/scottbolshevik/status/1753695065359143351?s=46
  • BoG doles out a colossal GHC2.5bn to banks to avert DDEP-driven collapse

    BoG doles out a colossal GHC2.5bn to banks to avert DDEP-driven collapse

    Government has released GH¢2.5 billion to certain banks through the Ghana Financial Stability Fund (GFSF), according to the Governor of the Bank of Ghana (BoG), Dr. Ernest Addison.

    He disclosed this information during the 116th regular meeting of the Monetary Policy Committee (MPC), where discussions included global and macroeconomic developments, as well as an assessment of the economy and risks related to inflation.

    The funds are intended to assist banks in overcoming financial challenges associated with the Debt Service Suspension Initiative (DDEP).

    The Ministry of Finance initiated the disbursement under this program in the previous year, established by the government to alleviate the financial impacts of the DDEP.

    This initiative is part of Ghana’s three-year $3 billion Extended Credit Facility (ECF) program with the International Monetary Fund (IMF), signed in 2022 to provide balance of payment support, restore macroeconomic stability, spur growth, and address the country’s increasing public debt.

    While the specific banks benefiting from the GFSF were not mentioned by Dr. Addison, he highlighted that, despite challenges, the banking industry remained robust and profitable. The sector’s performance improved, with ongoing recapitalization efforts by shareholders and support from the GFSF contributing to its stability, as indicated by the latest stress tests.

    “As at the end of 2023, the data shows that the banking sector re­mains stable, liquid, and profitable. Profitability improved for the sec­tor from the loss position record­ed in the 2022 audited accounts, reflecting sustained increases in net interest income and fees and commissions,” the Chairman of the MPC stated.

    He said the industry’s balance sheet was generally strong, un­derscored by increased assets in December 2023, funded largely by deposits.

    “Key financial soundness indica­tors remained broadly positive with the Capital Adequacy Ratio (adjust­ed for reliefs) above the regulatory minimum, while liquidity and profitability ratios were higher in December 2023 compared to the same period last year,” Dr Addison stated.

    Dr. Ernest Addison, the Governor of the Bank of Ghana, reported that the Non-Performing Loan (NPL) ratio increased in 2023 due to general repayment challenges faced by borrowers. This development reflected the impact of macroeconomic challenges encountered in 2022.

    Regarding the recapitalization of banks, Dr. Addison stated that some banks were ahead of the 2026 recapitalization deadline, and some had already sought additional funds from their shareholders to bolster their capital.

    He emphasized that the Bank of Ghana did not have concerns about the capital levels of the banks. According to him, the profits declared by the banks in the previous year were sufficient to meet their capital requirements.

    “The Bank is closely monitoring the capital restoration efforts of the banks in line with approved plans, including through support from the Ghana Financial Stabil­ity Fund. It is expected that early recapitalisation and effective risk management by banks will help promote overall banking sector stability and resilience and ensure effective financial intermediation to strengthen the economic recovery efforts,” Dr Addison said.

  • Banks receive GHC2.5bn from BoG via GFSF for financial support

    Banks receive GHC2.5bn from BoG via GFSF for financial support

    The government has released GH¢2.5 billion to certain banks through the Ghana Financial Stability Fund (GFSF), as revealed by Dr. Ernest Addison, the Governor of the Bank of Ghana (BoG).

    This disclosure came during the 116th regular meeting of the Monetary Policy Committee (MPC), where discussions included global and macroeconomic developments, as well as an assessment of the economy and risks related to inflation.

    The funds are intended to assist banks in overcoming financial challenges associated with the Debt Service Suspension Initiative (DDEP).

    The Ministry of Finance initiated the disbursement under this program in the previous year, established by the government to alleviate the financial impacts of the DDEP.

    This initiative is part of Ghana’s three-year $3 billion Extended Credit Facility (ECF) program with the International Monetary Fund (IMF), signed in 2022 to provide balance of payment support, restore macroeconomic stability, spur growth, and address the country’s increasing public debt.

    While the specific banks benefiting from the GFSF were not mentioned by Dr. Addison, he highlighted that, despite challenges, the banking industry remained robust and profitable. The sector’s performance improved, with ongoing recapitalization efforts by shareholders and support from the GFSF contributing to its stability, as indicated by the latest stress tests.

    “As at the end of 2023, the data shows that the banking sector re­mains stable, liquid, and profitable. Profitability improved for the sec­tor from the loss position record­ed in the 2022 audited accounts, reflecting sustained increases in net interest income and fees and commissions,” the Chairman of the MPC stated.

    He said the industry’s balance sheet was generally strong, un­derscored by increased assets in December 2023, funded largely by deposits.

    “Key financial soundness indica­tors remained broadly positive with the Capital Adequacy Ratio (adjust­ed for reliefs) above the regulatory minimum, while liquidity and profitability ratios were higher in December 2023 compared to the same period last year,” Dr Addison stated.

    Dr. Ernest Addison, the Governor of the Bank of Ghana, reported that the Non-Performing Loan (NPL) ratio increased in 2023 due to general repayment challenges faced by borrowers. This development reflected the impact of macroeconomic challenges encountered in 2022.

    Regarding the recapitalization of banks, Dr. Addison stated that some banks were ahead of the 2026 recapitalization deadline, and some had already sought additional funds from their shareholders to bolster their capital.

    He emphasized that the Bank of Ghana did not have concerns about the capital levels of the banks. According to him, the profits declared by the banks in the previous year were sufficient to meet their capital requirements.

    “The Bank is closely monitoring the capital restoration efforts of the banks in line with approved plans, including through support from the Ghana Financial Stabil­ity Fund. It is expected that early recapitalisation and effective risk management by banks will help promote overall banking sector stability and resilience and ensure effective financial intermediation to strengthen the economic recovery efforts,” Dr Addison said.

  • BoG cut its Monetary Policy Rate to 29%

    BoG cut its Monetary Policy Rate to 29%

    Bank of Ghana (BoG) has decided to reduce its Monetary Policy Rate by one percent.

    This adjustment brings the reference rate used by commercial banks for lending down from 30 to 29 percent, marking the first decrease in six months.

    The rate had remained at 30 percent since July 2023 as a measure to control inflation.

    The move to lower the rate was influenced by factors such as a significant decline in inflation, a stable currency rate, and robust economic growth both domestically and globally, according to the Bank of Ghana’s 116th monetary policy announcement.

    Dr. Ernest Addison, the Governor, emphasised the central bank’s commitment to monitoring developments and responding appropriately to mitigate potential risks to inflation.

    The decision was welcomed by the business community and industry players who had advocated for a rate reduction to stimulate operational activities and enhance credit availability to the private sector.

    “Headline inflation declined sharply by more than 30 percentage points in the course of 2023. Several factors have supported the disinflation process, namely the tightening monetary policy stance throughout 2023, favourable international crude oil prices, which led to stable ex-pump prices and transportation costs, and relative stability in the exchange rate. The latest forecast suggests that the disinflation process will continue, and headline inflation is expected to ease to around 13–17 percent by the end of 2024, before gradually trending back to within the medium-term target range of 6–10 percent by 2025.”

    “These forecasts notwithstanding, there are upside risks to the inflation outlook and there is need for strict implementation of the 2024 budget and a tight monetary policy stance to sustain the disinflation process. The Committee noted the emerging recovery but sees the need to maintain a strong policy stance to consolidate the disinflation gains. Under these circumstances, the Committee decided to reduce the Monetary Policy Rate by 100 basis points to 29 percent.”

    “On the domestic economic front, there are clear indications that the current macroeconomic framework being implemented with the IMF PCF programme is yielding positive results. The macroeconomic fundamentals have all trended in the right direction. Both headline and core inflation are declining and projected to desolate further. Inflation expectations seem well-anchored. Fiscal policy implementation is broadly in line with expectations.

    “The current account balance is in surplus and will likely remain so in the near term. The foreign exchange build-up has been strong and should support the stable exchange rate outlook. The benchmark key interest rate indicator, the United One Day Treasury Bill Rate, also declined over a year in response to macroeconomic conditions,” he stated.

  • IMF credits BoG’s account with second tranche of 600m US dollars

    IMF credits BoG’s account with second tranche of 600m US dollars

    Bank of Ghana has confirmed the receipt of US$600 million as the second installment of Ghana’s bailout package with the International Monetary Fund (IMF).

    This financial injection, designated for budget support and stabilisation of the local currency, was officially credited to the Central Bank’s account on Tuesday, January 23, 2023.

    With this, Ghana has now received a total of US$1.2 billion out of the approved $3 billion under the three-year extended credit facility initiated in May of the previous year.

    Unlike the first tranche, which aimed to address Ghana’s balance of payment issues, the entirety of the second tranche will be used to fund projects and programs outlined in the 2024 budget.

    The IMF approved the second tranche last Friday, following Ghana’s successful negotiations with bilateral lenders, including China and France, a crucial step that triggered the disbursement.

    The IMF highlighted Ghana’s positive performance under the program, with implemented reforms yielding positive outcomes and signs of economic stabilisation becoming apparent.

    Barring unforeseen circumstances, the next IMF program review for the third tranche of US$720 million is scheduled in six months.

    In addition to the funds from the IMF, the second tranche has facilitated additional financial support from other international donors. The World Bank’s Executive Board is set to provide approximately $300 million in budget support for Ghana, following an agreement in principle on the key parameters of the proposed debt restructuring reached by the Official Creditors’ Committee under the G20 Common Framework.

    This disbursement aims to aid Ghana’s recovery, attract investments, and restore a sustainable growth path while addressing the country’s debt sustainability.

    The Board’s approval on January 23, 2023, will be followed by the World Bank’s disbursement of $250 million as part of its contribution to the Ghana Financial Stability Fund. This contribution is expected to assist banks significantly affected by the Domestic Debt Exchange Programme.

  • BoG to launch e-Cedi before close of 2026 – Dr Ernest Addison

    BoG to launch e-Cedi before close of 2026 – Dr Ernest Addison

    Bank of Ghana (BoG) Governor Dr. Ernest Addison has reassured the public that the eagerly awaited e-Cedi, Ghana’s digital currency, will be launched before the close of 2026.

    While acknowledging progress in the e-Cedi’s development, he attributed the delay to economic disruptions caused by the events of 2022.

    During an interview on the sidelines of the Eastern Caribbean Central Bank (ECCB) 40th anniversary and Central Banking Autumn meetings in Saint Kitts and Nevis in November 2023, Dr. Addison hinted that the launch might occur earlier, expressing the need to comprehend the commercial aspects better.

    After the successful pilot phase in Sefwi Asafo, discussions on the e-Cedi’s commercial aspects began. However, the onset of the COVID-19 pandemic and the resulting economic crisis led the central bank to temporarily halt the digitization process.

    “Probably, it could be earlier than that. As I mentioned, we have reached a point of trying to understand the commercials a little bit more,” said Dr. Addison during an interview held on the side-lines of the Eastern Caribbean Central Bank (ECCB) 40th anniversary and Central Banking Autumn meetings in Saint Kitts and Nevis in November 2023.

    Despite the setback, the central bank remains optimistic about the e-Cedi’s future.

    In December 2023, winners of Ghana’s inaugural e-Cedi hackathon were announced, showcasing the fintech community’s enthusiasm. The competition encouraged innovation and partnerships around the central bank’s digital currency.

    Dr. Addison provided insights into the e-Cedi pilot’s status, highlighting its offline operational capacity.

    The pilot, conducted in remote areas, featured an offline version to ensure usability in regions with limited connectivity infrastructure.

    Positive results demonstrated the e-Cedi’s potential success.

    While economic challenges prompted a reevaluation of priorities in 2022, progress toward launching the e-Cedi is ongoing. The central bank aims to replicate traditional cash attributes with a retail token-based CBDC, stored locally on devices.

    “The e-Cedi’s successful deployment could have a significant impact on the country, helping to augment the government’s digitalization agenda and foster financial inclusion,” Dr. Addison stressed. With the e-Cedi hackathon serving as a milestone, anticipation builds for its official launch, expected to bring transformative changes to Ghana’s financial ecosystem.

  • We expect continued relief from inflation in 2024 – BoG Governor

    We expect continued relief from inflation in 2024 – BoG Governor

    The Bank of Ghana (BoG) foresees a further alleviation of inflation in 2024, buttressed by the sustained implementation of sound policies, with the aim of firmly anchoring inflation expectations towards the single-digit target.

    A significant positive shift has been noted over the past year, witnessing a substantial reduction in inflation from approximately 54 percent to 23 percent by the conclusion of 2023.

    In a concise statement following the successful completion of the First Review of the Extended Credit Facility (ECF) Programme with the International Monetary Fund (IMF) on January 19, 2024, Governor Dr. Ernest Addison underscored the central bank’s unwavering commitment to monitoring both domestic and external developments.

    The primary objective is to respond judiciously, ensuring the sustainability of the recent decline in inflation without compromising economic growth.

    Dr. Addison highlighted the favorable experience of 2023, marked by a noteworthy reduction in inflation and heightened economic growth.

    Shifting focus to the banking sector, he reassured stakeholders that it remains robust, liquid, and profitable. The Bank of Ghana is set to closely monitor banks’ initiatives for capital restoration, especially in light of the impact of the Domestic Debt Exchange Programme (DDEP).

    Anticipating early recapitalization, Dr. Addison emphasized its potential to fortify the resilience of the banking sector and facilitate effective financial intermediation, contributing significantly to macroeconomic recovery.

    Discussing the completion of the First Review of the ECF Programme, Dr. Addison stressed the imperative of sustained vigilance and commitment throughout 2024 to implement the envisioned structural reforms.

    While acknowledging the challenges ahead, he expressed confidence in the ongoing economic recovery process.

    He underscored the critical importance of executing necessary structural reforms to support a more efficient functioning of the economy, ensuring its long-term sustainability.

    Looking ahead, he urged the country to prepare for the second review of the program and highlighted the pivotal role of structural reforms in achieving a well-functioning and sustainable economy.

    “Let me say that in all these matters, as I have always admonished, it is good for the mining companies, and the Chamber to carry the communities along.

    “What I can assure you is that the government is fully committed to providing adequate security for your concessions. Because it is when your concessions are safe that you can work in peace to support the government. So, whatever we need to do is to ensure that your concessions are safe…..we will do it”, he explained.

    “And in this regard, I will continue to count on the leadership of the Chamber. If there are specific or special cases we need to deal with let us know and we will take the necessary steps to deal with them”, he added.

  • Ghana’s economic performance exceeds expectations – IMF

    Ghana’s economic performance exceeds expectations – IMF

    The International Monetary Fund (IMF) has revealed that Ghana’s performance under the Fund program has been robust, with all quantitative performance criteria for the first review and nearly all indicative targets and structural benchmarks being met.

    In a statement following the Executive Board Concluding of the 2023 Article IV Consultation with Ghana and First Review under the Extended Credit Facility Arrangement, the Fund commended Ghana for being on track to lower the fiscal primary deficit by about 4 percentage points of GDP in 2023.

    The statement highlighted that spending remained within program limits, and the authorities (Ministry of Finance, Bank of Ghana) significantly expanded social protection programs to mitigate the impact of the crisis on the most vulnerable population. Ghana also met its non-oil revenue mobilization target on the revenue side.

    “Spending has remained within program limits. To help mitigate the impact of the crisis on the most vulnerable population, the authorities [Ministry of Finance, Bank of Ghana] have significantly expanded social protection programmes. On the revenue side, Ghana has met its non-oil revenue mobilization target”, the statement pointed out.

    Moreover, the statement acknowledged Ghanaian authorities’ progress on their debt restructuring strategy, emphasizing the completion of domestic debt restructuring and an agreement with the Official Creditor Committee (OCC) under the G20’s Common Framework. This agreement paved the way for the Executive Board review to be completed.

    The IMF noted that ambitious structural fiscal reforms in Ghana are enhancing domestic revenues, improving spending efficiency, strengthening public financial and debt management, preserving financial sector stability, enhancing governance and transparency, and creating a more conducive environment for private sector investment.

    The statement pointed out that the authorities’ reform efforts are yielding positive results, with signs of economic stabilization such as resilient growth in 2023, declining inflation, and improvements in the fiscal and external positions.

    Looking ahead, the IMF stressed the importance of steadfast policy and reform implementation for fully restoring macroeconomic stability, debt sustainability, and fostering sustainable economic growth and poverty reduction.

    Deputy Managing Director and Acting Chair, Bo Li, acknowledged Ghana’s economic performance amid significant volatility. He emphasized the positive results of the authorities’ efforts to reorient macroeconomic policies, restructure debt, and implement wide-ranging reforms. Bo Li highlighted the need for continued efforts, including reducing deficits, finalizing comprehensive debt restructuring, protecting the vulnerable, and implementing reforms to improve tax administration, fiscal rules, institutions, and SOEs management.

    He also emphasized the importance of maintaining an appropriately tight monetary stance, enhancing exchange rate flexibility, and addressing issues in the financial sector to achieve the program’s objectives. Bo Li concluded by stressing the need for reforms to create a conducive environment for private investment and promoting a green recovery to address Ghana’s exposure to climate shocks.

  • Strong and innovative policies behind inflation decline – BoG Governor

    Strong and innovative policies behind inflation decline – BoG Governor


    The Governor of the Bank of Ghana (BoG), Dr. Ernest Addison, has asserted that the recent inflation trends indicate the economy is on track, with inflation dropping from 54 percent to 23 percent by the end of 2023.

    Dr. Addison attributes this to robust policies, tight monetary conditions, and exchange rate stability.

    Factors supporting the disinflation process include stable crude oil prices, leading to steady fuel prices, and a resilient exchange rate.

    He cited “monetary policy stance throughout 2023, stable crude oil prices which led to stable fuel prices with favourable impact on transportation costs, a relatively stable exchange rate environment, stronger FX reserve accumulation due to the gold for reserve programme, and favourable climatic conditions on the food supply chain process,” as the factors.

    Looking ahead to 2024, he said, the expectation is for inflation to ease further, underpinned by continued implementation of sound policies till inflation expectations are firmly anchored towards our single digit objective.

    “In this regard, the Bank of Ghana will continue to monitor both domestic and external developments and respond appropriately to ensure that the downward inflation trajectory observed in recent months is sustained without undermining growth. The 2023 experience of a strong reduction in inflation and stronger growth is instructive,” Dr Addison said during the joint Ghana-International Monetary Fund (IMF) press conference in Accra on Friday, January 19 on completion of the First Review of the Extended Credit Facility (ECF) Programme

    Looking ahead to 2024, he anticipates further easing of inflation, emphasizing the need for sound policies.

    Dr. Addison assures the banking sector’s soundness, liquidity, and profitability but underscores the importance of monitoring capital restoration efforts.

    He encouraged early recapitalization for sector resilience and effective financial intermediation.

    While recognizing 2024’s challenges, Dr. Addison expresses confidence in the economic recovery process and underscores the necessity of structural reforms for long-term sustainability.

  • BoG Governor reiterates commitment to introducing e-Cedi before the year 2026

    BoG Governor reiterates commitment to introducing e-Cedi before the year 2026

    Bank of Ghana Governor (BoG) Dr. Ernest Addison has reassured the public that the launch of the much-anticipated e-Cedi, the country’s digital currency, will take place before the end of 2026.

    The Governor acknowledged progress made in the e-Cedi’s development but attributed the delay in its launch to economic dislocation caused by the events of 2022.

    “Probably, it could be earlier than that. As I mentioned, we have reached a point of trying to understand the commercials a little bit more,” said Dr. Addison during an interview held on the sidelines of the Eastern Caribbean Central Bank (ECCB) 40th anniversary and Central Banking Autumn meetings in Saint Kitts and Nevis in November 2023.


    Following the successful completion of the pilot phase in Sefwi Asafo, discussions on the commercial aspects of the e-Cedi were initiated. However, the onset of the COVID-19 pandemic and the resulting economic crisis led the central bank to temporarily halt the digitization process, shifting priorities.

    Despite the setback caused by economic challenges, the pilot was a crucial step in the country’s plan to enhance financial inclusion and promote digitalization. The central bank remains optimistic about the future of the e-Cedi.

    In December 2023, the Bank of Ghana announced the winners of the country’s first-ever e-Cedi hackathon, showcasing the fintech community’s enthusiastic engagement. The competition aimed to encourage innovation and partnerships around the central bank’s new digital currency. Out of 88 initial applicants, 10 finalists were selected to present their e-Cedi solutions, covering areas such as agriculture, government payments, business transactions, taxation, and more.

    Dr. Addison provided insights into the current status of the e-Cedi pilot, emphasizing its offline operational capacity.

    “The central bank did a lot of things due to favourable conditions at the end of 2019,” he explained. The pilot, conducted in some of the country’s remotest parts, featured an offline version of the digital currency to ensure usability in areas with limited connectivity infrastructure.

    “The Ghanaian population is used to mobile money, so the concept of a digital currency was easily absorbed—it’s not an alien concept to people,” Dr. Addison highlighted. Positive results from the pilot, wherein participants were given a certain value to spend within their locality, demonstrated the e-Cedi’s potential success.

    While the economic challenges of 2022 prompted a reevaluation of priorities, Dr. Addison emphasised that progress towards launching the e-Cedi is ongoing. The central bank’s adoption of a retail token-based CBDC, stored locally on various devices, aims to replicate the traditional attributes of physical cash while incorporating additional functionalities.

    “The e-Cedi’s successful deployment could have a significant impact on the country, helping to augment the government’s digitalization agenda and foster financial inclusion,” Dr. Addison stressed. The Bank of Ghana seeks to reinforce its role as an active regulator and facilitator of a digital economy, aligning with the nation’s evolving financial landscape.


    As Ghana makes strides in its digital currency initiatives, the e-Cedi hackathon stands out as a pivotal milestone, playing a significant role in promoting innovation and aligning with the country’s objectives of enhancing financial access and embracing digital transformation.

    With the Bank of Ghana’s Governor providing assurances, expectations are high for the imminent official launch of the e-Cedi, anticipated to usher in transformative changes to the nation’s financial ecosystem.

  • Fitch Solutions projects 8% decline in BoG’s policy rate

    Fitch Solutions projects 8% decline in BoG’s policy rate

    Fitch Solutions has projected that the Bank of Ghana (BoG) will initiate a significant monetary easing cycle, resulting in a cumulative reduction of the policy rate by 800 basis points to 22.00% by the end of 2024.

    The UK-based firm attributes this anticipated move to a substantial moderation of headline inflation in the country.

    “With inflation moderating substantially through 2024, we anticipate that the BoG will embark upon a sizeable monetary easing cycle, cutting the policy rate by a cumulative 800bps to 22.00% by year-end.”

    Fitch Solutions also noted that there is typically a 12-month time lag for interest rate adjustments to impact the real economy, owing to delays in monetary transmission mechanisms.

    Consequently, the firm believes that the Bank of Ghana’s dovish monetary policy stance is unlikely to lead to a sudden increase in real loan growth, a factor that has remained in contractionary territory from January to August 2023.

    Since 2021, the Bank of Ghana has raised the benchmark policy rate by 1,150 basis points to 30.00%, thereby restricting access to corporate credit.

    Additionally, the Monetary Policy Committee of the Bank of Ghana is scheduled to conduct its 116th regular meetings from Tuesday, January 23 to Friday, January 26, during which it will assess developments in the economy.

  • Treasury bills see oversubscription by GH¢380 million, interest rates are still high

    Treasury bills see oversubscription by GH¢380 million, interest rates are still high


    In the auction held on January 5, 2023, the government successfully raised GH¢3.218.94 billion, exceeding the target of GH¢2.837 billion for the week.

    This oversubscription amounted to GH¢381.94 million.

    Throughout 2023, interest rates have been on the rise, surpassing 33% for the 365-day bill.

    The recent auction results from the Bank of Ghana indicate that interest rates for the 91-day and 182-day bills stand at 29.19% and 31.74%, respectively, while inflation is at 38.1%.

    Notably, Ghana’s interest rate remains the highest in Africa, at around 32%.

    In this week’s auction, all bids submitted were not accepted, with the 91-day bill receiving a total subscription of GH¢2.14 billion, the 182-day bill GH¢595.72 billion, and the 364-day bill GH¢479.43 million.

    The government’s next auction target is set at GH¢2.63 billion.

  • BoG grants approval for 16 FX brokers to commence operations in 2024

    BoG grants approval for 16 FX brokers to commence operations in 2024

    Bank of Ghana has granted approval to 16 Foreign Exchange (FX) brokers to commence operations on the Ghana Interbank Forex Market from January 1 to December 31, 2024.

    This authorization aligns with Section 3.13.1 of the Ghana Interbank Forex Market Rules, stipulating that local and international FX Brokers must receive prior approval from the Bank of Ghana at the beginning of each year.

    The approved FX Brokers include Black Star Brokerage, CSL Capital, Fenics MD, ICAP Broking Services South Africa, Obsidian Archerner, Regulus, Sarpong Capital, Savvy Securities, Terika Financial Services Ltd., Serengeti Limited, IC Securities, GFX Brokers, Laurus Africa, Shadeya Investments, Apakan Securities, and SIC Brokerage.

    However, the Bank of Ghana emphasised its right to delist any authorised FX Broker for non-performance or non-compliance with the FX Act and the Interbank FX Market Conduct rules.

    It further cautioned FX Brokers operating in the country “not to deal directly with a corporate entity; it shall not also buy or sell foreign exchange for its own account nor hold, borrow or lend foreign exchange to an authorised market participant.”

  • BoG unveils timetable for 2024 Monetary Policy Committee sessions

    BoG unveils timetable for 2024 Monetary Policy Committee sessions

    The Bank of Ghana’s Monetary Policy Committee (MPC) has issued its timetable for 2024, a move designed to provide clarity and assurance to the financial markets.

    During these scheduled meetings, the MPC conducts assessments of the current economic landscape and evaluates the anticipated inflation outlook.

    Following thorough deliberations, the committee members finalize decisions on the monetary policy rate through a democratic process, employing a one-person one-vote basis. In instances where a unanimous decision proves challenging, the committee strives to reach a consensus.

    The MPC’s meetings for the year 2024 are organized as follows:

    The first meeting is scheduled from January 23 to 26, concluding with a press conference on January 29. Subsequently, the second meeting will take place from March 20 to 22, with a press conference on March 25.

    Moving forward, the third meeting is set for May 22 to 24, wrapping up with a press conference on May 27. The fourth meeting will occur from July 23 to 26, ending with a press conference on July 29.

    The fifth meeting is slated for September 25 to 27, concluding with a press conference on September 30. Finally, the last meeting for 2024 is planned for November 20 to 22, ending with a press conference on November 25.

    This comprehensive timetable serves to keep stakeholders well-informed about the MPC’s activities and decision-making processes throughout the upcoming year.

  • $120m to be auctioned by BoG to BDCs in Q1 2024

    $120m to be auctioned by BoG to BDCs in Q1 2024

    The Bank of Ghana has announced plans to auction $120 million to Bulk Oil Distribution Companies (BDCs) in the first quarter of 2024.

    According to the Forex Forward Auction Calendar, $40 million will be sold to BDCs each month during this period.

    In January 2024, the Central Bank will conduct auctions on January 11 and January 30, with each auction offering $20 million to the BDCs.

    Similarly, two auctions will be held in February 2024 on February 14 and February 28, each offering $20 million. In March 2024, auctions are scheduled for March 14 and March 28, also providing $20 million each.

    The Bank of Ghana specified that the timelines for each auction would be between 9:30 am and 10:30 am on the date of the auction, with the auction announcement at 3:00 pm on the same day.

    The BDCs Forex Forward Auction will be governed by guidelines available on the Bank of Ghana website.

    This initiative aims to ensure that oil importers have sufficient foreign exchange to purchase finished oil products for consumption, ultimately reducing the demand for forex.

  • Dollar selling at GHS12.20 at forex, BoG interbank rate at GHS11.65 

    Dollar selling at GHS12.20 at forex, BoG interbank rate at GHS11.65 


    As of December 25, 2023, the Interbank forex rates released by the Bank of Ghana indicate that the Ghana Cedi is currently valued at a buying rate of 11.6399 and a selling rate of 11.6515 against the US Dollar.

    In Accra’s Forex bureaus, the exchange rate for purchasing the US Dollar is 12.00, while the selling rate is 12.20.

    Against the Pound Sterling, the Ghana Cedi is trading at a buying rate of 14.8067 and a selling rate of 14.8239. In Accra’s Forex Bureau, the Pound Sterling is bought at a rate of 15.00 and sold at a rate of 15.40.

    The Euro has a buying rate of 12.8197 and a selling rate of 12.8323, and in Accra’s Forex Bureau, it is bought at 12.80 and sold at 13.30.

    For the South African Rand, the buying rate is 0.6301, the selling rate is 0.6307. In Accra’s forex bureaus, it is bought at a rate of 0.40 and sold at a rate of 1.10.

    The Nigerian Naira is traded at a buying rate of 77.7534 and a selling rate of 77.8814. In Accra, the Nigerian Naira is bought at a rate of 9.00 Naira for every 1 Cedi and sold at a rate of 15.00.

    Regarding the CFA, the buying rate is 51.1176, and the selling rate is 51.1679. In Accra’s Forex bureaus, the CFA is bought at a rate of 17.20 for every 1 Cedi and sold at a rate of 19.80 for every 1 Cedi.

  • Banks recorded GHS3.19b bad debt in October 2023 – BoG

    Banks recorded GHS3.19b bad debt in October 2023 – BoG


    In October 2023, banks wrote off ¢3.19 billion as bad debt, marking a 9.5% year-on-year increase, as per the Bank of Ghana’s Domestic Banks Income Statement.

    This amount exceeded the ¢2.92 billion recorded in the same period in 2022, with provisions taking various forms, including loan losses and depreciation.

    The Bank of Ghana reported that asset quality risks rose in October 2023, evident in the increased Non-Performing Loans (NPL) stock and NPL ratio during the period.

    The industry’s NPL ratio surged to 18.3% in October 2023 from 14.0% in October 2022, driven by higher growth in the NPL stock and a contraction in gross loans during the review period.

    Similarly, the NPL ratio adjusted for the fully provisioned loan loss category increased from 3.9% to 6.4% during the same comparative period.

    The NPL stock saw an 18.8% increase to ¢13.5 billion in October 2023 from ¢11.3 billion in October 2022, reflecting a deterioration in domestic currency loans.

    In October 2023, the private sector accounted for the largest share of nonperforming loans, constituting 93.8% of the total.

    The industry’s NPL ratio reflected a deterioration in NPL ratios for five economic sectors, while three reported improvements during the review period.

    Among economic sectors, the agriculture, forestry, and fishing sector recorded the highest NPL ratio of 37.4%, marking a sharp increase from 22.4% a year ago. The construction sector followed with an NPL ratio of 36.9%, up from 31.7% a year earlier.

    The transportation, storage, and communication sector recorded the highest year-on-year increase in NPL ratio, rising to 27.3% from 11.2%, while the commerce and finance sector’s NPL ratio increased to 19.6% from 15.9% over the same comparative period.

    However, the NPL ratios of the electricity, water and gas, manufacturing, and mining and quarrying sectors declined to 8.3%, 13.8%, and 4.1% in October 2023 from their respective positions of 11.1%, 14.6%, and 4.6% in October 2022.

  • Let’s make inflation drop to a single digit – Ofori-Atta urges BoG

    Let’s make inflation drop to a single digit – Ofori-Atta urges BoG

    Finance Minister Ken Ofori-Atta has lauded the successful collaboration between the Treasury and the Bank of Ghana, resulting in a significant reduction in inflation from a peak of 54.1% to 26.4%.

    Speaking at the Bank of Ghana’s End-of-Year Cocktail, Ofori-Atta expressed pride in the collective effort to reset the financial architecture.

    Despite facing challenges over the past three years, he emphasized that the country has turned the corner toward a more resilient and transformed economy.

    “Together, we have strived to reset our financial architecture”.

    “And despite the challenges over the last three years, I am proud that we have ‘turned the corner’ toward a more robust and transformed economy”, he added.

    Mr Ofori-Atta said: “Indeed, amidst these trials, our united front in managing the Bank of Ghana’s balance sheet has been nothing short of heroic.”

    “More importantly, the Ghana Statistical Services (GSS) reported that inflation has slowed down to 26.4% in November 2023 from 35.2% in October 2023”, he pointed out, adding: “In effect, the Bank and the Treasury’s collaborative efforts have halved inflation (from 54.1% in December 2022) in under 12 months”.

    The Finance Minister acknowledged the heroic efforts in managing the Bank of Ghana’s balance sheet amidst trials.

    He highlighted the positive impact of the collaborative efforts, stating that inflation has halved from 54.1% in December 2022 to 26.4% in November 2023, as reported by the Ghana Statistical Service.

    While welcoming the news of slowing inflation, Mr Ofori-Atta acknowledged that many people still face severe cost-of-living pressures.

    He emphasized the need to stay the course and continue working towards reducing inflation to single digits as quickly as possible.

    Looking ahead to 2024, the Finance Minister called for pushing boundaries, working with equanimity, and dispelling any sense of nihilism.

    He expressed confidence that, despite the ongoing journey, Ghana will not only prevail but also move towards a more prosperous future with economic freedom and social mobility for all.

  • Dollar selling at GHS12.25 at forex, BoG interbank rate at GHS11.64 

    The Bank of Ghana’s Interbank forex rates for today, December 19, 2023, reveal the trading values of the Ghana Cedi against various foreign currencies.

    Against the US Dollar, the Cedi is listed at a buying price of 11.6373 and a selling price of 11.6489.

    However, at a Forex bureau in Accra, the dollar is being bought and sold at slightly different rates, with a buying rate of 12.10 and a selling rate of 12.25.

    Moving to the Pound Sterling, the Cedi’s buying price is 14.7258, and the selling price is 14.7417. At a Forex Bureau in Accra, the Pound Sterling is being bought at a rate of 15.10 and sold at 15.50.

    For the Euro, the Cedi has a buying price of 12.7122 and a selling price of 12.7248. Meanwhile, at a Forex Bureau in Accra, the Euro is being bought at a rate of 12.80 and sold at 13.30.

    The South African Rand trades at a buying price of 0.6247 and a selling price of 0.6252. In Accra’s forex bureau, it is bought at a rate of 0.40 and sold at 1.10.

    The Nigerian Naira has a buying price of 68.6630 and a selling price of 69.0770. In Accra’s forex bureau, it is bought at a rate of 9.00 Naira for every 1 Cedi and sold at 15.00. Lastly, for the CFA, the buying price is 51.5495, and the selling price is 51.6006. At a forex bureau in Accra, it is bought at a rate of 17.30 CFA for every 1 Cedi and sold at 19.80 CFA for every 1 Cedi.

  • Ghana’s tourist arrivals surge by 17.8% in Q3 2023 – BoG

    Ghana’s tourist arrivals surge by 17.8% in Q3 2023 – BoG


    The Bank of Ghana (BoG) has released data indicating a significant surge in tourist arrivals, recording 304,171 individuals in the third quarter of the current year.

    This marks a notable increase from the 258,246 visitors recorded in 2022, reflecting an impressive annual growth rate of 17.8%. The central bank attributes this rise to a boost in tourism-related activities during the specified review period.

    In contrast, a recent report from Joynews reveals a decline in international trade at Ghana’s principal harbors, Tema and Takoradi.

    The decline is specifically observed in laden container traffic for both inbound and outbound containers during the third quarter of 2023.

    The total container traffic witnessed a decrease of 2.1%, dropping from 158,514 in the second quarter of 2023 to 155,146.

    “Total container traffic for inbound and outbound containers decreased by 2.1% to 155,146, from 158,514 recorded in Q2 2023,” the news portal said.

    Analysts link this downturn in port activities to subdued international trade dynamics and point to ongoing geopolitical tensions as additional contributing factors during the review period.

  • Ghana’s economy to improve in 2024 – BoG Governor

    Ghana’s economy to improve in 2024 – BoG Governor

    Bank of Ghana (BoG) Governor Dr. Ernest Addison has expressed confidence in the economic outlook for 2024.

    Speaking at the BoG’s end-of-year cocktail event, Dr. Addison highlighted his optimism, anticipating a “significant improvement in the operating environment for businesses” in the coming year.

    He affirmed that the policy mix under the IMF-supported Post COVID-19 Programme for Economic Growth (PC-PEG) is yielding positive results.

    Dr. Addison noted that despite inflation reaching a peak of 54.1 percent in December 2022, it declined to 26.4 percent in November 2023, emphasizing that the high inflation in 2022 was a temporary anomaly.

    He also pointed out improvements in the country’s external sector position, with the build-up of foreign exchange reserves contributing to forex market stability.

    “As you are aware, there has been considerable noise from our detractors who have celebrated the high inflation recorded in 2022. Today, we are vindicated that inflation in 2022 was just a blip and we are quickly returning to where we were before the crisis,” he stated.

    The Governor highlighted positive signals from high-frequency economic indicators, suggesting a likelihood of surpassing GDP growth projections for 2023.

    He emphasized the evolving role of central banks in the face of global challenges and credited the economy’s progress to effective collaboration between the BoG and Ministry of Finance.

    Dr. Addison reassured attendees about the stability of the financial sector, noting that banks’ profitability remained robust through October 2023, and the industry’s capital adequacy ratio exceeded the revised prudential minimum.

    In November, the BoG’s Monetary Policy Committee (MPC) maintained the benchmark policy rate at 30 percent, citing indications of greater macroeconomic stability.

    Finance Minister Ken Ofori-Atta also spoke at the event, highlighting achievements such as the establishment of the Consolidated Bank of Ghana and the Development Bank raising US$10 billion in Eurobonds.

    He expressed confidence in continuing policies to ensure economic freedom and social mobility in 2024.

  • Dollar selling at GHS12.25 at forex, BoG interbank rate at GHS11.64 

    Today, on December 18, 2023, the Bank of Ghana has released the Interbank forex rates, revealing the current exchange rates for various currencies against the Ghana Cedi.

    The Ghana Cedi is trading against the United States Dollar (USD) at a buying price of 11.6373 and a selling price of 11.6489 according to the Interbank rates. In Forex bureaus in Accra, the dollar is being bought at a rate of 12.05 and sold at 12.25.

    Against the Pound Sterling (GBP), the Cedi is trading at a buying price of 14.7933 and a selling price of 14.8093. At Forex Bureaus in Accra, the pound sterling is being bought at a rate of 15.00 and sold at a rate of 15.40.

    For the Euro (EUR), it is trading at a buying price of 12.7079 and a selling price of 12.7206. In Forex Bureaus in Accra, the Euro is being bought at a rate of 12.80 and sold at a rate of 13.30.

    The South African Rand (ZAR) is trading at a buying price of 0.6362 and a selling price of 0.6367. In Forex bureaus in Accra, the South African Rand is being bought at a rate of 0.40 and sold at a rate of 1.10.

    The Nigerian Naira (NGN) is trading at a buying price of 68.2069 and a selling price of 68.2396. In Forex bureaus in Accra, the Nigerian Naira is being bought at a rate of 9.00 Naira for every 1 Cedi and sold at a rate of 15.00.

    As for the West African CFA (CFA), it is trading at a buying price of 51.5665 and a selling price of 51.6180.

    In Forex bureaus in Accra, the CFA is being bought at a rate of 17.30 for every 1 Cedi and sold at a rate of 19.80 for every 1 Cedi.

    These rates are provided by Afriswap Bureau De Change in Osu, Accra.

  • Be careful of schemes with sophisticated products – BoG to public

    Be careful of schemes with sophisticated products – BoG to public

    The Bank of Ghana (BoG) has issued a caution to consumers regarding schemes that promote sophisticated products to the general public, which may not be easily understood.

    The Central Bank warns that such schemes could be Ponzi schemes designed to attract unsuspecting individuals to invest in fraudulent products.

    In a circular to the public, it said “beware of institutions whose operations overly revolve around one person, such as the Chief Executive Officer”.

    “For example, it should be a source of concern if payment of matured investments cannot be made to customers because the Manager has travelled”, it explained.

    “Is the interest rate offered to you far above the industry average or the Treasury Bill Rate? Be careful! If the interest rate looks too good to be true, it is probably not true”.

    It further cautioned consumers to exercise caution with institutions that urgently request them to renew their investments, even when it goes against their preferences.

    “It could be a warning sign of an emerging crisis”, it added.

    It encouraged the public to reach out to the Bank of Ghana Market Conduct Office for any inquiries.

  • #OccupyBOG Demo: Tell us when you are ready to receive our petition – Minority to Dr Addison

    #OccupyBOG Demo: Tell us when you are ready to receive our petition – Minority to Dr Addison


    The Minority in Parliament has issued a letter directed to the governor of the Bank of Ghana (BOG), Dr. Ernest Addison, seeking confirmation of his availability to receive their petition.

    The correspondence comes in the aftermath of the #OccupyBOG demonstration, where the Minority group passionately called for the resignation of Dr. Addison and his deputies.

    During the protest, the Minority faced challenges presenting their petition directly to the BOG governor due to his unavailability.

    Insistent on the significance of a personal handover, the Minority, in their letter dated Monday, 11 December 2023, emphasized the need for Dr. Addison to be physically present to accept their petition.

    The letter, signed by Minority leader Dr. Cassiel Ato Forson, urges Dr. Addison to communicate his availability by Monday, 18 December 2023, ensuring a proper and direct transfer of their concerns.

    Below is the statement from the Minority Caucus

  • Ghana Financial Stability Fund has kickstarted, yet to be launched – BoG

    Ghana Financial Stability Fund has kickstarted, yet to be launched – BoG

    The Governor of the Bank of Ghana (BoG), Dr. Ernest Addison, has revealed that the Ghana Financial Stability Fund (GFSF) has been initiated.

    This announcement was made during a press briefing following a meeting of the Monetary Policy Committee.

    “What maybe left now is the official launch by the Finance Ministry,” he said.

    The Ghana Financial Stability Fund has been established with the primary objective of mitigating potential impacts on financial institutions arising from the Domestic Debt Exchange Programme (DDEP). Additionally, a parallel strategy known as the Insurance Sector Strengthening Strategy (ISSS) is being developed, and the African Development Bank (AfDB) is expected to assist in its implementation by 2024.

    To ensure effective governance of the Fund, the following measures are being implemented:

    a. Investment Committee (IC): The Fund will be governed by a nine-member Investment Committee, with four independent experts recommended by industry associations and approved by the Ministry of Finance (MoF).

    b. Development Partners (DPs): Development Partners may recommend observers to the committee, subject to the approval of the Minister for Finance. Other Development Partners may provide support to Fund A or B, with terms agreed upon with the Government of Ghana.

    c. Regulatory Approval: The Bank of Ghana (BoG) and other relevant regulators will approve recapitalization plans, instruments, and criteria for their respective financial institutions. The Investment Committee will then make investment decisions based on these approvals regarding eligible financial institutions.

    d. Solvency Fund A2 Secretariat: The Ghana Amalgamated Trust (GAT) will serve as the secretariat for Solvency Fund A2 and establish a ring-fenced operational framework for managing the Fund.

    e. Fund A1 Project Unit: Fund A1 will have a project unit at the Ministry of Finance specifically for World Bank funded projects.

    The Bank of Ghana Governor, Dr Ernest Addison is optimistic the fund will help the country’s economic recovery drive.

  • Value of internet banking transactions rose to GHC80bn in 2022 – BoG

    Value of internet banking transactions rose to GHC80bn in 2022 – BoG

    The registered user base for internet banking witnessed a notable increase of 16.40%, rising from 970,435 in 2021 to 1,129,387 in 2022.

    According to the Bank of Ghana’s Payment Systems Oversight Annual Report 2022, the value of internet banking transactions demonstrated a substantial uptick of 43.03%, reaching ¢80.43 billion in 2022, compared to the ¢56.23 billion recorded in 2021

    Similarly, registered mobile banking customers experienced a growth of 15.38%, surging from 5,845,960 in 2021 to 6,745,337 in 2022.

    Likewise, the value of mobile banking transactions was estimated at ¢38.47 billion in 2022, reflecting a growth of 47.34% from ¢26.11 billion in 2021.

    However, the cumulative number of ATMs deployed by banks witnessed a marginal decline of 0.97%, decreasing from 2,278 in 2021 to 2,256 by the end of December 2022.

    Conversely, the number of POS devices increased by 6.13%, rising from 12,643 at the end of December 2021 to 13,418 in December 2022.

  • BoG, Zeepay hold discussion over forex licence suspension

    BoG, Zeepay hold discussion over forex licence suspension

    Zeepay Ghana Limited has initiated discussions with the Bank of Ghana (BoG) to resolve the temporary suspension of its forex license.

    Last week, the Central Bank took this action, citing Zeepay’s failure to use the average interbank exchange rate published by the Ghana Association of Banks and the Bank of Ghana for converting settlement funds into the local currency.

    Zeepay faced a fine for breaching sections 3(1) and 15(3) of the Foreign Exchange Act, 2006 (Act 723). However, in an official statement, Zeepay confirmed that ongoing talks are in progress to address and rectify the situation.

    The company reassured the public of its commitment to strict compliance with all regulatory guidelines and clarified that its general operational license remains unaffected, ensuring its continued business operations.

    “With Reference to the recent Bank of Ghana Notice (Notice No. BG/GOV/SEC/2023/20) dated November 20, 2023, and titled “Fine and Suspension of Forex Licence of Zeepay Ghana Limited”, we write to inform the general public that we are currently in discussions with the Bank of Ghana to resolve the issues raised in the Notice. However, please note that our general operating licence was not expressly impacted by the Bank’s recent decision. We will ensure strict compliance with all regulations and guidelines”, Zeepay said in its statement.

    The sanction according to the Bank of Ghana should serve as a strong warning to all participants in the forex market including banks, forex bureaus, forex brokers, Dedicated Electronic Money Issuers (DEMIs), Enhanced Payment Service Providers (EPSPs) and Money Transfer Operators (MTOs) and that they should “adhere strictly to the applicable forex market regulations and guidelines.”

  • Exporters who do not bring back earnings to Ghana may face a 10-year prison sentence – BoG

    Exporters who do not bring back earnings to Ghana may face a 10-year prison sentence – BoG


    The Bank of Ghana (BoG) is issuing a warning to exporters regarding the necessity of repatriating proceeds to the country.

    Under the Foreign Exchange Act, 2006, Act 723, and the associated Letter of Commitment (LOC), exporters are mandated to bring back proceeds of merchandise through a bank, excluding those with retention arrangements. This repatriation should constitute 100 percent of the export value of all merchandise exports.

    Despite these regulations, some exporters are reportedly violating the law.

    Mr. Eric Kweku Hammond, Assistant Director of the Banking Department at the Bank of Ghana, highlighted that exporters found guilty could face a fine of 5000 penalty units, equivalent to Ghc60,000, or a prison term of up to ten years, or both.

    Speaking at a forum organized by the Ghana Shippers’ Authority (GSA) and BoG, Mr. Kwaku Hammond stressed the significance of repatriating export proceeds. This practice contributes to building reserves, strengthening the local currency, boosting trading activities, and supporting Ghana’s transformation agenda.

    Mr. Kwaku Hammond emphasized the enduring nature of the LOC and assured exporters that collaborative efforts with the BoG could address challenges encountered with the system.

    Charles Darling Asiedu Sey, the Tema branch Manager of the Ghana Shippers Authority, explained that the forum aims to tackle specific challenges faced by exporters.

    He said export holds deep significance for national development stating that “It is the lifeblood contributing significantly to our Gross Domestic Product (GDP), job creation, and government revenue. It plays key role in shaping our economy, fostering international trade relations and positioning Ghana on the global stage”.

    The National Export Development Strategy (NEDS), according to Charles Sey, lays out a bold course for the ensuing ten years.

    “It envisions the growth of non-traditional exports(NTEs) from 2.8 billion dollars in 2020 to a substantial 25.3billion dollars in 2029.This growth is coupled with a profound structural transformation aimed at positioning Ghana as a competitive export -led industrialized economy”.

    He emphasized that the Ghana Shippers’ Authority (GSA) is collaborating with service providers to improve the quality of shipping services. This involves a thorough review of export-related policies, simplifying procedures, reducing bureaucracy, and fostering a more conducive business environment.

    Mr. Sey advocated for ongoing assessments of the export value chain to pinpoint bottlenecks, enhance Ghana’s exportable capacity, and facilitate trade with other countries, with a specific focus on addressing non-tariff barriers.

    The 1st Vice President of the Ghana Institute of Freight Forwarders (GIFF), Paul Kobina Mensah, provided insights into the fundamentals of exports. His presentation covered aspects such as insurance, negotiating favorable trade conditions (INCOTERMS), sales contracts, freight negotiation, high freight charges, and strategies to reduce shipping costs.

    During the forum, participants expressed various concerns, including the surge in freight charges, challenges with the Letter of Commitment (LOC) system, the application of exchange rates higher than the BoG rate at ports, bureaucratic hurdles, and the absence of financial and technical support from the government and regulators.

  • Non-Bank Financial Institutions facing acute liquidity to be closed down – BoG

    Non-Bank Financial Institutions facing acute liquidity to be closed down – BoG

    The Bank of Ghana is set to shutter some Non-Bank Financial Institutions (NBFI) grappling with acute liquidity issues.

    The Central Bank has cited these liquidity challenges as a significant hurdle for these institutions in fulfilling their financial obligations to clients and depositors.

    Despite the regulator’s efforts to sustain these institutions, the difficulties persist, prompting the impending closure. Dr. Ernest Addison, the Governor of the Bank of Ghana, conveyed this information during the Monetary Policy Committee press briefing.

    He highlighted that certain legacy institutions in the non-banking sector are still unable to meet depositor payments.

    “You know that we have some legacy institutions in the non-bank sector that are in a sense not able to meet depositor payments and these are legacy problems.

    “We have not been able to raise the necessary resources which would allow those institutions to be resolved and the depositors’ funds returned to them. It’s an issue that we’re looking closely at under this IMF programme”.

    The Governor, without disclosing the specific institutions, noted that provisions would be made to address the challenges posed by these legacy issues.

    “The plan is to set aside some resources from the budget hopefully, and once those resources are identified, we will take care of that legacy problem in the non-bank financial institution sector”.

    In the period spanning 2017 to 2019, the Central Bank initiated a banking reform that resulted in the closure of numerous financial entities across Tier 1, 2, and 3 categories. This extensive action, known as the Banking Sector Cleanup, led to the revocation of licenses for 420 financial institutions.

  • Private sector credit sees 7.5% contraction in October 2023 – BoG reports

    Private sector credit sees 7.5% contraction in October 2023 – BoG reports

    Governor of the Central Bank, Dr. Ernest Addison, announced that private sector credit experienced a contraction of 7.5% during the review period in October 2023.

    He explained that banks are directing their resources toward short-term investments instead of extending credit, responding to the heightened risks associated with lending amid deteriorating macroeconomic conditions and the impact of the Domestic Debt Exchange Programme (DDEP).

    Dr. Addison provided this information during the 115th Monetary Policy Committee (MPC) press briefing on November 27, 2023, highlighting a significant shift from the 57.3% growth recorded in October 2022.

    “In real terms, credit to the private sector contracted significantly by 31.6 percent relative to a growth of 3.0 percent recorded over the same comparative period,” Dr Addison said.

    He continued, “On the money market, interest rates broadly tightened at the short end of the yield curve. The 91-day and 182-day Treasury bill rates fell marginally to 29.40 percent and 31.37 percent respectively, in October 2023, from 31.53 percent and 32.61 percent respectively, in October 2022.”

    “The rate on the 364-day instrument, however, increased to 33.16 percent from 32.32 percent over the same comparative period,” the BoG Governor added.

    For the second time in a row, the BoG has maintained the policy rate at 30%, citing core inflation measures that are beginning to trend lower.

  • OSP launches investigations into new BoG HQ after Mahama Ayariga’s petition

    OSP launches investigations into new BoG HQ after Mahama Ayariga’s petition

    Office of the Special Prosecutor (OSP) has initiated an inquiry into suspected corruption surrounding the procurement procedures for the new headquarters of the Bank of Ghana in Accra.

    This investigation was prompted by an official complaint filed by the Member of Parliament for Bawku Central on October 30, citing substantial irregularities in the procurement process for the project.

    The complaint specifically points out a significant escalation in the project cost, soaring from USD 121,807,517.94 to USD 222,799,760.55, despite a relatively modest expansion in the scope of work.

    In his formal grievance, the MP implicated the Bank’s Governor, Deputy Governors, the Board of Directors, and the project contractor, Goldkey Properties Ltd, as potential suspects in the alleged corrupt practices.

    “I hereby make a formal complaint to your office to investigate what I believe to be a case of corruption in the procurement of the new headquarters building of the Bank of Ghana at Ridge in Accra. The suspects in this case include the Governor, Dr Ernest Addison and the Deputy Governors of the Bank of Ghana, namely: (1) Dr Ernest Addisson 1st Deputy Governor; Dr Maxwell Opoku Afari, 2nd Deputy Governor, Mrs ElsieAddo Awadzi.”

    “The Members of the Board of Directors should also be investigated. The other suspect is the Chief Executive Officer of Messrs. Goldkey Properties Ltd, who are the contractors. The project consultants supervising the work should also be investigated.”

    The MP emphasised the importance of a comprehensive investigation by the OSP to guarantee accountability and transparency in the project.

    On Friday, November 17, officials from the OSP visited the MP to document his statement and gather additional details regarding the allegations.

    The OSP is currently examining the complaint and the evidence provided by the MP, and its subsequent actions will be determined based on the findings of this review.

  • OSP probes new BoG headquarters procurement following Mahama Ayariga’s petition

    OSP probes new BoG headquarters procurement following Mahama Ayariga’s petition

    The Office of the Special Prosecutor (OSP) has initiated investigations into suspected corruption in the procurement process of the new Bank of Ghana headquarters in Accra.

    The investigation was prompted by a formal petition from Bawku Central MP, Mahama Ayariga, who raised concerns about the substantial increase in project cost without approval from the Public Procurement Authority (PPA).

    Mr Ayariga alleged the involvement of the Bank’s Governor, Deputy Governors, the Board of Directors, and the project contractor, Goldkey Properties Ltd, in suspected corruption activities.

    “I hereby make a formal complaint to your office to investigate what I believe to be a case of corruption in the procurement of the new headquarters building of the Bank of Ghana at Ridge in Accra. The suspects in this case include the Governor Dr Ernest Addison and Deputy Governors of the Bank of Ghana, namely: (1) Dr Ernest Addisson 1st Deputy Governor, Dr Maxwell Opoku Afari, 2nd Deputy Governor, Mrs Elsie Addo Awadzi.”

    “The Members of the Board of Directors should also be investigated. The other suspect is the Chief Executive Officer of Messrs. Goldkey Properties Ltd who are the contractors. The project consultants supervising the work should also be investigated.”

    According to Mr Ayariga, he wrote to the BoG Governor for an explanation, and received a response in a letter dated 22nd August 2023 and referenced SF/GEN/7/2023/75, to the effect that “he is unable to provide me with the full details of the project design variation which has led to the price escalation for reasons of “National Security”.”

    For the Bawku Central MP, “this refusal to explain the price escalation founds my suspicion of corruption in the procurement,” his petition to the OSP further read.

    Meanwhile, the OSP staff has taken Mr Ayariga’s statement as part of the investigation, per credible information reaching The Independent Ghana.

  • A dollar goes for GHS12.20 at forex, BoG interbank rate at GHS11.56 

    A dollar goes for GHS12.20 at forex, BoG interbank rate at GHS11.56 


    The Bank of Ghana’s Interbank forex rates on November 21, 2023, reveal that the Ghana Cedi is currently trading against the dollar at a buying price of 11.5552 and a selling price of 11.5668.

    In Accra’s Forex bureau, the dollar commands a buying rate of 12.00 and a selling rate of 12.20.

    Against the Pound Sterling, the Cedi is valued at a buying price of 14.4382 and a selling price of 14.4538.

    At a local Forex Bureau in Accra, the pound sterling is acquired at a rate of 14.65 and sold at a rate of 15.15.

    The Euro stands at a buying price of 12.6429 and a selling price of 12.6544.

    In Accra’s Forex Bureau, the Euro transacts at a buying rate of 12.70 and a selling rate of 13.20.

    The South African Rand holds a buying price of 0.6282 and a selling price of 0.6288.

    At an Accra-based forex bureau, the South African Rand is bought at a rate of 0.40 and sold at a rate of 1.10.

    The Nigerian Naira trades with a buying price of 70.9004 and a selling price of 71.8372.

    In an Accra forex bureau, the Nigerian Naira is bought at a rate of 9.00 Naira for every 1 Cedi and sold at a rate of 15.00.

    As for the CFA, it is quoted at a buying price of 51.8363 and a selling price of 51.8834.

    At an Accra-based forex bureau, the CFA is purchased at a rate of 17.00 CFA for every 1 Cedi and sold at a rate of 19.50 CFA for every 1 Cedi.

    Our forex bureau rates are provided by Afriswap Bureau De Change in Osu, Accra.

    Note that these rates may be different at a forex bureau near you. Our forex bureau rates are provided by Afriswap Bureau De Change in Osu, Accra.

  • BoG imposes fine, suspends Zeepay’s forex license for violation

    BoG imposes fine, suspends Zeepay’s forex license for violation


    The Bank of Ghana has declared that it has fined and suspended the forex licence of fintech company Zeepay Ghana Limited for violating clause 7.3(a) of the Inward Remittance.

    The Central Bank issued the statement in a communication signed by the Secretary of the BoG, Sandra Thompson.

    According to the forex regulation, clause 7.3(a) states that the settlement bank shall “use the average interbank exchange rate published by the Ghana Association of Banks on the day the transfer is received or as prescribed by Bank of Ghana for the conversion of settlement funds into local currency”.

    Following the non-compliance by the Ghanaian-owned business, the BoG has “suspended the Forex Licence of Zeepay Ghana Limited from November 27th, 2023, to December 8th, 2023, for violation of sections 3(1) and 15 (3) of the Foreign Exchange Act, 2006 (Act 723),” the statement detailed.


    The statement additionally warned participants in the industry to strictly adhere to the relevant regulations and guidelines of the forex market.

  • 8 unapproved money transfer organisations you must stay away from

    8 unapproved money transfer organisations you must stay away from

    The Bank of Ghana (BoG) has cautioned the public about the risks associated with dealing with unauthorized Money Transfer Organizations (MTOs) within the country.

    In an official statement released on Thursday, November 16, the central bank emphasized that numerous MTOs operating in the remittance and Ghana Forex Market did not possess approval from the Bank of Ghana.

    The unapproved entities listed in the statement comprise “LEMFI, WISE, TRANSFER GO, XOOM-A PAYPAL SERVICE, SENDWALU, BOSS REVOLUTION, BTC-AZA FINANCE, and SUPERSONIC.”

    The Bank of Ghana has explicitly cautioned the general public, banks, Dedicated Electronic Money Issuers (DEMI), and Enhanced Payment Service Providers (EPSP) against engaging in any transactions with the specified institutions.

    Additionally, the central bank has reiterated its directive to approved Money Transfer Organizations (MTOs), urging them to exclusively route their foreign exchange flows through their authorized partner institutions while strictly adhering to all operational guidelines.

    The statement emphasized, “By this Notice, all market players are reminded of the directives above and entreated to comply accordingly. Non-compliance will result in severe sanctions, including the withdrawal of the license of the institution in breach.”

    This advisory notice is issued as a precautionary measure to enforce adherence within the financial sector and safeguard the public from potential risks linked to unapproved money transfer entities.

  • Number of bank staff involved in financial sector fraud still a concern – BoG

    Number of bank staff involved in financial sector fraud still a concern – BoG

    The Bank of Ghana (BoG) continues to express concern over the involvement of bank staff in financial sector fraud.

    Speaking at the 60th Anniversary of the Chartered Institute of Bankers Conference in Accra on behalf of the Governor, Dr. Bernard Otabil, the Director of Ethics and Internal Investigations at the Central Bank, noted that although there has been a reduction in reported cases, it remains a top concern for both the Central Bank and the banking sector.

    The Bank of Ghana emphasizes that a single fraud case involving an employee affects the entire industry and undermines public confidence. Dr. Otabil highlighted that the decrease in fraud cases last year indicates that more efforts are needed to address this issue.

    “A single case of fraud, involving an employee of a bank or any financial institution, affects the whole industry and weakens public confidence in the industry. Although the 2022 Banks, SDIs, and PSPs Fraud report showed a decline in staff involvement in fraud cases to 188 in 2022 from 278 in 2021, the persistence of these unethical acts among employees of Banks and SDIs remains a concern. As reported, most of the incidents involving bank staff and had to do with cash theft (cash suppression) from customers’ accounts and fraudulent withdrawals on accounts of customers”. he said.

    The Chartered Institute of Bankers Ghana utilized the event to unveil a new curriculum focused on ethics and professionalism for industry practitioners.

    The President of the Chartered Institute of Bankers Ghana, Benjamin Amenumey, anticipates that the new curriculum will enhance the professionalism of its members.

    The conference on Banking and Ethics, held under the theme “Redefining Professionalism in Banking through Ethics,” aimed to address issues related to ethics and professionalism in the banking industry.

  • BoG foreign reserves to increase to $7.7bn in 2025 – Fitch

    BoG foreign reserves to increase to $7.7bn in 2025 – Fitch

    Fitch, the ratings agency, has projected an increase in the foreign reserves of the Bank of Ghana (BoG) to reach $7.7 billion by 2025, up from $4.4 billion in 2022. This would provide a three-month import cover.

    The agency stated, “Current account surpluses and projected disbursements from international financial institutions will increase Bank of Ghana’s foreign reserves by an estimated $1.1 billion per year in 2023-2025, after a $4.4 billion fall in 2022, reaching $7.7 billion (about three months of current external payments) in 2025, from 1.6 months in 2022.”

    Fitch also expects a current account surplus of 1.1% of GDP in 2023, compared to a 2.1% deficit in 2022, driven by non-payment of interest on selected external debt pending a restructuring and a notable reduction in merchandise imports.

    The agency anticipates that the current account will remain in surplus in 2024 and 2025, with the value of the cedi against the dollar expected to strengthen as a result.

    However, Fitch believes that another round of local-currency debt exchange is unlikely in the near future. These debt exchanges have led to a debt service reduction of ¢52 billion in 2023, equivalent to about 6% of estimated 2023 GDP or 39% of estimated 2023 revenue and grants.

    As of August 2023, Ghana’s Gross International Reserves (GIR), excluding Encumbered Assets and Petroleum Fund, stood at $2.08 billion, providing approximately 1.0 month of import cover. According to the Bank of Ghana’s September 2023 Summary of Economic and Financial Data, reserves increased from $1.406 billion (0.7 months of import cover) in April 2023 to $2.162 billion (1.0 month of import cover) in May 2023, and $2.235 billion in June 2023 (1.0 month of import cover).

    Reserves remained at $2.239 billion (1.0 month of import cover) in July 2023 and $2.089 billion (1.0 month of import cover) in August 2023.

  • Mahama Ayariga petitions OSP to probe BOG’s over procurement of new headquarters

    Mahama Ayariga petitions OSP to probe BOG’s over procurement of new headquarters

    Member of Parliament for Bawku Central, Mahama Ayariga, has petitioned the Office of the Special Prosecutor (OSP) to investigate the procurement of the new headquarters building of the Bank of Ghana (BoG) at Ridge in Accra.

    The MP wants the following individuals to be probed over their suspected corruption and corruption-related offenses: BoG Governor, Dr Ernest Addison, and his two deputies; the Board of Directors; the Chief Executive Officer of Messrs. Goldkey Properties Ltd and the project consultants supervising the work.

    In his petition dated October 30, Mr Ayariga accused the BoG Governor and his team of failing to justify the increase in price for the projects from USD121,807,8517.94 to USD222,799,760.55 (about 84%) when the scope of work rose by 36 percent.

    “In spite of a written request to the Governor of the Bank of Ghana under the Right to Information Act, the Governor and his team have not been able to explain to me how there was a price escalation from USD121,807,8517.94 to USD222,799,760.55 (about 84%) when the scope of work increased from 73,000 square meters to about 107,737 square meters (36.9%).”

    He noted that the Bank of Ghana had originally priced the project at USD100,857,924.48 for 73,000sq.m but got the project awarded to Messrs. Goldkey Properties Limited, in the same year, at a contract sum of USD121,807,8517.94.

    A subsequent variation in the scope of work of about 36.9% saw a project cost escalation of 84%, which has resulted in the about 107,737 sq.m building project now costing USD222,799,760.55, he said.

    According to Mr Ayariga, he wrote to the BoG Governor for an explanation, and received a response in a letter dated 22nd August 2023 and referenced SF/GEN/7/2023/75, to the effect that “he is unable to provide me with the full details of the project design variation which has led to the price escalation for reasons of “National Security”.”

    For the Bawku Central MP, “this refusal to explain the price escalation founds my suspicion of corruption in the procurement.”

    Mr Ayariga holds the assertion that the Office of Special Prosecutor has jurisdiction to investigate all cases of suspected “corruption and corruption-related offences” by public officers and private persons working with public officials under sections 2(a) and 79 of the Office of Special Prosecutor Act, 2017 (Act 959).

    He therefore announced his willingness to testify “to all the facts I have come across in this matter and I believe your office will be able to obtain all the details of the variations of the project design and costing variations to arrive at a conclusion on this matter.”

    “I count on you to carry out a thorough investigation of this matter and brief the Ghanaian people appropriately and where necessary to carry out prosecutions,” the petition concluded.

    Letter-to-OSPDownload


  • I go hiking when I am stressed, life is not hard – BoG Board Member

    I go hiking when I am stressed, life is not hard – BoG Board Member

    A Board Member of the Bank of Ghana (BoG), Mrs Comfort Ocran, has recently shared her perspective on maintaining a youthful and stress-free life during an interview with TV3 presenter Cookie Tee on the show “Today’s Woman.”

    In response to a question about her secret to staying youthful and refreshed, Mrs. Ocran attributed it to divine grace, simple lifestyle choices, and a positive mindset. “I always say it is the grace. It is the Grace of God,” she said with a smile.

    Mrs. Ocran emphasised that she believes in the grace of God and that, in her view, a combination of factors contributes to her youthful appearance. She cited exercise, her dietary choices, and her commitment to avoiding stress as key elements in her approach to life.

    “I think, if I look at it, I believe it is  a combination of exercise, the kind of food I eat and also just deciding not to be stressed,” she noted.

    According to Mrs. Ocran, “Life is not hard, so don’t make life hard. Life is actually how you choose to make it.” She shared two strategies she employs to manage stress effectively. When faced with stressful situations, she turns to gospel music, particularly worship songs, which help her relax and find solace. Alternatively, she goes for hikes, which she finds rejuvenating.

    “When someone or something is stressing me out, two ways, either I go and play some gospel music, especially the worship ones and before I realise because I am singing, I am cool. Or I will go for a hike,” she mentioned.

    Revealing her daily walking routine, Mrs. Ocran disclosed that she used to walk seven kilometres from her home to the office, a practice that contributed to her overall happiness. She pointed out that regular exercise is a key component of her well-being.

    During her walks, she also engages in positive self-talk. She explained that if she finds herself overly focused on a challenge or difficulty, she consciously shifts her perspective to seek out opportunities and lessons in the situation.

    This change in mindset, she believes, helps her feel better and ultimately leads to happiness. She concluded her message by reiterating her belief that life is not inherently difficult, but rather a product of one’s choices.

  • Life is not hard – BoG Board Member Comfort Ocran says

    Life is not hard – BoG Board Member Comfort Ocran says

    A Board Member of the Bank of Ghana (BoG), Mrs Comfort Ocran, has recently shared her perspective on maintaining a youthful and stress-free life during an interview with TV3 presenter Cookie Tee on the show “Today’s Woman.”

    In response to a question about her secret to staying youthful and refreshed, Mrs. Ocran attributed it to divine grace, simple lifestyle choices, and a positive mindset.

    Mrs. Ocran emphasised that she believes in the grace of God and that, in her view, a combination of factors contributes to her youthful appearance. She cited exercise, her dietary choices, and her commitment to avoiding stress as key elements in her approach to life.

    According to Mrs. Ocran, “Life is not hard, so don’t make life hard. Life is actually how you choose to make it.” She shared two strategies she employs to manage stress effectively. When faced with stressful situations, she turns to gospel music, particularly worship songs, which help her relax and find solace. Alternatively, she goes for hikes, which she finds rejuvenating.

    Revealing her daily walking routine, Mrs. Ocran disclosed that she used to walk seven kilometres from her home to the office, a practice that contributed to her overall happiness. She pointed out that regular exercise is a key component of her well-being.

    During her walks, she also engages in positive self-talk. She explained that if she finds herself overly focused on a challenge or difficulty, she consciously shifts her perspective to seek out opportunities and lessons in the situation. This change in mindset, she believes, helps her feel better and ultimately leads to happiness. She concluded her message by reiterating her belief that life is not inherently difficult, but rather a product of one’s choices.

    After TV3 shared the interview video on Twitter, it garnered various responses from social media users. Some commended Mrs. Ocran’s insights, while others expressed contrasting opinions.

    One Twitter user, @gr8_konfidence, mentioned understanding her perspective, possibly implying that Mrs. Ocran’s positive outlook stems from her background.

    However, not all responses were positive. @goldenpappy15 criticised her for alleged misdeeds, highlighting a perception of unfair financial advantage.

    Another user, @mandemghana, questioned Mrs Ocran’s role as a board member of the Bank of Ghana, possibly expressing surprise at her comments on a public platform.

    Lastly, @Trenchesbabe brought up the topic of political corruption and criticised public figures for allegedly misusing funds.

  • GHS2.416bn written off as bad loans by banks as of August 2023

    GHS2.416bn written off as bad loans by banks as of August 2023

    Highlights from the Bank of Ghana’s (BoG) Income Statement as of August 2023, indicate that banks in the country wrote off a total of ¢2.416 billion as bad debt during the first eight months of the year.

    This figure represents a notable increase of 36.4% compared to the previous year. To provide context, this amount surpasses the GH¢1.713 billion in bad loans recorded at the end of June 2023.

    The bad debt provisioning primarily included losses related to loans and depreciation, among other factors.

    The Bank of Ghana’s report also noted a decline in the asset quality of the banking industry during the review period. This deterioration is evident through the increase in both the Non-Performing Loan (NPL) stock and the Non-Performing Loan (NPL) ratio.

    Specifically, the industry’s NPL ratio rose from 14.3% in August 2022 to 20.0% in August 2023. Similarly, when adjusted for fully provisioned loan loss categories, the NPL ratio surged from 3.8% to 9.0% during the same period. This was attributed to the growing presence of sub-standard and doubtful loans within the NPL stock.

    The rise in the NPL ratio was attributed to the NPL stock’s faster growth relative to the total loan growth during the reference period. The banking industry’s NPL stock increased by 53.6%, reaching ¢14.5 billion in August 2023, up from ¢9.5 billion in August 2022.

    This increase can be partially attributed to the revaluation of foreign currency NPLs and the deterioration of some domestic currency loans.

    When categorizing the NPLs by economic sector, the private sector accounted for the majority of non-performing loans. In August 2023, approximately 95.0% of NPLs were linked to the private sector, a slight decrease from the 95.9% recorded in August 2022. Meanwhile, the public sector’s share of NPLs increased to 5.0% from 4.1% compared to the previous year.

  • Financial oversight desk set up by Finance Ministry, BoG at COCOBOD

    Financial oversight desk set up by Finance Ministry, BoG at COCOBOD

    Finance Minister Ken Ofori-Atta has confirmed the establishment of a monitoring desk jointly operated by the Ministry of Finance and the Bank of Ghana (BoG) to oversee the financial matters of the Ghana Cocoa Board (COCOBOD).

    The purpose of this initiative is to instill financial discipline in COCOBOD’s expenditure.

    COCOBOD, tasked with supervising cocoa production and exports in the country, has been facing substantial annual losses, which the International Monetary Fund (IMF) has identified as a significant threat to both the sector and the government’s fiscal endeavors.

    Per reports from JoyNews, the Minister emphasized that the procurement of fertilizers and the construction of cocoa roads will be closely monitored to ensure strict adherence to budgetary constraints.

    “Both the Governor of the Central Bank and the Minister of Finance – myself, will now be on the Board and we also setting up a desk at the Finance Ministry that will interact with the finance division of COCOBOD to make sure the issues of fertilizers, cocoa road are all brought into an ambit of discipline. Those begin to tell you how we are getting into the issue of expenditure,” he said.

    The Finance Minister is in London for negotiations with the nation’s external creditors, seeking their agreement to a 40 percent reduction in the planned restructuring of Ghana’s $10 billion debt.

    A successful outcome of these negotiations would pave the way for the disbursement of the second tranche of the International Monetary Fund (IMF).

    Mr. Ofori-Atta expresses his optimism that a favorable agreement will be reached before the year’s end.

    “I am sure most people were expecting to be sometime next year but I think we will be able to do it before next year.”

    In the meantime, President Akufo-Addo remains hopeful that the Ghanaian economy is on a path to recovery, even in the face of the challenges his administration has encountered.

    He points out that inflation, a significant contributing factor, is steadily decreasing, signaling a favorable economic outlook.

    As a result, he is confident in achieving a single-digit inflation target before the conclusion of his term in 2024.

  • BoG Governor calls for enhanced multilateral approach to debt eesolution

    BoG Governor calls for enhanced multilateral approach to debt eesolution

    The Governor of the Bank of Ghana (BoG), Dr. Ernest Addison, has stressed the necessity of boosting multilateral coordination and regulatory efficiency to effectively manage sovereign debt issues in low-income countries (LICs).

    He proposed the establishment of a robust Global Sovereign Debt Roundtable (GSDR) to address this need.

    During the IMF-African Caucus Meeting at the World Bank/IMF Meetings in Marrakech, Morocco, Dr. Addison underscored the significance of this initiative.

    “We call for a carefully designed debt resolution mechanism, especially for vulnerable members with large domestic creditors – such as Ghana, to help avert domestic financial market instability,” Dr. Addison stated in his address to attendees at the conference.

    He emphasized the need for a well-designed debt resolution mechanism, especially for vulnerable members with substantial domestic creditors, such as Ghana, to mitigate the risk of domestic financial market instability.

    Additionally, he highlighted the need to enhance the G20 Common Framework (CF) to ensure a more timely, orderly, equitable, inclusive, and transparent debt restructuring process for distressed members in the region, including countries like Ghana, Ethiopia, and Malawi.

    Given the acute debt challenges faced by African economies, worsened by factors such as the COVID-19 pandemic, the Ukraine conflict, tightening global financing conditions, and climate-related disasters, Dr. Addison urged the IMF to provide crucial support to vulnerable African economies.

    He suggested that the IMF should adapt its lending toolkits to changing global conditions and align PRGT access thresholds with those of the GRA to facilitate uniform treatment and easier access to adequate Fund support for vulnerable members.

    Dr. Addison also stressed the importance of securing additional pledges from willing donors to close resource gaps in PRGT, reinforcing the IMF’s finances while protecting the quota share of vulnerable members.

    He emphasized the need for tailored capacity development and surveillance support from the Fund, in collaboration with international partners, to address member-specific challenges and restore public debt sustainability.

    These recommendations are presented at a critical juncture when over half of sub-Saharan African (SSA) members face high debt distress risk, and the region’s economic growth is projected to further decelerate in 2023.

    Dr. Addison’s proposals aim to offer immediate relief to struggling economies and foster inclusive and sustainable growth in the region.

    The call for a stronger GSDR and enhanced cooperation between the IMF, MDBs, and RDBs underscores the urgency of addressing global economic challenges affecting low-income countries.

  • Terming demonstrators as hooligans could endanger your life as well as your deputies – Security Expert to BoG Governor

    A Security Policy Expert associated with the Centre for Security Dialogue and Peace Advocacy, Anthony Acquaye, has expressed serious concerns regarding the potential security consequences of recent comments made by the Governor of the Bank of Ghana (BoG), Dr. Ernest Addison.

    Dr. Addison had characterized the organizers of the #OccupyBoG Protest as “hooligans” and suggested they should have explored alternative legitimate channels to voice their calls for his resignation.

    In response, Mr Acquaye issued a statement cautioning that such remarks from a figure in a security-sensitive position like the governor could elevate the risk of targeted attacks against him, his two deputies, and BoG staff.

    Acquaye emphasized that referring to the protesters as “hooligans” raised concerns about the safety and security of anyone associated with the Bank of Ghana.

    He acknowledged that the decision by the governor and his deputies to remain absent when the demonstrators attempted to present their petition might have been a prudent measure to avoid escalating tensions and potential civil unrest.

    However, Acquaye argued that labeling the protesters as “hooligans” was unwise from a security perspective.

    He stated that any security risk assessment classifies a place, an establishment, or an element within it as a security zone when it becomes a targeted risk of attack.

    “I say unequivocally that, if truly this remark which largely described the demonstrators as ‘Hooligans’ being attributed to Governor, Dr Ernest Addison is authentic, then he, Addison is putting himself, his two deputies, including the staff of the Central Bank into high targeted risk of public attack,” part of the statement read.

    Therefore, the characterization of the Bank of Ghana as a security zone implies that all its staff, information, and assets must be secured for protection since they are all potential targets of attack.

    Acquaye also explained that the level of risk an individual or element faces within a security zone

    “Having credited the decision by the Governor and his two deputies on AWOL in connection to receive the demonstrators’ petition as wise to avoid incurring the anger of the protesters for the sake of their safety and security, at that moment when tempers were very high and could have triggered civil unrest, as the protesters seem to have been more than the Police on the ground to safeguard them.

    “It is totally security and safety unwise for such comment to come from an element of security zone, targeted as critical risk of attack. Let me state on record that, for any security risk assessment to determine and establish a place, an edifice or an establishment as a security zone, all elements within and around the place or in the establishment are targeted risks of attack, and therefore need to be protected. So, what it means is that, declaring Bank of Ghana as a security zone, makes all its staff, its information and assets to be secured for protection since they are all targeted risks of attack,” he stressed in the statement.

    depends on their perceived involvement in the issue that necessitated the security zone declaration.

    He urged Dr. Addison and his deputies to recognize the heightened risk levels they now face and to refrain from making provocative statements that could increase the risk of attack, not only for themselves but also for their family members.

    In conclusion, Anthony Acquaye highlighted the importance of avoiding provocative language in sensitive situations, especially for individuals in positions of authority, to ensure their safety and the security of those around them.

    “Even though, a security zone can be temporary or permanent, every element within or around that has been secured as part of the security zone has its own targeted risk level of attack depending on how integral that element is seen to be involved in the issue at hand that had called for the security zone declaration.

    “The Governor, Dr Ernest Addison and his two deputies, must know and understand that they are all under high level of targeted risks of public attack and must refrain from such provoking utterances that can increase their risk levels of attack, including their family members by the public and further make the 24/7 high security close protection provided by security architecture too difficult and dangerous for their close protection team,” the concluding part of the statement read.

  • BoG doesn’t cultivate maize or plantain to calculate food inflation – NYA

    Deputy Chief Executive of the National Youth Authority, Akosua Manu, has asserted that the Occupy Bank of Ghana protest was misdirected because the Bank of Ghana is not involved in the cultivation of food crops for assessing food inflation.

    In an interview with the media, Akosua Manu contended that while holding institutions accountable is essential, it should be done within the appropriate scope.

    She explained, “some of the things that the minority talked about, if they are talking about factors that affect inflation including food, it is not BoG that plants maize or plantain to determine that, it doesn’t come to them. Secondly if you want to have a conversation about him resigning, he doesn’t appoint himself, take it to the right authority for that to happen, so it becomes a question of gimmicks and games”.

    She also acknowledged the government’s approach to the Bank of Ghana for assistance, asserting that it falls within the bank’s purview.

    Akosua Manu argued that the Bank of Ghana could even provide loans to the government, such as an overdraft or in another manner as deemed appropriate by the bank.

    However, Akosua Manu criticized the Bank of Ghana’s Governor, Dr. Ernest Addison, for referring to the protesters as hooligans, stating, “in the end, I disagree with the description of the protesters as hooligans; he performed poorly on that front. No one can make me believe that they were the right words to use”

    The protest, known as Occupy Bank of Ghana (BoG), was organized by the Minority group in Parliament, the National Democratic Congress (NDC), CPP, PNC, and various civil society organizations.

    The demonstration, which took place on October 3, 2023, called for the resignation of the Bank of Ghana Governor and his two deputies.

    Thousands of protesters marched through the streets of Accra, demanding the resignations in light of the bank’s GH¢60 billion loss in the 2022 fiscal year and the contentious $250 million US dollar new head office project of the central bank.

  • Such inappropriate words to be used by a person of his calibre – NYA dept CEO blast Addison

    Deputy Chief Executive Officer (CEO) of the National Youth Authority and a member of the Communication Team of the New Patriotic Party (NPP), Akosua Manu, has expressed her objection to the term ‘hooligans’ used to describe the participants in the #OccupyBoG protest.

    This term, employed by the Governor of the Bank of Ghana, Dr. Ernest Addison, does not align with her perspective, and she contends that it is an inappropriate characterization of the protesters.

    In response to an undelivered petition submitted by the organizers of the demonstration, which aimed to compel the head of the central bank and his two deputies to step down, Dr. Addison made it clear that he had no intentions of acceding to their demands.

    In his response, the Governor of the BoG called the protesters ‘hooligans.’

    “The Minority in parliament have many channels to channel their grievances in civilised societies, not through demonstrations in the streets as hooligans,” he is reported to have said in an interview with the international business website, Central Banking.

    “Hold institutions accountable but make sure that the things you want to hold them accountable to are things within their remit… I, for instance, am surprised that the governor, as CEO, also doubles as chair of the board. That’s not good corporate governance; it’s not

    “… but at the end of the day, I disagree with the word ‘hooligans’ ascribed to the protesters.

    “He didn’t do well; he didn’t do well on that score and I’ll take no precedence on that and nobody can convince me that those were the appropriate words to use,” she said.

  • Akufo-Addo is corrupt, he can’t fire BoG Governor – Agalga

    Member of Parliament (MP) for Bulsa North, James Agalga, has made claims that the President of Ghana lacks the courage to fire the Governor of the Bank of Ghana (BoG), Dr. Ernest Addison, and his deputies because he is complicit in the corruption.

    He implies that only a demonstration can force these people to leave since they are unfit for office.

    “They are square pegs in a round hole. So they are no longer fit to be in those offices, and that is why we are seeking their removal with this protest.

    “We know Akufo-Addo hasn’t got the balls to sack them because he has participated in the corruption that has been unleashed on us by Addison and his cohorts. If they were competent, would they bring us to this point?

    “The conduct of Addison and his cohorts smears Akufo-Addo with corruption, and anything short of their removal will spell doom and be disastrous for this country.

    “We need to ensure that the Bank of Ghana is functioning because when it’s not functioning, our economy is going to crumble. If Addison were principled, he himself would have thrown in the towel,” he said during the October 4 Occupy BoG demonstration

  • Why Paul Adom Otchere apologised to BoG security director over Ato Forson ‘conduct’

    Host of Metro TV’s ‘Good Evening Ghana’ programme, Paul Adom Otchere has rendered an apology to Head of Security at the Bank of Ghana, Wing Commander Kwame Asare Boateng whom he feels was disrespected by the leadership of #OccupyBoG protest who stormed the streets of Accra on Tuesday October 3, 2023.

    He explains that under no circumstance should Ato Forson disrespect such a man because he holds a higher profile better than him.

    If you look at this man’s profile and Ato Forson’s profile, given that Ato Forson has been elected by some people, I respect that. But if you look at the two profiles Ato forson should not be able to tell him that “you have disrespected me because they say you should come for the petition.” I am really apologizing to this man for the way in which the minority held him in such contempt,” he said.

    As the group, which has been calling for the resignation of Dr. Ernest Addison, the Governor of the Bank of Ghana, had initially planned, they intended to submit a petition to the leader of the institution.

    In a more extreme scenario, the Minority Leader in Parliament, Dr. Cassiel Ato Forson, anticipated that either of the Governor’s two deputies would step forward to accept the petition.

    However, this anticipated course of action did not materialize.

    Instead, the document was received on behalf of the Governor by Wing Commander Kwame Asare Boateng, the Head of Security at the Bank of Ghana.

    Nevertheless, the group declined to hand over the petition to this representative of Dr. Ernest Addison, the Governor of the Bank of Ghana, and prior to this, Dr. Cassiel Ato Forson, the Minority Leader in Parliament, delivered a statement.

    We never said we are going to present our petition to the head of security or to someone in charge of security, with all due respect.

    “They have actually mismanaged the affairs of the central bank; they have mismanaged the affairs of monetary policy. Today, Ghana, our beloved country is on its knees. you are not the one responsible, and we will not give you our petition,” he stated.

  • #OccupyBoG: Direct the gun at Finance Ministry and not BoG – Banking Consultant to Minority

    Banking Consultant Nana Otuo Acheampong has come forward to offer support to the Bank of Ghana and its governors.

    In response to the Minority’s demand for the resignation of the Central Bank’s Governor and his deputies due to alleged mismanagement of the bank and unauthorized printing of money to support government spending, Nana Otuo Acheampong defended the Governor, Dr. Ernest Addison, stating that he had not erred in agreeing to write off 53.1 billion cedis of government debt stemming from the Domestic Debt Exchange Programme (DDEP).

    During an appearance on PM Express, Nana Otuo Acheampong asserted that the Bank of Ghana is not obligated to seek parliamentary approval before making such decisions.

    “There was zero financing in 2017, 2018, 2019 and 2021. It was only in 2020 that there was no zero financing and 2022 because of the International Monetary Fund, IMF.

    “The 2020 one, Covid is accepted and the legislators are there, they know what should have happened. Is it the Bank of Ghana which has to make the application or the Ministry of Finance? Bank of Ghana doesn’t stand on its own, it stands under the Ministry of Finance. So if they have a beef, then I would have thought the gun should be directed at the Ministry of Finance but not at Bank of Ghana because they are under the Ministry.

    “So if they have to go to Parliament to seek any breach of the law or an exception, then the Ministry will do that and not Bank of Ghana,” he argued.

    The Member of Parliament for Bawku Central, Mahama Ayariga, holds a contrary viewpoint.

    He maintains that the Bank of Ghana’s failure to notify Parliament amounts to a violation of the BoG Act, and as a result, the Governor should face the repercussions.

    “The Bank of Ghana Act poses a responsibility on the Central Bank to be an adviser to the government on financial matters, fiscal matters, monetary policies. The Central Bank is supposed to be advising.

    “First and foremost, his [Governor’s] failure in advising government not to create the financial mess that has ultimately affected the Central Bank itself is something that we should be holding him accountable for. And as far as we are concerned, the law says that he should come and inform Parliament. So, I don’t know where and in which law he [Nana Otuo Acheampong] has been told that the Central Bank is under the Ministry of Finance.“

    In the meantime, the Minority in Parliament remains resolute in its call for the Governor’s resignation.

    During an appearance on the Super Morning Show, Samuel Okudzeto Ablakwa, the MP for North Tongu, affirmed that the Minority, along with other demonstrators, holds the expectation that a new Governor will address the issues within the Central Bank.

    “If a new governor takes office, we don’t expect that new governor to continue on this reckless path.

    “A new governor will not continue with this Bank of Ghana project which is now around 300 million dollars in a time of crisis. No responsible leader will do that, so a new governor will address that matter.

    “A new governor will now decide to follow the law and will not print money illegally to the tune of 77 billion. I mean, you print money illegally to the tune of 77 billion and still manage to make losses of 60.8 billion, so where did the money go?” he quizzed.

    “All the illegal printing, where did that money go? What was it used for? So a new governor, new deputies will be law abiding. They will not embark on this total recklessness. So it is the first step” he argued.

  • I owe nobody an apology – Sam George on calling BoG head of security ‘watchman’

    Member of Parliament for Ningo-Prampram, Sam Nartey Goerge, has refused to render an apology to Wing Commander Kwame Asare Boateng for his watchman comment.

    On Tuesday, the Bank of Ghana Governor, Dr Ernest Addison failed to show up to receive the petition from the NDC MPs who participated in the #OccupyBoGprotest.

    The leadership of the OccupyBoG protest was met by Wing Commander Kwame Asare Boateng and a host of the Bank’s leaders, who told the protesters that Dr Addison was in a meeting with a team from the International Monetary Fund (IMF) and was therefore unavailable to receive the petition.

    BoG Director of Security, Wing Commander (Rtd) Kwame Asare-Boateng (Esq)

    Upset by the development, Mr Sam George called Dr Addison a coward for sending a “watchman to come and meet us” instead of being present.

    “We were told stories that he wasn’t well and later told that he would come and receive our petition and we stood there for an hour and more and still failed to show up and sent a watchman to come and meet us.”

    “I’ve always maintained that man (Dr. Ernest Addison) is a coward, and we will protest till he comes out to receive our petition,” he said.

    His comment did not bode well for some members of the public, including Pius Enam Hadzide, Chief Executive Officer of the National Youth Authority (NYA). He called on Mr George to apologise.

    But according to the Ningo-Prampram MP, he finds no reason to do so.

    “I owe nobody an apology,” he stressed.

    He made this statement during an interview on TV3’s New Day show.