The newly sworn-in Governor of the Bank of Ghana (BoG), Dr Johnson Asiama, has outlined a comprehensive six-point plan to stabilise prices in the monetary and foreign exchange markets to the benefit of the economy.
Speaking at his swearing-in ceremony at the Jubilee House in Accra yesterday, the Governor spelt out the six priority areas to include recalibrating monetary policy, preserving exchange rate stability and realigning regulatory mandates.
The rest are boosting financial inclusion and innovation, promoting fiscal and monetary policy coordination, and reversing the Bank of Ghana's negative equity position.
Dr Asiama said there was an urgent need for decisive leadership and prudent macroeconomic policies to address key challenges such as high inflation, persistent fiscal deficits and excessive debt levels.
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"We are meeting today at a pivotal moment in our nation's economic history. The challenges before us require decisive leadership and prudent macroeconomic policies to reset the economy," Dr Asiama said.
The swearing-in ceremony, administered by President John Dramani Mahama, was also attended by the Vice-President, Professor Naana Jane Opoku-Agyemang; the Chief of Staff, Julius Debrah, the Minister of Finance, Dr Cassiel Ato Forson, and other senior government officials.
President Mahama also swore in Dr Zakari Mumuni as the First Deputy Governor of the BoG at the same ceremony.
Priority
On monetary policy, Dr Asiama said under his leadership, the BoG would adopt a more data-driven approach to managing inflation, while working with government agencies to control food prices.
He also announced plans to discontinue the use of differentiated cash reserve requirements and instead rely on open market operations (OMO) to regulate liquidity conditions.
To preserve exchange rate stability, Dr Asiama said the BoG would introduce a new foreign exchange law, expand Ghana's participation in the Pan-African Payment and Settlement System (PAPSS) and implement targeted market operations to eliminate foreign exchange (forex) leakages.
Public trust
Dr Asiama, an economist with private sector experience, said he would also promote financial inclusion and innovation.
He added that the BoG would soon introduce a digital strategy to adapt to the digital age, improve operations and better serve the needs of its stakeholders.
On the BoG's financial position, Dr Asiama acknowledged the concerns and pledged to take steps to rebuild credibility, including reviewing non-core operations, cutting operational costs and introducing measures to strengthen the financial position.
"The path we have embarked on is about restoring public trust, rebuilding confidence, and ensuring that Ghana's economy is stable, innovative and ready for the future," Dr Asiama, an old student of St Peters Senior High School, Nkwatia, and Bishop Herman College, Kpando, said.
