Stabilising the economy: Governor pushes for ‘Gold for Reserve’ reform
The Governor of the Bank of Ghana (BoG), Dr Johnson Pandit Asiama, has called on Parliament and other relevant stakeholders to come on board to reform the Gold-for-Reserves (G4R) programme to improve its effectiveness to support the country's economic stabilisation and reserves.
He said instead of apportioning blame over supposed costs or losses incurred under the programme, there was a need for all stakeholders to come together to pursue the necessary reforms to make it more efficient moving forward.
He explained that the scheme was introduced to address specific national problems, and emphasised the need to make it more efficient.
"Going forward, our action is to move in a unified manner. We want everyone to get on board to reform this and to sharpen its efficiency so that it supports economic stabilisation, it supports our reserves and build up going forward," he stated.
Dr Asiama was responding to issues surrounding the G4R programme when the BoG appeared before the Public Accounts Committee (PAC) of Parliament on Monday [Jan 12, 2026].
The BoG Governor explained that the gold-reserve scheme and the complementary Gold-for-Oil programme were designed to build up Ghana’s gold reserves as a buffer to stabilise the cedi.
He disclosed that an audit of the G4R programme was currently underway, with the final report expected in March this year.
Dr Asiama revealed that the programme recorded net losses of GH¢1.8 billion in 2024, GH¢317.6 million in 2023, and GH¢744.4 million in 2022.
The Governor attributed the losses to inherent costs in the trading model, which the central bank largely absorbed.
He emphasised that while the programme had faced challenges, it remained a strategic initiative for the country's economic stability.
He called for a unified approach among policymakers, regulators and industry players to ensure that the scheme delivered long-term benefits to the economy.
Benefits
Dr Asiama defended the Gold-for-Reserves programme, saying it was aimed at building the country's reserves and should, therefore, not be cancelled despite a GH¢3.8 billion loss.
He explained that the programme's objective was different from the Gold-for-Oil Programme, which was cancelled in May last year due to inefficiencies.
"The objective of Gold-for-Reserves is to help us build reserves. It's not a question of shutting it down; it's a question of enhancing its efficiency," Dr Asiama said.
He attributed the losses to inherent costs in the trading model, which the BoG had borne since the programme's inception.
Dr Asiama said stakeholders could now decide how to manage the cost aspect of the programme by deciding whether, for instance, the Ministry of Finance should be required to budget for the programme in the annual budgets.
The Governor consequently urged the government to budget for those costs to free the BoG's financials.
He said the Ministry of Finance had allocated $270 million for the programme in the 2025 budget, but had not disbursed funds as of September last year, adding that the central bank was discussing reimbursement for costs incurred since 2024.
The Chairperson of the PAC, Abena Osei-Asare, questioned why the programme was not cancelled like Gold-for-Oil, given the larger loss.
However, Dr Asiama said an external audit would review the programme's operations and address the inefficiencies.
He emphasised that the government needed to budget for these costs to free the Bank of Ghana's financials.
Dr Asiama also addressed concerns about the programme's transparency and efficiency, saying the increase in gold volumes was a positive sign.
He promised to provide clarification on a reported GH¢3.8 billion loss, saying it would be addressed.
He added that the programme was in line with the government's policy on responsible mining and that it had also helped to block the loopholes in the gold trading system.
Dr Asiama insisted that the increase in the country's gold reserves was not due to illegal mining.
