Economist and political risk specialist Dr Theo Acheampong says the Bank of Ghana must intervene when the cedi becomes excessively volatile, even as GoldBod takes on support in the foreign exchange market.

The Technical Advisor at the Finance Ministry said the central bank’s responsibility to address sharp exchange rate swings remains clear under the new FX intermediation framework.

“Remember that as part of the FX framework, the central bank would step in if they see excessive volatility within the exchange rate. That is the function of a central bank.”

Speaking on Joy News’ PM Express Business Edition on Thursday, Dr Acheampong was emphatic about what should happen when the currency becomes unstable.

“So if you see the cedi being wobbly and being all over the place, what is a central bank to do? It's meant to do its job.”

His comments followed questions from host George Wiafe about GoldBod’s expanding role in foreign exchange supply. The host raised concerns, voiced by analysts and opposition figures, about whether the arrangement encroaches on the central bank’s functions.

Dr Acheampong pointed to the published framework and stressed the need for a transparent system that helps market participants plan their foreign exchange requirements.

“What you want is a clear and transparent process that you know in advance how much, let's say, FX you need next week, next month, and then you can predict and provide that FX which is available.”

The remarks come as GoldBod rolls out its Spot FX Sales and Intermediation Framework. Under the arrangement, authorised commercial banks ordinarily access dollars through its GoFX platform on Tuesdays and Thursdays. The Bank of Ghana retains regulatory oversight and access to transaction information.

GoldBod reported selling approximately $125 million to commercial banks in its maiden sale under the framework. Banks must back their requests with actual unmet foreign exchange demand or evidence of a short position.

The division of responsibilities has brought renewed attention to who supports the market when pressure builds on the cedi.

For Dr Acheampong, the framework provides for central bank intervention when exchange rate movements become excessive.