
Audio By Carbonatix
The establishment of the Ghana Gold Board (GoldBod) has helped separate operational trading risks from monetary policy responsibilities, a move experts say is vital for the credibility of the Bank of Ghana (BoG).
Before 2025, the BoG had increasingly acted as a direct participant in gold markets, purchasing artisanal and large-scale output under schemes like the Domestic Gold Purchase Programme.
While these interventions temporarily bolstered reserves, they exposed the central bank to substantial price, timing, and operational risks.
“Persistent trading losses threatened the independence and balance sheet integrity of the central bank, creating potential long-term risks for monetary policy effectiveness.”
These losses were particularly evident in ASM doré transactions, where settlement delays and price volatility compounded operational risks.
GoldBod now functions as the operational arm for gold purchasing, assaying, and export, while the BoG assumes the role of principal in off-take agreements.
The board charges fees for its services, while trading profits or losses are decoupled from the central bank’s balance sheet.
The new framework has also strengthened accountability in the gold–FX nexus. Analysts highlight that the Board’s role in formalising ASM gold flows ensures that more FX enters the domestic economy, while the central bank is shielded from operational losses.
“Economic welfare gains from formalisation can outweigh reported accounting losses, demonstrating that policy effectiveness should not be measured solely by central bank profits or losses,” excerpt of the report stated.
As Ghana transitions fully to GoldBod-led operations, full risk transfer and governance transparency remain critical.
Observers note that the sustainability of the reform will depend on consistent enforcement, proper pricing mechanisms, and clear fiscal recognition of any policy-driven subsidies.
With these measures in place, Ghana could see a long-term reduction in quasi-fiscal pressures and improved monetary policy credibility.
Latest Stories
-
Integrity, adaptability key to career success, Absa Chief Risk Officer urges UESD students
5 minutes -
Absa Bank empowers Persons With Disabilities through financial literacy programme
9 minutes -
Mrs Essie Nyamekye Quainoo
13 minutes -
Interior Ministry recovers 73 assets linked to drug trafficking through intensified anti-narcotics operations
19 minutes -
Mahama’s first-year performance scores 4.9/10 in IERPP assessment
24 minutes -
YEA partners Ghana Digital Centres to train 2,000 youth in AI, cybersecurity and digital skills
36 minutes -
Cabinet to reconvene on Constitution review position paper
41 minutes -
Adom Brands formally petitions Ghana Armed Forces over alleged assault on reporter in Nkwanta South
55 minutes -
Big Ghun donates educational materials to Makye Israel School in second Bigg Save Project
57 minutes -
Ghana Campaign wins at 2026 IPRA Golden World Awards as global PR excellence takes centre stage
1 hour -
Galamsey could collapse Ghana’s cocoa industry – COCOBOD warns
1 hour -
1 in 5 districts face severe teacher shortages despite near-universal school enrolment – Report
1 hour -
Interior Ministry reviews Nkwanta South curfew hours amid ongoing conflict
1 hour -
Indian High Commissioner visits GPHA to explore cooperation in maritime sector
1 hour -
GNFS recovers body of 11-year-old boy who drowned at Adenta Aviation
1 hour