The CEO of the Ghana Chamber of Bulk Oil Distributors (CBOD), Dr. Patrick Kwaku Ofori, has revealed a remarkable 30% increase in the demand for petroleum products in the final quarter of 2024.

Speaking on Joy News’ PM Express, Business Edition, with host George Wiafe, he highlighted the significant strides the sector has made despite economic challenges.

“If you compare the first three quarters of this year with that of the previous year, you can clearly see that demand for petroleum products has gone up by 30% despite the challenges we face with forex availability to procure products,” Dr Ofori stated.

Dr Ofori noted that the increase in demand occurred amid persistent challenges, particularly in securing foreign exchange (forex) to import petroleum products.

He praised the Bank of Ghana (BoG) for its timely intervention, which stabilized the currency and bolstered confidence among international oil traders.

“In the last quarter, we saw the intervention from the Bank of Ghana. They stepped in, in addition to the normal BDC auction, by providing additional forex through commercial banks for the sector,” he said.

This intervention, Dr. Ofori emphasised, was critical.

“It gave everybody within the supply chain the confidence that Ghana is a safer destination to send products. That ensured there was no shortage, even amidst forex challenges.”

Dr. Ofori lauded the BoG for its proactive measures, particularly in October 2024, which helped maintain the supply chain and avert potential crises.

“Credit to the Governor and his team for stepping in. When there’s a struggle for dollars, and international traders are uncertain whether they’ll get paid in USD, it can disrupt supply. The BoG’s support reassured our partners and kept the nation afloat,” he explained.

In addition to the BoG’s efforts, Dr. Ofori celebrated the resilience and capacity of Ghana’s Bulk Oil Distributors (BDCs), describing them as pivotal in sustaining the sector.

“The BDCs stepped in and carried the country through tough times,” he stated. “This isn’t something new for them, but it shows their capacity to protect the space irrespective of government intervention.”

He emphasized that government support should focus on creating an enabling environment rather than direct interference.

“If the government intervenes, it should be to drive business and allow for the free flow of products without the need for state entities,” he added.

Dr. Ofori acknowledged that despite the progress, policy inconsistencies remain a challenge for the sector. “There have been a bit of policy inconsistencies, which we’ll need to address going forward,” he remarked.

Looking ahead, he called for sustained support from the government and other stakeholders to ensure continued growth and stability in the sector.