The First Deputy Governor of the Bank of Ghana (BoG) has revealed that the Domestic Gold Purchase Programme has helped BoG to increase its gold reserves by over 100% within the past five years.

Dr. Zakari Mumuni noted that the sharp increase came at a time when the Bank of Ghana’s reserves stood at around 8.74 tonnes in June 2021.

Dr. Mumuni made this known at a programme in London on the Central Bank’s perspective on leveraging commodities.

He explained that the initiative has enabled the Bank to diversify its foreign exchange reserves portfolio and “leverage on the Bank’s gold holdings to raise cheaper short-term financing.”

“Ultimately, this programme was not just about reserve accumulation but also about unlocking the potential of the country’s commodity base,” he added.

Background

Launched in June 2021, the Bank of Ghana’s Gold Purchase Programme has significantly boosted the Central Bank’s gold reserves and diversified its assets.

The initiative was designed to increase reserves by purchasing gold from mining firms in Ghana and paying for it in Ghana cedis.

It also aimed to reduce the Bank’s reliance on the US dollar, which is often exposed to global market volatilities and shocks, compared to the relative stability of gold.

This followed concerns over Ghana’s low gold reserves and the urgent need to improve the situation.

According to July data, the Bank of Ghana’s gold reserves have reached 34.40 tonnes.

Impact of the Domestic Gold Purchase Programme

Dr. Mumuni disclosed that from the inception of the programme to June 2025, the Central Bank had purchased a total of 145.95 tonnes of gold. Out of this, 86.77 tonnes were sold for foreign exchange to bolster the Bank’s reserves.

Additionally, 27.63 tonnes of gold were used to settle 1.95 million metric tonnes of petroleum products under the Gold for Oil (G4O) initiative.

The First Deputy Governor noted that the Domestic Gold Purchase Programme has raised the Bank’s physical gold holdings from 8.74 tonnes in June 2021 to 34.40 tonnes currently.