Audio By Carbonatix
First Deputy Governor of the Bank of Ghana, Dr Zakari Mumuni, says the Central Bank’s Gold Purchase Programme has been instrumental in stabilising the cedi and easing inflation in recent months.
He noted that the programme has also “improved the country’s credit profile from restrictive default to B- with a stable outlook in June 2025, boosting investor confidence.”
Dr. Zakari disclosed this at the CNVERGE’25 Africa Premier Trade Banking Programme in London, adding that these developments “have contributed to a stable macroeconomic environment, which is of critical interest to your work.”
BoG’s Gold Purchase Programme
Launched in June 2021, the Gold Purchase Programme aims to increase the Central Bank’s gold reserves and diversify its assets. It allows the Bank of Ghana to buy gold from local mining firms and pay them in Ghana cedis.
The initiative is part of efforts to reduce the Bank’s reliance on the US dollar, which is more vulnerable to global market shocks, compared to gold. It also addresses concerns about Ghana’s previously low gold reserves.
As of July, the Bank of Ghana’s gold reserves had reached 34.40 tonnes.
Gold for Oil Programme
Dr. Zakari also highlighted how the success of the Gold Purchase Programme paved the way for the Gold for Oil initiative, which “provides FX and gold to support the importation of petroleum products through government-to-government arrangements.”
He praised the programme for “securing petroleum imports at competitive prices, easing pressure on the forex market, and stabilising ex-pump petroleum prices.”
According to him, this has helped moderate “volatile ex-pump price pass-through effects on transport costs, and in turn, inflation.”
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