The Bank of Ghana (BoG) has insisted that the country has not been short-changed following the recent liquidation of a portion of its gold reserves.

According to the Central Bank, the transaction involved converting part of its gold holdings into foreign exchange (FX) assets, and not a drawdown or loss of national reserves.

“The gold was liquidated into FX and not written down,” the Bank stated, adding that “the FX remains fully part of Ghana’s international reserves and is being actively invested.”

The assurance was contained in a document sighted by JOYBUSINESS, following public concerns that Ghana may have suffered losses due to the decision to liquidate part of its gold reserves.

“There was no loss of national assets,” the Bank said. “Rather, the value realised was preserved and reinvested, as overall reserves remain strong and continue to support external stability.”

How the Proceeds Were Used

The Bank of Ghana explained that proceeds from the gold liquidation were redeployed into high-quality, liquid foreign-exchange assets and fixed-income instruments, consistent with central-bank reserve-management guidelines.

It further noted that a portion of the funds is being managed through external professional fund managers, in line with standard central banking practice, to enhance returns while maintaining strong risk controls.

The Bank reiterated that it “liquidated a portion of its gold holdings on the international market as part of a deliberate reserve portfolio diversification strategy.”

Background

In December 2024, Ghana’s gold reserves stood at 30.53 tonnes. During 2025, the Bank purchased a total of 10.32 tonnes.

However, in line with its strategic objective of reducing gold’s share of Gross International Reserves (GIR) to 20 per cent, and with the approval of Management and the Board, the Bank divested approximately 22.24 tonnes in the international market.

This action reduced gold holdings from a peak of about 38 tonnes in October 2025 to 18.61 tonnes by the end of 2025.

Reasons

According to the Bank of Ghana, global gold prices have risen sharply over the past two years, causing gold to account for a significantly higher share of global reserve portfolios.

In Ghana’s case, gold’s share of Gross International Reserves rose to over 40 per cent due to sustained accumulation and rising global prices.

By comparison, the Bank noted that many peer central banks typically maintain gold holdings of about 20 to 25 per cent of total reserves, making rebalancing necessary to reduce risk exposure.

“While gold remains an important reserve asset, such a high concentration in a single asset class increases exposure to price swings and weakens portfolio balance,” the Bank explained.

The decision to rebalance was therefore taken to reduce concentration risk, improve liquidity, and align Ghana’s reserve composition more closely with international benchmarks.

The Central Bank stressed that the action was consistent with best international practices regarding safety, liquidity and returns.

It added that reserve portfolios are typically diversified across asset classes to avoid excessive concentration, and that periodic rebalancing — particularly after major asset price movements — is standard practice among central banks globally.

Reserve Portfolio Future

The Bank of Ghana stated that reserve portfolio adjustments may continue, guided by global market conditions, asset price movements, liquidity requirements, and overall risk exposure.

It explained that “further adjustments may be made over time as conditions evolve, always guided by best practice in reserve management and the objective of safeguarding Ghana’s external position.”

The Central Bank emphasised that the move was strategic, diversification-driven and not a crisis response.

It maintained that the gold was converted into FX assets — not lost.

“Ghana’s reserves remain intact, invested and strong,” the Bank said, adding that the action reflects prudence, not pressure.