BoG Suspends Gold-for-Oil Deal Over Policy Woes
Central Bank cites financial losses and policy challenges as it reassesses economic strategies
- BoG suspends Gold-for-Oil programme due to operational and financial challenges
- The Central Bank is reassessing strategies to stabilize the economy
- BoG assures commitment to maintaining stable foreign exchange markets
The Bank of Ghana (BoG) has suspended its Gold-for-Oil programme, citing operational and policy challenges that have resulted in financial losses.
The initiative, aimed at reducing dependence on foreign exchange for fuel imports and stabilizing domestic fuel prices, has been put on hold as the Central Bank reevaluates its economic strategies.
Speaking to Bloomberg, BoG Governor Dr. Johnson Asiama admitted, “We have had to incur some losses on that, so we have put some suspension on the trade.” While he did not disclose the specific issues, the move aligns with a broader policy shift under the new administration.
Despite the setback, Dr. Asiama remains optimistic about Ghana’s economic prospects, particularly the stability of the cedi, which saw significant fluctuations last year.
He emphasized the commitment to sound monetary policies and fiscal discipline under President John Mahama’s administration to ensure stability in the foreign exchange markets.
