BoG’s domestic gold purchase programme incurs GHc9.1bn net cost

Paul Bleboo, Head of Gold Management at the Bank of Ghana, has disclosed that the Domestic Gold Purchase Programme came at a net cost of GH¢9.1 billion to the central bank.

His remarks follow revelations in the Bank’s 2025 Financial Report, which showed a loss of GH¢9.05 billion from the programme for that year.

Speaking on KeyPoints on Saturday, May 2, 2026, Mr Bleboo defended the outcome, stressing that the losses were the price paid for achieving economic and currency stability.

“The total gross loss of the programme is GH¢21 billion. This programme is a quasi-fiscal activity. The net cost to the bank—the cost it is carrying—is GH¢9.1 billion. We all witnessed what happened in 2025 and the stability we are now enjoying. There is definitely a cost to it,” he stated.

He explained that the initiative was introduced in response to macroeconomic shocks triggered by the COVID-19 pandemic and the Russia-Ukraine War, both of which significantly weakened the cedi.

According to him, the central bank adopted an innovative approach by leveraging Ghana’s gold resources as a reserve asset. Under the programme, gold was purchased locally in cedis, exported, refined, and added to the country’s reserves to support foreign exchange stability.

The report showed that the programme’s losses increased from GH¢5.66 billion in 2024, reflecting both the Gold for Reserves and Gold for Oil initiatives.

Under the Gold for Reserves programme, doré gold was acquired primarily to generate foreign exchange and was sold shortly after purchase, rather than being held for price appreciation. The financial outcome was determined by prevailing market prices at the time of sale, after deducting costs and factoring in interest earned on gold deposits.

In 2025, a total of 2,914,305 fine ounces of doré gold were purchased, up from 1,092,492 ounces in 2024, while 2,895,426 ounces were sold compared to 1,076,125 ounces the previous year. Closing holdings stood at 9,283 fine ounces at the end of December 2025, up from 7,311 ounces in 2024.

Interest income from gold deposits for the year amounted to GH¢0.047 billion.

For the Gold for Oil programme, the report recorded a net loss of GH¢0.544 billion from gold sales, an improvement from the GH¢0.667 billion loss in 2024. However, oil trading activities posted a net gain of GH¢0.341 billion, compared to a net loss of GH¢1.155 billion in the previous year.

Overall, the Bank said the programme’s financial performance reflected gold and oil trading margins, as well as operational costs incurred in efforts to stabilise foreign exchange and ensure energy supply.

Prince Antwi

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