Council of State praises Bank of Ghana over economic recovery gains
The Council of State has commended the Bank of Ghana for its management of the economy and called for intensified public education to help citizens better understand the country’s economic recovery.
The commendation followed a detailed briefing by the Governor of the Bank of Ghana, Dr Johnson Pandit Asiama, before the Council, where members reviewed key macroeconomic indicators and policy outcomes.
The session, chaired by former Speaker of Parliament Edward Doe Adjaho, brought together members of the 31-member constitutional advisory body, who engaged the Governor on issues including exchange rate policy, digital financial regulation, and the impact of macroeconomic stability on household living standards.
Dr Asiama presented what he described as strong economic gains recorded over the past year. He noted that inflation, which stood above 23 percent at the beginning of 2025, had declined to 3.2 percent by March 2026—marking the fifteenth consecutive month of disinflation.
He also reported that Ghana’s gross international reserves had risen to US$14.5 billion, providing 5.8 months of import cover. In addition, the cedi appreciated by about 41 percent in 2025, while gross domestic product (GDP) growth reached 6.0 percent.
A major point of discussion was the need for improved communication of economic policies to the public. Council members urged the Bank of Ghana to explain in simple terms the drivers of disinflation, reserve accumulation, and currency performance, and to create more opportunities for public engagement and feedback.
The Governor also addressed the Bank’s financial position, explaining that its 2025 accounts would reflect costs linked to stabilisation measures. He cited reduced income from government securities following the Domestic Debt Exchange Programme (DDEP), alongside interest costs from open market operations used to curb inflation.
He further noted that while the gold purchase programme initially carried costs, it has since generated significant gains, reducing its overall burden. He added that the cedi’s appreciation had also resulted in valuation adjustments on foreign-currency holdings.
Dr Asiama emphasised that these accounting effects do not affect the Bank’s ability to fulfil its statutory mandate.
Council members also engaged the Governor on forward-looking policy priorities, including strengthening exchange rate management, improving regulation of digital and virtual assets, and addressing the impact of import prices on household costs.
On the economic outlook, he warned of global uncertainties, including rising oil prices above US$100 per barrel, but stressed that Ghana currently holds stronger external buffers than in previous years.
He outlined the Bank’s 2026 priorities as improving credit quality oversight, strengthening banking sector governance, expanding export finance, and consolidating recent macroeconomic stability gains.
The Council of State, established under Article 89 of the 1992 Constitution, is an advisory body made up of former public officials and distinguished citizens who counsel the President on matters of national importance.
Comments (0)