The Minority in Parliament has accused the Bank of Ghana (BoG) of being “policy insolvent.” This means they believe the central bank cannot maintain its normal money operations without selling off assets, like gold, that it owns.
Kojo Oppong Nkrumah, the Ranking Member on Parliament’s Economy and Development Committee, stated this on Sunday, May 3. He said their findings came from reviewing the bank's 2025 audited financial statements. The Minority believes these statements show a weaker financial state than officially reported.
This accusation touches on Ghana’s broader economic discussions about fiscal responsibility and the transparency of state institutions. The country has faced significant economic challenges, including high debt levels and inflation, making the central bank’s financial health crucial. Previous debates have also focused on government spending and its impact on the nation's financial stability.
“Minus 4 billion cedis puts the Bank of Ghana in policy insolvency,” Oppong Nkrumah said. He warned that depending on selling assets to fill money gaps is not a good long-term plan. He made this statement during a press conference on Sunday, May 3, to highlight the Minority's concerns.
The Minority's assessment indicates a potential GHS 4 billion shortfall in the Bank of Ghana’s operational income. This shortfall exists if the GHS 9.6 billion gain from gold sales is excluded from the reported GHS 22.2 billion operational income. They argue that gold sales are one-time gains and not part of the central bank’s ongoing, sustainable income. Such a situation suggests the Bank of Ghana might struggle to cover its regular operational costs, including those for managing the money supply.
The caucus further alleged the sale of gold reserves aimed to “create artificial revenue.” They believe this obscured the bank’s true financial position. Such actions, they suggest, signal increasing difficulties within the institution. The Minority linked this situation to costly policy choices, such as using expensive ways to manage the money supply. This includes a sharp increase in interest payments on central bank bills.
If these financial pressures continue, the central bank’s ability to keep prices stable and support the economy could weaken. Decision-makers and financial markets will closely watch how the Bank of Ghana addresses these claims. This situation might also lead to calls for corrective measures to prevent a potential government bailout. Any future statements or actions from the Bank of Ghana regarding its financial health will be critically important.