Mining and energy expert Ing. Wisdom Gomashie states that Ghana's Domestic Gold Purchasing Programme began before the current government. He claims attempts by officials to attribute the policy solely to the present administration are misleading. This programme aims to increase Ghana's gold reserves and stabilise the local currency.
Ing. Gomashie accused the government and the Ghana Gold Board (GoldBod) of downplaying the previous administration's role. He stated the policy was already in effect in 2022. That specific year saw major mining companies agree to sell part of their gold output to the Bank of Ghana in cedis. Reports from 2022 confirmed the Bank of Ghana launched the programme to support the cedi and national reserves.
This discussion fits into Ghana's broader economic narrative around resource management and currency stability. Ghana, a major gold producer, faces ongoing challenges in managing its foreign exchange reserves and local currency value. Previous efforts to formalise and nationalise parts of the mining sector have seen mixed results. The Domestic Gold Purchasing Programme is a key tool in these efforts, aiming to retain more gold within the country's financial system.
GoldBod is presenting a recent sale of gold from the Damang mine as a new achievement. Ing. Gomashie argued this constitutes political propaganda. He warned that the government might use these developments to take control of other mining concessions. He described this potential action as non-transparent.
The Bank of Ghana launched the Domestic Gold Purchasing Programme to increase Ghana's gold reserves. It also sought to stabilise the Ghana cedi. Agreements with members of the Ghana Chamber of Mines ensured they sold a portion of their gold output to the central bank in local currency. Gold Fields' 2022 annual report confirmed the company sold about 26,000 ounces of gold to the Bank of Ghana under this programme. This amounted to a significant GHS sum, strengthening the central bank's holdings.
Recent reports show the government expanded the policy through GoldBod. This expansion increased the share of gold expected from mining firms from 20 percent to 30 percent. This aims to further strengthen Ghana's reserves and support the local currency. Ing. Gomashie has called for complete transparency and fairness in the mining sector. He is cautioning against politically motivated interference in the industry's operations and oversight.
The expansion suggests an increased reliance on domestic gold purchases to address economic pressures. Investors and market watchers will closely monitor the programme's long-term impact on the cedi and foreign exchange reserves. The government's actions regarding mining concessions will also be under scrutiny. These developments highlight the ongoing interplay between Ghana's political landscape and its vital mining industry.