IEA Challenges GH¢1.7bn GoldBod Loss Claim

The Institute of Economic Affairs (IEA) has disputed claims that the Ghana Gold Board (GoldBod) suffered a GH¢1.7 billion loss through the Bank of Ghana’s Domestic Gold Purchase Programme.
According to the IEA, a significant portion of the amount being described as a loss is instead linked to accounting and foreign-exchange valuation differences arising from gold transactions between the Bank of Ghana (BoG) and GoldBod.
Speaking at the IEA’s assessment of the 2026 mid-year budget review on Wednesday, the Institute’s Director of Research, Professor Alexander Bilson Darku, explained that the figure included service and assaying fees paid by the BoG to GoldBod for services provided on behalf of the Central Bank.
He questioned why such payments should be classified as losses when they represent revenue received by GoldBod.
Prof. Darku said approximately 90% of the reported GH¢1.7 billion figure was largely associated with exchange-rate valuation differences.
He explained that GoldBod purchases gold on behalf of the BoG, with proceeds later converted from US dollars into Ghana cedis using the applicable reference exchange rate. Changes between the exchange rate at the time of purchase and the rate used when valuing the proceeds can therefore create an accounting difference in the BoG’s records.
The IEA researcher argued that such a difference should not automatically be interpreted as an actual loss of national wealth.
He further noted that transactions between two government institutions should be considered from the perspective of the state as a whole. A cost recorded by the Central Bank could, at the same time, represent income for GoldBod.
However, Prof. Darku said GoldBod’s finances still require close monitoring, particularly as the institution moves away from relying primarily on BoG financing and begins to attract funding from private-sector sources.
He said the new financing structure could help develop Ghana’s capital markets if managed properly, but stressed the need for transparency, effective financial management and strong oversight.
The IEA also acknowledged GoldBod’s contribution to the economy through increased gold exports, foreign-exchange inflows and reserve accumulation. Prof. Darku said these developments have supported the stability and appreciation of the cedi.
According to him, greater exchange-rate stability could contribute to lower import costs, inflation and interest rates while improving Ghana’s debt-to-GDP position and its ability to manage foreign-currency obligations.
Despite this, he cautioned against depending too heavily on gold to support the exchange rate and build reserves.
He urged the government to strengthen export promotion, import substitution, foreign-exchange market regulation and local participation in the economy.
Prof. Darku commended the government for making progress on macroeconomic stabilisation but said the next challenge is to convert those gains into sustainable economic growth and improved livelihoods.
He called for greater investment in agriculture, employment-focused growth, increased local processing of natural resources and reforms to the natural-resource sector.
He also advocated transforming GoldBod from primarily a gold trading institution into a strategic asset manager.
Additionally, the IEA Director of Research called for stronger enforcement powers for the Fiscal Council and measures to ensure that reductions in the monetary policy rate translate into lower lending costs for businesses and other private-sector operators.

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