The government has allocated GH¢5 billion, equivalent to about US$429 million, to support continued gold purchases for Ghana’s reserves, shifting the financing burden from the Bank of Ghana (BoG) to the national budget.
The allocation, contained in Finance Minister Cassiel Ato Forson’s revised 2026 budget, will go to the Ghana Gold Board (GoldBod), which purchases unrefined gold from small-scale miners in cedis before exporting it.
The move means the financial risks associated with the gold-buying programme will now be borne by the national budget, raising concerns about potential exposure for taxpayers.
From Bank of Ghana to the Budget
The Bank of Ghana previously financed the gold purchases as part of efforts to rebuild the country’s foreign exchange reserves.
However, the central bank announced last week that it would no longer fund GoldBod, leaving the national budget to finance the programme.
The programme carries significant financial risks because GoldBod purchases gold in cedis and sells it in US dollars. Changes in gold prices, exchange rates and the timing of transactions can therefore result in losses.
Previously, such losses were reflected on the Bank of Ghana’s balance sheet. With the financing now moving to the budget, the potential cost could directly affect the government’s fiscal position.
Previous Gold Programme Recorded Losses
There is already a precedent for the financial risks involved.
The Bank of Ghana’s Domestic Gold Purchase Programme, which was introduced to help strengthen the country’s reserves, reportedly cost the central bank approximately GH¢9.05 billion in 2025.
The BoG described the cost as a policy-related expense associated with efforts to support the stability of the cedi.
Moving similar activities onto the national budget could expose government finances to comparable risks, particularly as Ghana continues to operate under fiscal constraints linked to its IMF programme.
Gold Strategy Has Boosted Reserves
Despite the risks, the government’s gold strategy has delivered significant benefits to Ghana’s external position.
Gold purchases have contributed to rebuilding the country’s foreign exchange reserves and supporting the stability of the cedi through 2025 and into 2026.
GoldBod has also reported strong export earnings, recording more than US$10 billion in gold exports in 2025, contributing to Ghana’s record overall export earnings of about US$31 billion during the year.
The government is therefore betting that continued gold purchases will help strengthen reserves, support the cedi and provide greater external stability.
Questions Over GoldBod’s Financial Performance
However, GoldBod’s own financial performance has become a subject of political debate.
The Minority in Parliament has raised concerns about losses allegedly incurred by the institution, while GoldBod Chief Executive Officer, Sammy Gyamfi, has rejected the claims and pointed instead to a reported GH¢5.44 billion surplus.
The conflicting figures have increased calls for greater transparency over GoldBod’s accounts and the financial implications of the gold-buying programme before additional public funds are committed.
The decision also comes as the Bank of Ghana has taken steps to reduce concentration risk in its own gold holdings, reflecting concerns about excessive exposure to a single volatile asset.
With GH¢5 billion now committed from the national budget, the government is effectively placing part of its limited fiscal space behind continued gold purchases—leaving taxpayers exposed if gold prices, exchange rates or market conditions move unfavourably.
The allocation forms part of the revised 2026 budget presented to Parliament this month.
