The Bank of Ghana (BoG) has commissioned an external audit of its Gold for Oil and Gold for Reserves programmes following cumulative losses estimated at approximately GH¢2.2 billion, Governor Dr. Johnson Asiama disclosed on January 12.
Dr. Asiama appeared before Parliament’s Public Accounts Committee (PAC) to provide detailed information on net losses incurred under both initiatives. He revealed the Gold for Oil programme was cancelled in March 2025, not May as initially stated, due to operational challenges and financial losses.
The governor explained that too many issues existed under the Gold for Oil programme that needed to be unearthed. The BoG board therefore authorized an external audit into the policy, obtaining Public Procurement Authority (PPA) approval approximately two months ago. The audit exercise is currently underway.
Preliminary figures indicate the Domestic Gold Purchasing Programme recorded a GH¢5.6 billion loss in 2024 alone. The central bank used gold instead of foreign exchange to procure petroleum products under the Gold for Oil scheme, aiming to ease pressure on the country’s dollar reserves.
Dr. Asiama emphasized that the figures are provisional and subject to the ongoing audit. He noted that commenting on 2025 performance would be premature, adding that audited financial statements are expected by March 2026.
The governor defended the cancellation decision, stating that since the Gold for Oil programme ended in March 2025, Ghana has not experienced a buildup of queues at fuel pumps. One of the policy’s key objectives was preventing such shortages, making the cancellation worthwhile according to the central bank.
Under the Gold for Oil programme, which the previous government introduced to counter currency swings, the central bank bought gold in local currency and then used it to barter or purchase oil. Ghana’s oil import bill reached $4.5 billion in 2024. As of September, BoG had bought 65.4 tons of gold for its foreign reserves and for executing the barter programme.
Turning to the Gold for Reserves initiative, Dr. Asiama clarified that the policy’s principal aim is bolstering Ghana’s foreign exchange reserves. Based on available data, the programme remains viable but requires targeted reforms to eliminate inefficiencies and enhance effectiveness.
The governor stressed that the suspension does not amount to complete termination but aims at improving efficiency. He added that reforms involving the Ghana Gold Board (GoldBod) form part of efforts to address weaknesses identified in the programme’s implementation.
Dr. Asiama said it is not simply a question of losses then and now, urging a broader assessment of the policy objectives behind the initiatives. The schemes were introduced to address specific national problems when foreign exchange markets were fragile and confidence was weak.
Looking ahead to 2026, the BoG plans to hold a policy workshop with experts, market practitioners and policymakers to review and adjust the Domestic Gold Purchase Programme. The central bank, working with GoldBod and the Ministry of Finance, intends to assess ways to improve and sustain the programme as Ghana moves beyond the stabilization phase of its economic recovery.
The governor said the Gold for Reserves programme should be more firmly embedded within the broader government policy framework, with shared responsibility to ensure its sustainability does not rest on a single institution. The remaining programme must be more firmly anchored across government institutions.
Several changes were introduced in 2025 to recalibrate the programme, including cancellation of the Gold for Oil arrangement and revisions to the Gold for Reserves framework. Governance, transparency and risk controls were strengthened, particularly within the artisanal and small scale gold trading sector.
Settlement risks were reduced through payment before release arrangements and ring fencing of offtake proceeds. Pricing structures were revised through reductions in discounts, agent fees and assay charges. A gold foreign exchange auction mechanism was also introduced to provide a more orderly and transparent channel for gold related foreign exchange flows.
The Domestic Gold Purchase Programme was launched at the height of Ghana’s economic vulnerability following the country’s 2022 debt default. The initiative was designed to bolster foreign reserves, stabilize the cedi and support recovery by leveraging the country’s gold resources as Africa’s biggest gold producer.
Dr. Asiama acknowledged the programme played a vital role in the stabilization effort, though it came at significant cost. Under the original structure, which included multiple components such as Gold for Oil and Gold for Forex arrangements, the central bank absorbed substantial financial risks to protect offtake agreements and restore market confidence.
The workshop planned for 2026 will provide an opportunity for stakeholders to examine how the programme can be refined in line with best practices in other jurisdictions. The focus should no longer be on whether the programme should exist but on how it is governed, refined and sustained in the national interest, according to the governor.
