Skip to main content

BoG celebrated as gold-standard for central management of commodities


The Bank of Ghana (BoG) is backing plans to expand domestic gold refining and value addition as part of a strategy to strengthen the country’s position in the global bullion trade and capture a greater share of export revenues. First Deputy Governor, Dr. Zakari Mumuni said interest from international and domestic investors in establishing gold refineries in Ghana presents a “very good prospect” for deepening the commodity value chain, creating jobs, and improving the country’s trade balance.

Speaking at the 2025 GHIB CNVERGE Conference in London —under the theme ‘Rethinking Commodity Finance for Growth’ — Dr. Mumuni noted that Ghana has historically exported most of its mined gold in raw form, despite being Africa’s leading producer and one of the top 10 globally. In 2019, gold accounted for nearly 56 percent of total export earnings, yet the country added nothing to its official gold reserves that year. “This is another avenue where financing, given the place of Ghana in the mine of gold, can support the establishment of refineries and other value chain infrastructure,” he said.

Such investments would enable the country to retain more value from its natural resources rather than exporting it almost entirely unprocessed,” he added.

The CNVERGE Conference, convened by Ghana International Bank (GHIB), brought together leaders from banking, trade finance, commodity trading, and policymaking to explore ways Africa can move beyond raw commodity exports. Sessions at this year’s event examined opportunities to leverage technology, unlock innovative financing models, and build a more integrated and competitive trade ecosystem.

Dr. Mumuni’s remarks followed the central bank’s recent initiatives in gold-backed policy instruments, including the Domestic Gold Purchase Programme (DGPP) and the Gold-for-Oil (G4O) scheme. Since launching the DGPP in June 2021, BoG has increased its bullion holdings from 8.7 tonnes to 33 tonnes, exceeding its original five-year reserve-doubling target well ahead of schedule. Officials argue that refining capacity within Ghana would not only increase export value but also support the bank’s reserve accumulation strategy, facilitate collateralised financing, and improve the integrity of the gold supply chain through local verification and certification. The proposed expansion of refining capacity aligns with a wider policy objective of moving Ghana up the value chain in commodities — a goal often discussed in relation to cocoa but increasingly relevant to gold, which remains the country’s most significant export.

Dr. Mumuni also pointed to opportunities in gold identification, storage, and trade facilitation, stressing that a coordinated effort between the public and private sectors could unlock significant economic benefits. Analysts say the move could help Ghana capture additional margins from processing, reduce logistical costs associated with exporting raw gold, and position the country as a refining hub for the West African subregion. However, they caution that building a competitive refining industry will require not only capital investment but also consistent regulatory standards and environmental safeguards.

With global demand for traceable, responsibly sourced gold on the rise, expanding domestic refining could also enhance Ghana’s reputation as a compliant and credible source of bullion — a factor that could attract more foreign investment into both mining and downstream processing. For policymakers, other participants stressed, the prospect is clear: by investing in infrastructure that keeps more of the gold value chain within its borders, Ghana stands to strengthen its trade position, improve fiscal resilience, and generate new streams of economic activity.

Comments

Popular posts from this blog

UK-Ghana Trade & Investment Summit: Trade Resource Centre to help businesses maximise UK-Ghana trade opportunities

 In a significant boost to UK-Ghana trade and investment relations, the UK-Ghana Chamber of Commerce (UKGCC), in partnership with the UK-Ghana Jobs and Economic Transformation (JET) Programme, has launched the UK-Ghana Trade Resource Centre, a practical market-access platform designed to help businesses identify opportunities, navigate export requirements and build commercial partnerships between Ghana and the United Kingdom. The UK and Ghana enjoy strong trade relations, with total bilateral trade reaching approximately £1.6 billion in the year to Q1 2026. Yet, despite this progress, significant untapped opportunities remain for businesses in both countries. The Trade Resource Centre has been established to help bridge information gaps, connect businesses with the right partners, and support firms to take greater advantage of opportunities under the UK-Ghana Trade Partnership Agreement. The launch formed one of the major outcomes of the UK-Ghana Trade & Investment Summit 2026,...

NESCAFÉ Launches Real Vibes Text & Win Promo to Reward Coffee Consumers Across Ghana

 NESCAFÉ has launched the Real Vibes Text & Win Promo, an exciting consumer promotion designed to reward loyal coffee lovers and bring the brand’s My Coffee, My Vibe experience even closer to consumers across the country. Running from September to December, the promotion gives consumers the opportunity to enjoy their favourite NESCAFÉ coffee while standing a chance to win exciting prizes, including phones, motorcycles, airtime and the ultimate grand prize—an electric SUV. Speaking at the launch, Lily Ntim, Category Development Manager for NESCAFÉ, said the promotion reflects NESCAFÉ’s commitment to creating, rewarding and memorable experiences for consumers. “Today, we are excited to introduce the NESCAFÉ Real Vibes Text & Win Promo, a campaign designed to bring the My Coffee, My Vibe experience even closer to our consumers,” she said. She added that the campaign is not only about prizes, but also about celebrating the everyday moments consumers enjoy with their coffee. “T...

Ghana Home Loans

With interest rates declining, a more liquid environment and a macroeconomic stability, mortgage financing is expected to see an ease of credit. And Ghana Home Loans being a leader in this industry is expected to lead the way. Ghana Home Loans (GHL), a leader in home mortgage, continues to be the frontier in fulfilling dreams of many Ghanaians in homeownership. Since starting business in 2006, it has also provided many existing homeowners with Equity Release mortgages to support their businesses, pay educational fees, improve their properties, or simply pursue other personal hobbies and interests. Ghana Home Loans is a mortgage finance institution which operates under Bank of Ghana’s supervision as a non-bank financial institution. At present, the Company remains the only such institution that focuses exclusively on the provision of mortgage product. Through the Home Completion mortgage and Home Construction mortgage products, Ghana Home Loans has enabled many qualified applican...