Skip to main content

Ghana’s recovery supported by gold strength despite global oil price pressures – Standard Bank Research

Ghana’s economic recovery continues to show encouraging signs of resilience, supported by strong gold export performance and improving macroeconomic stability, even as rising global oil prices present new external challenges. That is according to the latest economic outlook on Ghana by Standard Bank, Stanbic Bank Ghana’s parent company.

Speaking on recent developments, Head of Africa Research at Stanbic Bank, Jibran Qureishi, noted that Ghana has made meaningful progress in stabilizing inflation, rebuilding foreign exchange reserves, and restoring confidence in the economy. While global energy market developments require careful monitoring, he said the country is better positioned today to navigate external shocks.

He explained that, as a net oil importer, Ghana remains sensitive to movements in global crude prices, particularly amid ongoing geopolitical uncertainty. However, stronger domestic fundamentals and policy reforms are helping to cushion potential impacts on the broader economy. “Domestic conditions have improved significantly, and Ghana has built important buffers. While higher oil prices may create some upward pressure on transport and food costs, the economy is entering this phase from a position of greater stability,” he said.

Recent trade data reflects both the opportunities and challenges facing the economy. By February 2026, oil imports reached approximately $852.7 million, compared to $451.5 million in oil exports, highlighting the importance of continued diversification and prudent economic management.

Encouragingly, gold exports have emerged as a major pillar of strength. Export earnings surged to $4.3 billion in February 2026, up from $2.3 billion during the same period last year, reinforcing Ghana’s external position and supporting foreign exchange inflows. Qureishi credited the Bank of Ghana’s domestic gold purchase programme as a key contributor to this improvement, helping to expand reserves and enhance currency stability.

Gold has become an important stabilizing force for Ghana’s economy,” he said. “It is helping offset pressures from oil imports while sustaining a strong current account position under challenging global conditions.”

Foreign exchange reserves have correspondingly strengthened, rising to about $12.5 billion in February 2026, equivalent to more than five months of import cover. This improvement has supported relative stability in the cedi and strengthened investor confidence despite global market volatility. While global financial conditions remain dynamic, Stanbic noted that Ghana’s improved external buffers provide greater flexibility to manage potential fluctuations in export demand, including shifts in global gold markets.

oil price, Standard Bank

ibran Qureishi, Head, Economics Research, Africa Regions, Stanbic Bank

For businesses, particularly small and medium enterprises (SMEs), evolving global conditions underscore the importance of efficiency and adaptation. Although higher fuel prices may raise operating costs, ongoing macroeconomic stabilization and improved currency conditions are expected to support planning certainty and business confidence across sectors such as agriculture, manufacturing, and trade. Farmers, traders, and logistics operators stand to benefit from a more stable economic environment, even as they adjust to changing input costs within the global marketplace. Qureishi emphasized that Ghana’s recent macroeconomic progress presents a valuable opportunity to consolidate reforms and strengthen long-term resilience.

He highlighted ongoing efforts to improve foreign exchange market functioning, including reforms to gold export proceeds and adjustments to FX trading rules, as positive steps that are enhancing transparency, reducing speculative pressures, and deepening market confidence. “Ghana has made important strides,” he said. “By maintaining policy discipline and continuing reforms, authorities can build on current momentum, strengthen economic buffers, and sustain progress on inflation and currency stability despite global uncertainties.”

 

Comments

Popular posts from this blog

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...

Tender Committee recommends E&P for Damang Mine lease transfer

  A Tender Committee has recommended the grant of the mining lease for the Damang Gold Mine to Engineers and Planners Limited, following a competitive evaluation process conducted by the Minerals Commission. The recommendation comes after a tender process initiated under Regulation 258 of the Minerals and Mining (Licensing Regulations), 2012 (LI 2176), aimed at selecting a strategic investor to take over the mining lease and operations of the Damang mine. According to the report, four companies responded to the public tender announced in the media. Out of these, two firms were shortlisted by the Mineral Titles Department of the Minerals Commission and subsequently submitted to the Tender Committee for detailed assessment. After what was described as a comprehensive evaluation, Engineers and Planners Limited emerged as the highest evaluated bidder, leading to the Committee’s recommendation for the award of the lease. Gold Fields Ghana Limited, which has operated in the country since...