BY Daniel Bampoe
The political debate over the currency management has resurfaced sharply, with the Minority in Parliament accusing the Bank of Ghana (BoG) of executing what they describe as “secretive, aggressive, and unsustainable” foreign exchange interventions.
According to the Minority, the central bank has injected an estimated US$8 billion into the economy between January 2025 and now—an amount they insist was never publicly acknowledged by the BoG until recent disclosures through International Monetary Fund (IMF) documentation.
This development marks the latest chapter in the long-running struggle to stabilise the local currency, the cedi. In recent years, the BoG has relied on a mix of policy tightening, gold-for-oil initiatives, and limited FX auctions to cushion the cedi during periods of global shocks and domestic fiscal pressure.
However, the 2025 interventions, the Minority argues, represent an “unprecedented scale” of dollar releases into the market.
The Minority’s criticism intensified after the IMF’s latest review report referenced the central bank’s substantial interventions—a revelation that contradicted earlier denials from BoG officials.
According to the opposition lawmakers, the disclosures expose what they consider a lack of transparency in the management of the country’s reserves and FX strategies.
Despite months of heavy interventions, the cedi’s appreciation—from GHS14 to GHS11 per dollar—has not impressed the Minority, who say the recovery should have been stronger if the BoG’s measures were truly effective.
Instead, they argue, the modest gain merely masks deeper structural problems within the economy, including weak export earnings, heavy import dependence, and unresolved fiscal pressures stemming from government borrowing.
Economists have long warned that reliance on direct Forex injections provides only temporary relief, especially in an economy where fundamentals remain fragile.
The Minority insists that the current path could drain national reserves and expose the country to more severe shocks later in the year, particularly ahead of major external debt servicing obligations.
As Parliament prepares to scrutinise the government’s broader economic outlook for 2026, the controversy surrounding the BoG’s US$8 billion intervention is expected to dominate discussions.
The Minority is calling for full disclosures, a review of Forex management strategies, and a shift toward long-term solutions that strengthen production, boost exports, and reduce the country’s heavy reliance on the US dollar.
