BoG Archives - Page 11 of 22

09 Oct

T-Bills Auction: Interest Rates Hit 33.01%; Government Records 24.5% Oversubscription

wontumionlineBusiness182-day bill, 364-day bill, 91-day bill, BoG, Interest rates, T-Bills

Interest rates shot up on the money market to hit 33.01%. This is coming despite the government recording a 24.5% oversubscription of Treasury bill sales at a lower target. According to the auction results from the Bank of Ghana, all the rates across the yield curve increased. Whilst the 364-day T-bill reached 33.01% from 32.85% the preceding week, that of the 182-day bill inched up to 31.21% as against 30.67% previously. The yield on the 91-day also went up by 0.69% to 29.19%. Analysts and market watchers are worried about the increasing domestic debt. Meanwhile, the bids tendered for the…

04 Oct

BoG Has Done No Wrong, Deal With Finance Ministry – Nana Otuo Acheampong To Minority

wontumionlineBusinessBoG, Dr. Ernest Addison, Mahama Ayariga, Nana Otuo Acheampong, Samuel Okudzato Abalkwa

Banking Consultant, Nana Otuo Acheampong has jumped to the defense of the Bank of Ghana and its governors. According to him, the Governor of the Central Bank, Dr. Ernest Addison did no wrong by accepting to write off 53.1 billion cedis of government’s debt accrued from the Domestic Debt Exchange Programme (DDEP). He was reacting to the Minority’s call for the resignation of the Central Bank’s Governor and his deputies, for the mismanagement of the bank and the printing of money to support government expenditure without recourse to parliamentary approval. Speaking on PM Express, Nana Otuo Acheampong said, the BoG…

04 Oct

BoG’s ¢60B Loss Is Abnormal And Beyond The Bank’s Control – Expert

wontumionlineBusiness60 billion cedis loss, BoG

The Minority in Parliament, alongside some Ghanaians, protested against the Bank of Ghana Governor, Ernest Addision and his deputies following a staggering ¢‎60 billion loss, which the protestors say was because of mismanagement. However, in contrast to this perspective, a banking consultant holds a different viewpoint. According to Nana Otuo Acheampong, the 2022 BoG loss was not only abnormal but beyond the control of the Central Bank as a result of the Domestic Debt Exchange Programme (DDEP). He explained that a DDEP is not a yearly occurrence and as such the BoG does not stand to lose such a huge…

03 Oct

Increased Domestic Demand And Strengthening Of Dollar Globally To Weigh On Cedi

wontumionlineBusinessBoG, CEDI, dollar, pound

Increased domestic demand and the strengthening of the US dollar globally are expected to weigh on the cedi this week as some analysts predict a marginal weakening of the local currency this week. The dollar strengthened globally as the Fed intends to keep U.S. policy rates higher for a longer period. Last week, the local currency lost marginally against the American greenback. It tumbled as demand pressures continued to build up against the Bank of Ghana’s foreign exchange support. The Central Bank held its bi-weekly foreign exchange auction for Bulk Oil Distributing Companies and provided $20 million. Additionally, the Central…

03 Oct

BoG Paid Property Developer $36M During Ghana’s Worst Forex Crunch – A-G Report

wontumionlineBusinessBoG

The Auditor General, in its 2022 report, has revealed the Bank of Ghana (BoG) made payments worth $35,909,067.50 to Goldkey Properties Limited for the construction of a new corporate office in Tamale. JoyNews checks reveal a total amount of US$117,150,255.37 was paid to contractors for the period under review was compared with US$32,246,487.75 for the corresponding period of 2021, representing an increment of US$84,903,767.62 or 263.3%. According to the report, “the upsurge was attributable to the construction of Bank of Ghana (BoG) Corporate Office in Tamale and Sports infrastructure for the hosting and organization of the 13th African Games, Accra 2023 accounting…

29 Sep

Government To Borrow ¢2.57Bn On September 29 To Refinance Maturing Bills

wontumionlineBusinessBoG, debt, T-Bills

The government will borrow about ¢2.57 billion today September 29, 2023, to refinance maturing bills worth ¢2.41 billion. This is coming after the country’s debt went up by about ¢6.3 billion between April and June 2023 to reach ¢575.5 billion. With improved liquidity and lower refinancing pressure, analysts expect the treasury to achieve the auction target. The Monetary Policy Committee (MPC) of the Bank of Ghana left policy rate unchanged at 30.00% on Monday September 25, 2023, citing the considerable decline in upside inflation pressures. The decision leaves the cumulative hikes for this year at 300 basis points. Databank Research…

27 Sep

BoG Purchases Gold Worth $700m In Reserves As Part Of ‘Gold Purchasing Programme

wontumionlineBusiness‘Gold Purchasing Programme’, BoG, Dr. Ernest Addison

The Bank of Ghana has up to date purchased gold worth about $700 million in reserves as part of its ‘Gold Purchasing Programme’. According to the Governor of the Bank of Ghana, Dr. Ernest Addison, the domestic ‘Gold Purchasing Programme’ has been very strong in helping to stabilise the economy. “The domestic Gold Purchasing Programme has been very innovative and has been very strong in helping stabilise the economy, and has been very strong in helping to keep the exchange rate stable”. On the year-to-date basis, we have to the tune of over $700 million for reserves which is gold…

26 Sep

We Have Strong Buffers – BoG

wontumionlineBusinessBoG

The Governor of the Bank of Ghana, Dr Ernest Addison, has insisted that the central bank does not need a positive equity to be able to effectively play its role as the lender of last resort. The decision of the central bank to take a 50 per cent hair cut during the Domestic Debt Exchange Programme (DDEP) has resulted in huge losses which has affected the capital of the bank. This has prompted the need forthe bank to be recapitalised but considering the tight fiscal space that the government is operating in, talks and plans of recapitalising the BoG have…

25 Sep

Total Mobile Money Transactions Hit ¢1.190Trn In Eight Months Of 2023 – BoG

wontumionlineBusinessBoG, Mobile Money, Mobile Money Interoperability

Total Mobile Money transactions in the first eight months hit a record ¢1.190 trillion, according to the September 2023 Summary of Economic and Financial Data from the Bank of Ghana. This is compared with ¢655.97 billion recorded during the same period in 2022. According to the figures from the Central Bank, the month of July 2023 recorded the biggest mobile money transaction of ¢169.6 billion. From the figures, month-on-month mobile money transactions have been exceeding ¢130 billion. This pre-supposes that the government should be able to meet the Electronic Transfer Levy (E-Levy) target for 2023. According to the September 2023…

25 Sep

T-bills Auction: Government Achieves 25% Oversubscription; Interest Rates Up For 5th Month Running

wontumionlineBusiness182-day bill, 364-day bill, 91-day bill, BoG, Interest rates

Interest rates surged for the 5th month running despite government recording 25.7% oversubscription of treasury bills auction. According to auction results from the Bank of Ghana, total bids tendered for the short term securities were estimated at about ¢3.25 billion. The government however accepted about ¢3.09 billion of the total bids. According to the figures from the Central Bank, ¢2.143 billion of the total bids came from the 91-day bill, but the government accepted 2.114 billion. For the 182-day bill, the bids tendered were estimated at ¢674.64 million. However, the government accepted about ¢548.72 million. All of the ¢433.28 million offered…