BoG Archives - Page 22 of 23

27 Oct

Over Reliance On Monetary Policy To Fight Inflation, Stabilise Cedi Not Oorking – GNCCI

wontumionlineBusinessBoG, CEDI DEPRECIATION, GNCCI, Inflation, Monetary Policy

The Ghana National Chamber of Commerce and Industry (GNCCI) is raising concerns about the excessive reliance on monetary policy by the Bank of Ghana to control inflation and the cedi’s depreciation. According to him, the monetary policy tool is not working but rather worsening the economic situation. “There is the need to align the monetary and fiscal policies to address the situation by implementing unorthodox homegrown policies to tackle the ongoing economic crisis”, Clement Osei-Amoako, President of the Chamber disclosed at the 46th Annual General Meeting of the GNCCI in Accra. He urged government to work with the multinational companies…

26 Oct

$1.13bn Cocoa Syndicated Loan: First Tranche Expected To Hit BoG Account Today

wontumionlineBusinessBoG, Joseph Aidoo

The first tranche of the $1.13 billion cocoa syndicated loan is expected to hit the account of the Bank of Ghana today, October 26, 2022. Sources indicate that about $790 million is expected to come in from the consortium of banks. The $790m forex to be received by the BoG, is expected to bolster the cedi and shore up its value against the US dollar. The funds which will be used to finance purchases of cocoa beans will also boost the country’s Balance of Payment (BoP). Finance Minister, Ken Ofori-Atta, on Tuesday confirmed the inflows of the cocoa syndicated loan…

24 Oct

Debt Restructuring To Weaken Cedi; BoG Partly To Blame For Cedi Woes – JP Morgan

wontumionlineBusinessBoG, CEDI, Debt Reconstruction, FX, MP Morgan

Global leader in financial services and US firm, JP Morgan has warned that the probable debt restructuring of Ghana’s debt would further weaken the Ghana cedi, even if an increase in Foreign Exchange Forward Auction sizes or reversal of the foreign exchange (FX) purchase policy results in short-term respite for the cedi. In its Emerging Market Quick Take on Ghana cedi’s performance, it said the Bank of Ghana’s decision to purchase dollars from mining and oil companies, inadvertently reducing forex availability within the inter-bank market is one of the reasons behind the falling value of the cedi. It also said…

20 Oct

BoG Dollar Auction: Demand Surpasses Supply By $79.7m As $1 Nears ¢13

wontumionlineBusinessbids, BoG, CEDI, Forex Forward Rates Auction

Demand for the US dollar surged further, according to the latest auction of the American ‘greenback’ by the Bank of Ghana (BoG). Data from the Central Bank indicates that demand surpassed supply by $79.75 million, compared with $75.25 million recorded a fortnight ago. According to the latest result from the sale of dollars through the Forex Forward Rates Auction to dealers, the Bank of Ghana supplied $25 million to the dealers, largely the banks. However, the bids submitted for the purchase of the American ‘greenback’ was estimated at $104.75 million, higher than the $100.25 million recorded a fortnight ago (October…

18 Oct

‘Arrest’ Dollar To Bring Fuel Prices Under Control — COPEC To BoG

wontumionlineBusinessBoG, COPEC, dollar, fuel

The Chamber of Petroleum Consumers Ghana (COPEC) has asked the Bank of Ghana and the Economic Management Team to take immediate steps to halt the fast decline of the Cedi against the US Dollar to stabilise fuel prices. The Chamber attributed the continuous hikes in fuel prices to the “free fall” of the Cedi and cautioned that fuel prices could hit “uncontrollable” levels in future if the local currency was not stabilised. In an interview with the Ghana News Agency, Mr Duncan Amoah, Executive Secretary of COPEC, said fuel prices could hit GHS20 per litre by the end of the…

07 Oct

Use Gold To Control Rising Inflation – Jantuah Tells Govt, BoG

wontumionlineBusinessBoG, Inflation

Energy Expert Mr Kwame Jantuah has suggested to the managers of the Ghanaian economy to use gold to control inflation in the country. In his view, Gold has the ability to hedge inflation hence must be utilized properly. The former Vice President pf the Public Interest and Accountability Committee (PIAC) said this whiles speaking on the increment of the Policy Rate by the Monetary Policy Committee (MPC) of the Bank of Ghana (BoG) from 22 per cent to 24.5 per cent. He said “Gold is a good commodity for hedge of inflation. Are we the first largest producer of gold in Africa? How have…

07 Oct

Ghana’s Gross Reserves Fall To 2.9 Months Of Import Cover In September 2022

wontumionlineBusinessBoG, Exports, Gold, gross international reserves, imports

Ghana’s Gross International Reserves fell to $6.6 billion, equivalent to 2.9 months of import cover for goods and services in September 2022, data from the Bank of Ghana has revealed. This is compared with the December 2021 position of $9.7 billion, equivalent to 4.3 months of import cover. However, net International Reserves, which exclude encumbered assets and petroleum funds, is estimated at US$2.7 billion as at September 2022. Trade surplus hits $1.7bn Meanwhile, Ghana recorded a trade surplus of $1.7 billion dollars in the eight months of this year. This far exceeds the surplus of $892.4 million dollars recorded in…

07 Oct

Ghana’s Debt Stock Up ¢9bn To ¢402.4bn In July 2022 – BoG

wontumionlineBusinessBoG, debt, debt to GDP, Domestic debt, external debt, summary of Economic and financial data

Ghana’s public debt stock went up by ¢9 billion in July 2022 to ¢402.4 billion, the October 2022 Bank of Ghana Summary of Economic and Financial Data has revealed. This is equivalent to 68% of Gross Domestic Product, and is in sharp contrast to the projected 104.6% of debt to GDP ratio in 2022 by the World Bank. In dollar terms, the country’s debt dropped marginally to $53.2 billion in July 2022, from $54.4 billion in June 2022. Based on the data, the nation did not borrow fresh funds from the international market during the period. However, the debt level…

28 Sep

SSNIT Pension Scheme Continues To Post Negative Return On Investments; Records -12.6% Return In Quarter 1 – Report

wontumionlineBusinessBoG, Financial Stability Review, Pension scheme, SSNIT

The Social Security and National Insurance Trust (SSNIT) pension scheme continued to post a negative real rate of return, recording -12.6% at the end of the first quarter of this year. According to the Financial Stability Review report by the Bank of Ghana, assets available for benefits of the SSNIT-managed Basic National Social Security Scheme (BNSSS) dropped marginally by 2.3% to ¢11.28 billion in March 2022 from the ¢11.54 billion recorded in 2021 Quarter 4. Also, though the private pensions industry remained resilient in 2021, the worsening macroeconomic conditions in the 1st half of this year present a new challenge…

28 Sep

BoG Maintains Tough Stance On Inflation Fight

wontumionlineBusinessBoG, Dr. Ernest Addison

Governor of the Bank of Ghana (BoG) Dr. Ernest Addison has indicated that the monetary authority will not relent in its battle to beat down inflation and attain price stability, despite global and local pressures militating against its efforts. In a speech read on his behalf at the 39th Annual General Meeting (AGM) of the Ghana Bankers’ Association (GAB) by the Head of Banking Supervision at the central bank, Osei Gyasi, the Governor suggested that further rate hikes are within the realm of possibility, albeit without hinting at an imminent raise. “With continued pressures and heightened inflation expectations… considering that inflation remains…