The Bank of Ghana (BoG) will begin foreign exchange (FX) intermediation under its Domestic Gold Purchases Programme (DGPP) this October as part of efforts to enhance market transparency, deepen price discovery, and stabilise the cedi.
In a statement issued in Accra, the central bank said it plans to sell up to US$1.15 billion in foreign exchange for the month through twice-weekly, price-competitive auctions open to all licensed banks.
The transactions will be conducted on a spot basis with no preferential treatment, earmarking, or special allocation conditions.
“The overarching objective remains clear — to deepen the interbank FX market, enhance price discovery, and smooth volatility,” the BoG stated.
The Bank explained that auction volumes may be adjusted from month to month depending on evolving market conditions but pledged to maintain full transparency in its FX operations.
It said details of all sales and allocations would continue to be published in line with best international central banking practices.
According to the BoG, the initiative aligns with its broader efforts to strengthen Ghana’s FX management framework, promote monetary stability, and improve confidence in the cedi amid ongoing external sector pressures.
The Bank of Ghana (BoG) has announced that the country’s gold reserves recorded a significant rise of 36.02 tonnes at the end of August 2025.
The sharp rise in reserves has bolstered the central bank’s ability to support external payments and manage FX liquidity more effectively.
Officials have described gold accumulation as a strategic pillar in diversifying Ghana’s reserves portfolio away from traditional holdings dominated by the US dollar and other foreign currencies.
Analysts say the move to link FX intermediation directly to the gold programme will help the BoG leverage its growing reserves base to moderate exchange rate volatility and promote a more efficient interbank market.
The October auctions will be the first under the new structure, and market participants expect strong interest from commercial banks seeking to hedge exposures amid seasonal import demand pressures.
By integrating gold-backed liquidity into the FX market, the central bank hopes to reinforce confidence in Ghana’s monetary policy, stabilise the cedi, and create a more resilient foundation for future economic recovery.
