Ghana’s Central Bank Gold Reserves Increase By 11 Tonnes In 2024

Joy ChukwuFebruary 1, 20251 Mins read36

According to the Bank of Ghana, Ghana has expanded its gold reserves to 30.5 tonnes by the end of December 2024, up from 19.5 tonnes the previous year.

The increase is attributed to the country’s ongoing national gold purchase programme, which requires mining companies to sell 20 per cent of their production to the central bank in local currency.

The programme, initiated to strengthen Ghana’s foreign exchange reserves, has contributed to a rise in gross international reserves, which reached $8.98 billion at the end of 2024.

According to a statement from the Monetary Policy Committee of the Bank of Ghana, gross international reserves reached $8.98 billion, covering 4 months of imports, compared to $5.92 billion, covering 2.7 months of imports at the end of 2023.

The Monetary Policy Committee of the Bank of Ghana also indicated in July 2024 that “the increase in gross international reserves was aided by the good performance of the national gold purchase programme.”

Ghana has maintained its position as Africa’s top gold producer, with production reaching between 4.5 and 4.9 million ounces, an increase from 4 million ounces in 2023.

In 2024, Ghana’s gold exports surged by 53.2 per cent year-on-year to $11.64 billion, significantly contributing to a record trade surplus of $4.98 billion, up from $2.7 billion the previous year.

The surge is despite challenges with illegal small-scale mining, known locally as “galamsey.” In the first seven months of 2024, small-scale mines produced 1.2 million ounces of gold, surpassing the total for 2023. Much of this gold is smuggled out of the country, leading to losses in export revenues.

To address these issues, Ghana’s government plans to establish a Gold Board to streamline gold purchases from small-scale miners, increase earnings, and reduce smuggling. The board aims to enhance benefits from gold sales and support national currency stability. It is expected to launch in early March and will adhere to London Bullion Market Association standards to prevent trade in gold linked to human rights abuses or environmental harm.