By Magdalene Andoh
Economists have dismissed widespread claims that Ghana lost heavily from gold trading, saying the Bank of Ghana’s reported gold losses are largely accounting figures that mask major economic gains from the Ghana Gold Board (GoldBod).
In a new technical report presented to GoldBod, researchers from the University of Ghana and the University of Ghana Business School explain that the much-quoted US$214 million Bank of Ghana trading loss does not represent a direct cash loss to the state.
The report, dated January 4, 2026, was authored by Prof. Festus Ebo Turkson, Peter Junior Dotse, and Prof. Agyapomaa Gyeke-Dako.
Accounting Loss, Not Cash Loss
According to the economists, the reported loss is mainly the result of exchange-rate accounting rules. Gold is bought locally at near-retail exchange rates to discourage smuggling, but when foreign exchange from exports is recorded, it must be booked at the lower interbank rate.
This difference, they explain, creates a paper loss on the Bank of Ghana’s books, even though the country still receives the full economic value of the gold.
The actual economic cost of the programme—covering transaction fees, purity adjustments and discounts—is estimated at about 2.5 per cent of gold value, far lower than figures circulating in public debate.
Smuggling Cut, FX Inflows Surge
The report shows that GoldBod’s operations sharply reduced gold smuggling. Recorded artisanal and small-scale mining exports increased from 63.6 tonnes in 2024 to 103 tonnes in 2025.
The additional 39.4 tonnes, previously lost to smuggling, brought an estimated US$3.8 billion in foreign exchange into the formal economy.
Compared with the reported Bank of Ghana loss, the economists calculate a benefit-to-cost ratio of about 18 to 1, noting that formalising just 2.2 tonnes of gold would have been enough to offset the reported loss.
Wider Economic Benefits
Beyond the accounting debate, the report credits GoldBod with supporting exchange-rate stability, boosting foreign reserves, lowering the cost of debt servicing, and helping to slow inflation.
GoldBod-supported gold exports reached US$10.8 billion in 2025, providing Ghana with a major source of non-debt foreign exchange and reducing the need for expensive external borrowing.
Call for Clearer Communication
The economists are calling for clearer public reporting to separate accounting effects from real economic costs, warning that failure to do so risks misleading the public and policymakers.
They conclude that GoldBod should be seen not as a profit-making trader, but as a macroeconomic stabilisation tool whose benefits to Ghana’s economy far outweigh its accounting costs.
More stories here
Source:
www.gbcghanaonline.com
