Tano North Member of Parliament, Dr. Gideon Boako, has attributed reported losses by GoldBod not to flaws in the gold trading framework, but to the Bank of Ghana’s exchange rate policy.
Speaking in an interview on Thursday, January 8, Dr. Boako referenced an International Monetary Fund (IMF) report that highlighted losses of approximately $214 million arising from GoldBod’s trading activities.
He emphasized that the issue is structural, linked to the manner in which the Bank of Ghana buys and sells gold using an artificially appreciated cedi.
“This is not something coming from the Minority in Parliament but from the IMF report, which stated clearly that there is some $214 million losses as a result of activities of GoldBod,” he said.
“There is no sugarcoating or explanation that can change that. The loss is real, and we anticipated it would occur.”
Dr. Boako explained that the current approach, whereby the Bank of Ghana takes cedis from commercial banks to buy gold at Bloomberg rates and then sells dollars back at the Bank of Ghana rate, is at the centre of the problem.
He described the multiple currency regime introduced by the Governor as unsustainable, warning that it will continue to generate further losses.
“The losses are policy-driven, not a failure of GoldBod’s design or operations,” he said.
Dr. Boako stressed that addressing the exchange rate framework is crucial to preventing additional financial setbacks for the Bank of Ghana and GoldBod.
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