The International Monetary Fund (IMF) has clarified that the reported US$214 million figure linked to Ghana’s Domestic Gold Purchase Programme (DGPP) does not represent a loss incurred by the Ghana Gold Board (GoldBod), but rather a policy-related accounting cost.
The Fund emphasised that the programme played a crucial role in stabilising the economy during a particularly difficult period.
Speaking at a press briefing in Washington, IMF Director of Communications Julie Kozack addressed questions arising from the Staff Report for the Fifth Review of Ghana’s IMF-supported programme.
She explained that while the DGPP delivered significant macroeconomic benefits, it also resulted in what the Fund terms a “quasi-fiscal loss,” a cost that is not formally recorded on the government’s fiscal balance sheet but ultimately represents a charge to the state.
According to Ms Kozack, the DGPP contributed meaningfully to the build-up of international reserves and helped ease pressure on the foreign exchange market during one of Ghana’s most challenging economic phases.
“On the benefit side, what we see is a contribution to a buildup of international reserves and reduced pressure on the foreign exchange market during a difficult period for Ghana,” she stated.
She further explained that the US$214 million figure arose from trading margins, fees and exchange rate movements, which are inherent features of commodity-backed liquidity operations.
As a result, the IMF has recommended stronger transparency, governance and risk management, and advised that such costs be reflected on the national budget rather than on the balance sheet of the Bank of Ghana, in order to safeguard the central bank’s policy mandate.
The IMF’s clarification aligns with the position earlier articulated by the Ghana Gold Board, which maintained that the figure did not signify an operational loss or programme failure.
The Fund’s own assessment confirms that the amount represents a quasi-fiscal cost, not a realised deficit attributable to GoldBod or any single institution.
Meanwhile, the Governor of the Bank of Ghana has informed Parliament’s Public Accounts Committee that discussions are underway among key stakeholders, including GoldBod, to strengthen and reform the DGPP following the IMF review.
These engagements are expected to focus on improved governance structures and clearer coordination between government, the central bank and the Ghana Gold Board.
For GoldBod, the IMF’s remarks are seen as a validation of the programme’s core objectives. The Board has consistently argued that the DGPP was designed as a strategic intervention to support macroeconomic stability and enhance value from Ghana’s gold resources, rather than to generate short-term trading profits.
As reforms progress, GoldBod has reiterated its commitment to greater transparency, accountability and efficiency in future phases of the programme.
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