Bank of Ghana Governor, Dr. Johnson Asiama, has disclosed that COCOBOD is expecting inflows of more than $4 billion before the end of this year.
He explained that the funds form part of a new financing arrangement introduced by COCOBOD to support cocoa purchases for the new crop season.
Speaking in an exclusive interview with Joy Business’ George Wiafe, Dr. Asiama noted that the inflows will boost the Bank of Ghana’s reserves and strengthen its capacity to support the local currency in the coming weeks.
According to him, the development will also signal to the market that the central bank is well-positioned to intervene when needed to meet the demands of businesses and commercial banks.
The Bank’s Economic and Financial Data released in July put Ghana’s international reserves at $11.1 billion.
COCOBOD’s New Financing Deal
In 2023, COCOBOD introduced a new funding model for cocoa bean purchases, requiring global traders to deposit at least 60% of the value of their forward contracts at the start of the season.
This system replaces the pre-export syndicated loan from international banks, which had been in place for over three decades.
Under the arrangement, part of the traders’ deposits is used to finance purchases from farmers through partnerships with licensed cocoa buying companies (LBCs). Traders provide funds to LBCs to purchase cocoa, while COCOBOD serves as an intermediary.
Cedi’s Outlook
Dr. Asiama expressed optimism about the outlook for the Ghana cedi despite recent pressures.
“As regulator, we have taken the needed actions to ensure that things do not get out of hand,” he assured.
He maintained that Ghana’s macroeconomic situation remains solid, giving businesses confidence in the cedi’s stability as well as in ongoing measures to improve market liquidity.
“Our net international reserves have not run out, and all the indicators point to a favourable outlook. We currently have it,” he stressed.
The Governor further assured that through “discipline, transparency, and firm regulation,” the central bank will create a market where the cedi can trade freely but predictably, anchored in confidence.
However, he cautioned that individuals exploiting loopholes—whether through offshoring, fueling the black market, or filing fake import forms—will face sanctions.
Source: Abubakar Ibrahim
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