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The Bank of Ghana (BoG) is contemplating delegating the implementation of the Gold for Oil Policy to commercial banks, as it evaluates its role in the initiative two years after its inception. The Central Bank aims to streamline its focus on core functions such as monetary policy and price stability maintenance.
According to Dr. Ernest Addison, the Governor of the Central Bank, the policy remains strategically significant for bolstering the country’s reserves and is envisioned to have long-term benefits for Ghana’s economic stability and development. He emphasized the program’s effectiveness during times of crisis and suggested transitioning its execution to commercial banks would allow the central bank to concentrate on its operational duties.
Addressing the Public Accounts Committee in Parliament, Dr. Addison reiterated the central bank’s commitment to supporting the government’s Gold4Oil policy despite acknowledging its limitations. He underscored the positive impact of the policy since its inception in 2022, particularly in reducing oil prices compared to previous years.
Dr. Addison advocated for the continuation of the Gold4Oil policy, highlighting its importance as a contingency measure should oil prices surge again. He emphasized the necessity of empowering commercial banks to undertake such activities and forecasted a substantial increase in Ghana’s gold reserves as a result of the policy’s continuation.
Source:Omanghana.com
