Bank of Ghana Reports GH¢15.6 Billion Loss

The Bank of Ghana (BoG) recorded an operational loss of GH¢15.63 billion in the 2025 financial year. This figure represents a substantial increase of approximately 65 per cent from the GH¢9.49 billion loss observed in 2024. The figures were revealed in the Bank's latest audited financial results.

The Majority in Parliament defended the central bank's financial performance. Eric Afful, the Member of Parliament for Amenfi West, spoke on behalf of the Majority. He stated that the Bank of Ghana is not structured to make a profit. He explained that the central bank’s main job is to keep the economy stable. This is different from how commercial banks operate. These financial results do not harm the Bank’s ability to do its work. Mr. Afful stressed that the Bank continues to fulfill its core responsibilities effectively.

Ghana's economy has faced significant challenges in recent years. High inflation and exchange rate volatility have impacted national finances. The Bank of Ghana’s balance sheet often reflects the costs incurred from policy actions. These actions aim to stabilize the economy during difficult times. The recent loss is attributed to the cost of these interventions. Central banks are unique institutions. Their financial health is measured differently than that of private companies. For example, even if a central bank has negative equity, it does not mean it is bankrupt. This state is an accounting matter, not a sign of financial failure.

Mr. Afful emphasized that negative equity in a central bank is an accounting condition. It does not mean the institution is insolvent. He stated clearly, “Central banks are not profit-making institutions.” He further explained that the Bank’s balance sheet shows the expense of implementing policies. These policies were put in place during a period of considerable economic distress. Essentially, the Bank’s financial statement reflects the money spent to bring the economy back on track. This is a crucial distinction from how private businesses are evaluated.

The significant operational loss at the Bank of Ghana raises questions about fiscal management. While the Majority defends these figures as necessary economic stabilisation costs, the scale of the loss warrants continued scrutiny. Future economic performance and policy decisions will be closely watched. Investors and financial markets will monitor the Bank’s capacity to manage these costs. Transparency regarding the specific interventions leading to these losses remains important for public confidence. The implications for government debt and future borrowing also need careful consideration.