BoG's 2025 Accounts Reveal GHS 96.28 Billion Negative Equity

The Bank of Ghana's audited 2025 financial statements show its negative equity widened to GHS 96.28 billion. This represents a significant increase from GHS 61.32 billion reported in 2024. Dr. Mohammed Amin Adam, Member of Parliament for Karaga and former Minister for Finance, highlighted these figures, calling for careful policy attention.

This worsening financial position stems from the lingering effects of recent economic shocks and policy interventions. The central bank's losses also increased substantially, rising from GHS 9.49 billion in 2024 to GHS 15.63 billion in 2025. These growing losses are largely due to higher costs associated with monetary policy operations, including liquidity management and exchange rate adjustments.

These developments occur as Ghana prepares to exit its Extended Credit Facility (ECF) programme with the International Monetary Fund (IMF). The country has made progress in stabilising inflation and strengthening external reserves under this programme. However, the Bank of Ghana's financial health presents a new challenge for maintaining macroeconomic stability in the post-programme phase. Balancing fiscal constraints with the need for central bank financial soundness is critical.

Dr. Amin Adam communicated his concerns to the IMF Mission Chief. He stated, “Even if addressed gradually, this remains an important consideration for fiscal planning.” He pointed to the need for clarity on the scale, timing, and financing approach for any eventual recapitalisation efforts. The cost of Open Market Operations (OMO), a key tool for managing inflation, rose to GHS 16.73 billion in 2025, up from GHS 8.60 billion the previous year, contributing significantly to the central bank's losses.

Policymakers must develop a transparent recapitalisation framework for the Bank of Ghana. This framework needs to outline how the central bank will restore its financial strength without jeopardising fiscal stability. Furthermore, decision-makers will need to enhance reporting of quasi-fiscal operations. This will provide a clearer picture of the central bank's true financial standing and the economic impact of its activities. Continued adherence to safeguards that limit monetary financing of government expenditure remains crucial to prevent further fiscal stress. Markets will closely watch government and central bank responses to these fiscal pressures, particularly regarding the budget and inflation outlook.

Dr. Adam also encouraged publishing a clearer measure of policy solvency that excludes one-off items. He mentioned that significant gains from refined gold sales contributed to a reported positive policy solvency position. However, distinguishing between recurring operational income and one-off gains provides a more accurate view of the Bank's underlying financial strength. Enhanced disclosure around gold transactions will improve transparency and public understanding of their economic impact. The sharp decline in the Bank’s revaluation reserves in 2025 due to exchange rate and asset valuation changes further underscores its balance sheet’s sensitivity to market conditions. These issues collectively impact investor confidence and the overall economic outlook.

Dr. Amin Adam stressed the importance of maintaining policy discipline as Ghana exits the IMF programme. He reaffirmed that careful management of emerging risks will be key to sustaining macroeconomic stability. This will also support inclusive growth for all Ghanaians. The observations come at a critical time as Ghana seeks to consolidate recent gains and navigate a complex economic environment.