The Majority Caucus on Parliament’s Finance Committee has defended the Bank of Ghana’s 2025 financial statement, arguing that the reported losses reflect the cost of restoring macroeconomic stability rather than institutional weakness.
According to the Caucus, the central bank is not a profit-driven entity but one mandated by law to ensure price stability, safeguard the financial system, manage foreign reserves, and support economic growth.
Addressing a press conference on Thursday, a member of the Finance Committee and member for Sagnarigu, Issah Atta, argued that the mistake any observer can make is to judge a central bank like a commercial company.
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“The real test is whether it delivers on its mandate,” he stated.
According to the 2025 report, the Bank of Ghana recorded a net loss of GH¢15.6 billion, up from GH¢9.4 billion in 2024. Additionally, other comprehensive income showed a charge of GH¢19.32 billion, largely attributed to the appreciation of the Ghana cedi and its accounting impact on foreign reserves.
The bank’s net equity position also worsened, moving deeper into negative territory. However, Atta explained that this trend dates back to 2022, during the period of the Domestic Debt Exchange Programme, which significantly impaired the central bank’s balance sheet.
Despite the losses, the Majority Caucus highlighted significant macroeconomic gains, noting that inflation declined sharply from 23.8% in 2024 to 5.4% by the end of 2025, and further to 3.2% by March 2026.
The Ghana cedi also rebounded strongly, appreciating by 41% in 2025 after a steep depreciation the previous year, while international reserves rose from $9.1 billion to $14.5 billion. Additionally, the policy rate was reduced from 27% to 14%, leading to a corresponding drop in lending rates and easing borrowing costs for businesses and households.
Atta noted that these gains have translated into real relief for households and businesses, including stable food prices, lower borrowing costs, and improved investor confidence.
The Finance Committee member outlined three major drivers of the 2025 losses, explaining that liquidity management costs played a significant role as the central bank spent GH¢16.7 billion through open market operations to mop up excess liquidity and curb inflation.
He also pointed to the Gold Purchase Programme, where investment rose to GH¢9 billion, helping to boost reserves to 111 tonnes in 2025. Additionally, he explained the impact of the cedi’s appreciation, noting that while it strengthened the economy, it reduced the local currency value of foreign reserves, resulting in accounting losses without any actual capital outflow.
“The cost is real, but the results are also real. The country benefits while the Bank carries the financial burden,” Hon. Atta explained.
He dismissed concerns about the Bank’s negative equity, stressing that it does not affect its operational capacity.
He cited examples of global central banks, including the Federal Reserve and the European Central Bank, which have recorded losses in recent years while pursuing inflation control policies.
The Majority Caucus expressed optimism that the Bank’s financial position will improve in 2026 due to reduced inflationary pressures, lower interest rates on liquidity operations, the introduction of a new framework under the Ghana Accelerated National Reserve Programme, and the stabilisation of the cedi, which is likely to limit further accounting losses.
The Majority Caucus concluded that the Bank of Ghana’s 2025 financial results should be viewed within the broader context of economic recovery.
“The work has been done. Inflation is down, the cedi is stronger, reserves are at record levels, and confidence has returned,” Atta said.