Mahamudu Bawumia decries GH₵1.7bn Bank of Ghana gold trading losses

Dr. Mahamudu Bawumia, the flagbearer of the New Patriotic Party (NPP), has criticized the Bank of Ghana for incurring losses totaling GH₵1.7 billion through the active trading of the country's gold reserves. Speaking at a town hall meeting in Tokyo, Japan, Dr. Bawumia argued that these losses were avoidable and suggested that the central bank should have prioritized the accumulation of reserves over commodity trading. He emphasized that the current administration's approach has deviated from the strategic goals of a robust Gold for Reserves program.

According to Dr. Bawumia, the decision to trade a portion of Ghana's gold holdings instead of holding it as a strategic reserve led to the significant financial setback. He noted that a strengthened Gold for Reserves program would have provided a more stable economic cushion. By focusing on building up the physical stock of gold, the central bank could better protect the national currency and ensure long-term fiscal stability. The NPP leader suggested that the current management under the National Democratic Congress (NDC) government failed to implement the reserve-building mechanism effectively, resulting in the GH₵1.7 billion loss.

Beyond the gold sector, Dr. Bawumia used the Tokyo forum to defend his campaign’s heavy focus on digitalization. He asserted that a modern economy cannot prosper without a strong digital infrastructure, responding to critics who have questioned his emphasis on technology over traditional economic metrics. He argued that digital transformation is a prerequisite for national prosperity and warned that if Ghana fails to adapt to the global digital shift, it risks falling behind in the competitive international market.

The call for a shift in central bank policy comes as the NPP positions gold reserve management as a key pillar of its economic platform ahead of the general elections. Dr. Bawumia maintained that a future NPP government would prioritize the strategic accumulation of gold to stabilize the economy. The Bank of Ghana has yet to issue a formal response to the claims regarding the GH₵1.7 billion trading loss or the proposed changes to its gold management strategy.