- The Bank of Ghana has launched gold coins as an alternative investment asset available to the general public
- The coins will be available at commercial banks across the country and will come in three different ounces
- Meanwhile, the central bank said the coins would help eliminate excess liquidity in the banking sector
The Bank of Ghana has issued gold coins as an alternative investment asset available to the general public.
The central bank circulated the coins to absorb extra liquidity in the banking sector.
Source: UGC
It is the first time that the central bank has launched such an initiative.
At the presentation of the coins, the governor of the Bank of Ghana, Dr. Ernest Addisonsaid they will be available on the market in the next two weeks.
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He told the media on September 27, 2024, in Accra that the gold coins could be bought in three different ounces and would be available in all commercial banks across the country.
Coins come in one ounce coins, half ounce coins, and ounce coins.
He noted that the initiative is to allow Ghanaians to participate in the domestic gold purchase programme.
“We call it Ghana’s gold coin,” he said.
Ernest Addison revealed that Ghana’s gold coin is made from gold mined in Ghana and refined to 99 percent purity.
THE gold coins are issued and guaranteed by Bank of Ghana.
The banker is talking about gold coins
YEN.com.gh spoke with a banker who noted that gold can be a relatively good investment option.
Ivan Aryee explained that “gold is actually a very stable commodity. The price volatility is not crazy.”
However, he said there is no clarity on how the gold coins will be distributed to investors when the scheme is implemented.
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Cedi to weaken moderately
Analysts expect the Ghanaian cedi to weaken modestly between now and the December elections.
This follows sharp falls earlier in the year that saw the cedi depreciate more than 19.6 percent against the dollar since July 2024.
Bloomberg reported that Ghana may end the year at GH¢15.97 to the dollar, according to Oyinkansola Samuel, an analyst at FirstRand Ltd.’s RMB Nigeria unit.
The cedi is currently trading at GH¢15.63 to the dollar and is considered the fifth worst performing currency of the year.
“We expect the rate of depreciation to slow by the end of the year as multilateral disbursements and ample reserve accumulation improve market sentiment,” Samuel said.
Samir Gadio, head of Africa strategy at Standard Chartered Bank Plc, also said foreign exchange demand-supply mismatches have eased.
He said the depreciation of the CEDI could slow due to the IMF disbursement and an upcoming cocoa financing facility.
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The finance minister blames the debt on the devaluation of the CEDI
YEN.com.gh reported that the Minister of Finance, Dr. Mohammed Amin Adam, blamed the country’s mounting debt on the rapid devaluation of the cedi.
The country’s debt has risen to a staggering GH761.1 billion, equivalent to $51.1 billion, from GH587.7 billion, equivalent to $53.5 billion.
The minister also blamed the situation on disbursements from multilateral institutions and domestic budget funding.
Corrected by Berlinda Entsie, reporter and copy editor at YEN.com.gh
Source: YEN.com.gh
