Ghana gold buyers went weeks without funds, sources say

Five industry sources disclosed that Ghana's artisanal gold marketing agency, GoldBod, had not provided funds to its suppliers for up to three weeks, compelling some operators to stop purchases or borrow to remain operational despite rising gold prices, according to Reuters. A gold trader in Ghana's Ashanti Region recounted that the situation was dire, with days passing by without receiving any funds.

A buyer in the Western Region reported a similar circumstance, with funds delayed for approximately three weeks. They requested anonymity due to lack of authorization to speak publicly on the matter. GoldBod explained in a statement on Monday that there was no funding shortfall and that they issued funds based on creditworthiness, security, and risk assessments.

The state agency affirmed that its gold-purchasing operations remained fully funded and operational, refuting any claims of abandonment or inability to finance its mandate. Kwaku Ohemeng Amoah, CEO of the Chamber of Gold Buyers, suggested that GoldBod's decision to fund the trade from its own balance sheet, post-separation from the Bank of Ghana, might have contributed to the funding constraints, allowing buyers to explore supplementary financing.

GoldBod's CEO, Sammy Gyamfi, revealed at a press conference last week that the agency had secured approximately $839 million in advances for purchases between March and May, after raising around $75 million through a foreign exchange auction to commercial banks on August 3, which was subsequently halted for consultations with the central bank.

Three banking executives noted that the Bank of Ghana viewed GoldBod's auction program as inconsistent with its operating framework, and both institutions were cooperating to address the issues. Ghana, the world's largest gold producer, established GoldBod in 2025, granting it exclusive rights to buy, sell, and export artisanal gold, as part of its strategy to curb smuggling and enhance foreign currency inflows.

Initially funded by the Bank of Ghana, GoldBod's purchases significantly contributed to the country's economic recovery. However, the International Monetary Fund (IMF) called for an end to central bank financing due to losses associated with GoldBod's acquisitions. In its statement on Monday, GoldBod announced that it currently has two licensed aggregators operating under its trade-finance framework and implemented stricter controls from August 1, incorporating due diligence requirements, trade-financing agreements, and security guarantees to enhance risk management and safeguard public funds.

The Bank of Ghana did not provide an immediate response to requests for comment. The banking executives mentioned that fewer than five banks took part in GoldBod's auction program, emphasizing that lenders felt more secure when the central bank supported the arrangement.