DGPP’s GH¢21.89bn ‘loss’ is accounting adjustment, not cash expense – Sources

The Bank of Ghana's 2025 Domestic Gold Purchase Programme (DGPP) was reported to have incurred a loss of GH¢21.89 billion, but sources clarify this figure represents an accounting adjustment rather than a direct cash expense. The primary reason lies in the difference between the exchange rate at which gold was acquired from miners and the official rate used for recording in the Bank’s books, accounting for 87% of the total cost.

The Bank published the GH¢21.89 billion figure alongside a reconciliation demonstrating a net cost of GH¢9.05 billion in its accounts. Artisanal and small-scale gold miners purchase the gold at market rates, which is then recorded at the official rate, leading to the accounting discrepancy. Sources emphasize that purchasing gold below market rate would not necessarily lower the cost to the state, as it could push gold into informal channels.

The Ghanaian government’s decision to acquire gold at market rates aims to maintain it within the formal economy. The figure rose in 2025 due to the cedi's depreciation of approximately 40.7% and a significant increase in the volume of gold acquired, from 56.47 tonnes in 2024 to 110.99 tonnes in 2025. The IMF sourced the GH¢21.89 billion figure directly from the Bank of Ghana, indicating it is accurate, with the net cost recognized by the Bank at GH¢9.05 billion.