BoG Governor Dr. Johnson Asiama Assures Cedi Stability with $12.9bn Reserves as Government Eyes Remittance-Driven Growth

Dr. Johnson Asiama, Governor of the Bank of Ghana, has reassured the public that the central bank remains well-equipped to defend the national currency, citing gross international reserves of $12.9 billion. During a stakeholder engagement in Sunyani, Dr. Asiama emphasized that these reserves are sufficient to provide approximately five months of import cover, providing a critical buffer against external shocks. Despite recent pressures attributed to global uncertainties, particularly conflicts in the Middle East, the Governor noted that the cedi has shown signs of recovery. To sustain this trajectory and support ongoing economic growth, the Monetary Policy Committee has maintained the policy rate at 14%, citing a robust banking sector and improved lending to businesses and households.

While the central bank maintains its defensive posture, market data from early August 2026 highlights the ongoing fluctuations in the foreign exchange market. The cedi recently traded at an average selling rate of GHS 12.35 at forex bureaus, while the Bank of Ghana interbank rate remained more tempered at GHS 11.75 for sales. This slight depreciation underscores the importance of the central bank's intervention capacity. Despite these market movements, Dr. Asiama highlighted positive growth indicators, including increased trade activities and rising consumer confidence, which suggest the economy is navigating global headwinds effectively.

Complementing these monetary efforts, Seth Terkper, Presidential Advisor on the Economy to President John Mahama, is advocating for a strategic shift in how Ghana utilizes diaspora remittances. Speaking at the launch of Region 17, the former Finance Minister argued that remittances must be leveraged for national development and economic transformation rather than being viewed solely as family support. As access to concessional loans continues to decline, Terkper emphasized that these funds are vital for stimulating sectors such as housing, entrepreneurship, and skills transfer. He called for the strengthening of domestic financing capacities to rebuild investor confidence following the recent debt crisis.

The administration's broader economic strategy focuses on creating a stable environment through consistent policy management and resource mobilization. By aligning the Bank of Ghana’s reserve management with the strategic use of diaspora capital, the government aims to achieve long-term socio-economic progress. Terkper expressed optimism that effective diaspora engagement, paired with the central bank's commitment to financial stability, will provide the necessary foundation for Ghana to regain its standing as a destination for international investment and sustainable growth.