Despite the year’s losses, the Bank of Ghana (BoG) reported a GH¢4.02 billion improvement in its equity position, closing the year at a negative GH¢61.32 billion. While still in deficit, this uptick points to underlying efforts to stabilize the balance sheet and enhance financial resilience through tighter fiscal and monetary policy coordination.
In its statement, BoG emphasized that: “The 2024 financial year saw improvements in the Bank’s financial performance and position, as evidenced in the reported loss for the year of GH¢9.49 billion, and the GH¢4.02 billion enhancement in its equity position to close the year at a negative value of GH¢61.32 billion.”
The release of the 2024 Financial Statement, according to BoG, aligns with its statutory obligations and underscores its commitment to transparency, accountability, and sound financial governance. In light of public concern about the Bank’s financial position following the 2023 losses, this year’s report appears aimed at reinforcing trust and showing progress.
The BoG also reaffirmed its core mandate: “The Bank is committed to maintaining price and financial stability and creating an enabling environment for businesses and individuals to thrive.”
GH¢9.49bn Operating Loss in 2024
The Bank of Ghana, meanwhile, recorded an operating loss of GH¢9.49 billion in its 2024 Financial Statement.
While the figure indicates the central bank remains in the red, it also marks a slight deterioration from the GH¢9.19 billion loss recorded in 2023. Nonetheless, the BoG sees signs of recovery and financial strengthening.
The GH¢9.49 billion operating loss for 2024 was driven by total operating income of GH¢9.40 billion falling significantly short of total operating expenses, which stood at GH¢18.89 billion. This gap of over GH¢9 billion highlights the fiscal challenges the central bank continues to face in a post-COVID economic recovery period and under the influence of both domestic and global macroeconomic pressures.
Despite the losses, the Bank noted a net gain of GH¢4 billion over the previous year’s financials, suggesting some progress in its efforts to restore financial health and stability.
Key Drivers of the Loss
The 2024 financial report highlighted several critical factors that contributed to the Bank of Ghana’s sustained operating loss for the year. One of the most significant components was the GH¢8.60 billion cost associated with Open Market Operations. This reflects the central bank’s continued efforts to manage excess liquidity within the financial system and stabilize inflation and exchange rates in a challenging macroeconomic environment.
The Bank also reported revaluation and exchange differences totaling GH¢3.49 billion. Notably, GH¢1.82 billion of this amount stemmed from exchange losses linked to the government’s Gold-for-Oil Programme. These losses underscore the impact of global commodity market volatility and persistent fluctuations in exchange rates, which continue to place pressure on national financial accounts.
Additionally, currency issuance expenses surged to GH¢1.01 billion in 2024, up from GH¢0.69 billion in 2023. This increase is attributed to a higher demand for new currency issuance, as well as the costs related to maintaining currency integrity, redesigning notes, and expanding distribution networks across the country.
Furthermore, the Bank made significant changes to its accounting treatment of foreign exchange gains and losses. These modifications affected the way revaluations of the Bank’s assets and liabilities—such as gold reserves, Special Drawing Rights (SDRs), and foreign securities—were reported, ultimately exerting a material impact on its overall financial performance.
The slight improvement in equity and the BoG’s commitment to transparency may be early indicators of a slow but steady path toward recovery. Going forward, stakeholders will be watching closely to see how the central bank balances its monetary policy responsibilities with efforts to return to profitability.
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