BoG Financial Position to Improve as Inflation Falls – BOG Governor
The Governor of the Bank of Ghana , Dr. Johnson Pandit Asiama has stated that the central bank’s financial position is expected to gradually improve over the medium term as economic conditions stabilize.
In a meeting with the Parliamentary Committee on Economy and Development of the Parliament of Ghana on Monday,March 9,2026,the Governor explained that the Bank’s income will increase as its assets mature and are reinvested at current market interest rates, helping to boost investment returns. According to Dr. Asiama ,improved management of the Bank’s foreign reserve assets is also expected to strengthen earnings over time.
“ The Bank’s income position is expected to improve as its earning assets gradually
reprice over time. As domestic securities and foreign reserve assets mature and are
replaced, they will be reinvested at prevailing market yields. This natural portfolio
turnover will support a gradual recovery in investment income. Enhancements in reserve asset management are expected to support stronger investment income over time. As global interest rate conditions evolve and the Bank’s reserve portfolio is actively managed, returns on foreign assets are expected to improve,strengthening the Bank’s income position.”
The Governor added that the costs associated with liquidity management operations are being worked on and are likely to decline as inflation falls and interest rates normalize.
“ In addition, the cost pressures associated with liquidity management operations are
expected to ease as macroeconomic conditions stabilise. As inflation declines and policy interest rates gradually normalize, the interest expense associated with absorbing
excess liquidity in the banking system will also decline naturally.”
The Governor further noted that the cost structure of the Domestic Gold Purchase Programme has been reduced and will reflect more positively in the Bank’s finances from 2026. He indicated that the Government of Ghana will also support the Bank in covering part of the programme’s costs.
“ The cost structure of the Domestic Gold Purchase Programme has already been
reduced, and these improvements are expected to flow through more fully to the Bank’s
financial position in 2026 and beyond. As the programme has evolved into an important
national initiative supporting reserve accumulation and external stability, the
Government of Ghana will also partner with the Bank in carrying a portion of the
associated costs going forward.”
Dr Asiama then assured the committee and the general public of the Bank of Ghana’s commitment in pursuing prudent and data-driven monetary policies to sustain economic stability and recovery.
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