A heated debate has erupted over Ghana’s gold reserve management following contrasting statements from former Finance Minister Dr. Mohammed Amin Adam and GoldBod Chief Executive Officer Sammy Gyamfi regarding the Bank of Ghana’s decision to sell a significant portion of the country’s gold holdings.
The disagreement centres on the central bank’s reported liquidation of more than half of Ghana’s gold reserves in 2025, which generated approximately $1.5 billion.
Former minister raises concerns
In a Facebook post on Wednesday night, Dr Amin Adam questioned the rationale behind the sale, warning it could undermine the purpose for which the reserves were accumulated under the previous administration.
He recalled that between 2023 and 2024, the New Patriotic Party government increased Ghana’s gold holdings from about 8.8 tonnes to over 30 tonnes through the Domestic Gold Purchase Programme introduced by then-Vice President Dr Mahamudu Bawumia. The programme was explicitly designed to strengthen reserve buffers, support macroeconomic stability, and reduce dependence on foreign exchange.
“Against this backdrop, the liquidation of more than half (+50%) of these reserves—generating approximately US$1.5 billion in financial gains—raises serious concerns about policy consistency and balance sheet management,” Dr Amin Adam wrote.
He posed several fundamental questions, suggesting that if the sales were undertaken to offset financial losses, it would represent a fundamental shift from reserve accumulation toward balance sheet repair.
“The central bank must prove that it did not sell the gold to cover huge losses recorded in 2025. How will the Bank report its 2025 losses vis-a-vis the gains from the sale of gold reserves? How sustainable is this practice where operational losses can easily be offset by the sale of our gold reserves?” he asked.
The former minister also challenged the portfolio diversification explanation, arguing such justifications must be assessed against actual outcomes and their impact on net international reserves.
GoldBod CEO defends BoG
However, in a separate Facebook post, Mr Gyamfi strongly defended the central bank’s actions, describing the move as a prudent strategy to protect the country’s reserves from volatility in global gold prices.
He pointed to the recent decline in gold prices—from a record high of about $5,500 per ounce to approximately $4,500 in recent weeks—as validation of the Bank of Ghana’s decision.
“For those who have been unjustly attacking the Bank of Ghana for their decision to sell portions of the country’s gold holdings, as a deliberate reserve portfolio diversification measure, how do you feel about the free fall of gold prices we are currently witnessing?” he wrote.
Mr Gyamfi acknowledged that while gold remains a proven safe-haven asset, it is subject to significant price volatilities that pose considerable risk to reserve preservation.
“This is why a middle-income country like Ghana with Gross International Reserves of barely 5.7 months, ought not to over-concentrate its reserves in gold holdings but rather, diversify same across different asset classes,” he explained.
He clarified that the central bank converted approximately 22 tonnes of the country’s gold holdings into US dollars, added it to reserves, and invested it to generate returns for the country.
“In reserve portfolio management, safety and liquidity considerations are paramount. Converting portions of our gold holdings into cash and investing same to generate returns for the country, was therefore a SAFE and sensible decision by the BoG,” Mr Gyamfi stated.
He assured the public that no national asset was lost and that the decision had significantly minimized the impact of the recent collapse in gold prices on Ghana’s reserve position, while praising Dr Johnson Asiamah and his team at the Bank of Ghana.
