Chief Executive Officer of the Ghana Gold Board (GoldBod), Sammy Gyamfi, has rebutted recent claims by former Vice President Dr. Mahamudu Bawumia that the current appreciation of the Cedi cannot be attributed to any deliberate policy by the National Democratic Congress (NDC) government.
Dr. Bawumia, speaking at a recent event, dismissed suggestions that the NDC administration deserved credit for the cedi’s recent gains, arguing that the government had not implemented any clear policy interventions to influence the currency’s performance.
In a sharp response, Sammy Gyamfi has outlined three major policy measures undertaken by the NDC government that he says have significantly contributed to the 16.7% appreciation of the cedi between January and May 2025.
1. Monetary Policy Tightening
Gyamfi cited the strategic monetary policy decision by the Bank of Ghana in March 2025 to increase the Monetary Policy Rate from 27% to 28%, combined with aggressive liquidity sterilisation through Open Market Operations. This, he said, was a deliberate measure to tame inflation and stabilise the currency.
2. Fiscal Consolidation
He also pointed to enhanced fiscal discipline and prudent public finance management by the Ministry of Finance, which, in his view, has helped restore investor confidence in the economy. This confidence, Gyamfi argued, is critical to stabilising the macroeconomic environment and strengthening the local currency.
3. Robust Forex Inflows through Gold and Cocoa
According to Gyamfi, Ghana has recorded unprecedented gold purchases and exports through the Precious Minerals Marketing Company (PMMC) and GoldBod, leading to improved foreign exchange liquidity. He also highlighted enhanced forex inflows from cocoa exports and remittances as key contributors to the cedi’s strong performance.
“These policy interventions, alongside a favourable global context — particularly the weakening of the US dollar amid international uncertainties — have combined to significantly strengthen the Ghana cedi,” Gyamfi stated.
He further challenged Dr. Bawumia to address what he described as a fundamental question:
“What is more important: accumulating physical gold reserves with a dollar-to-cedi exchange rate of GHS16, or accumulating adequate forex liquidity through gold exports with an exchange rate of GHS12.2?”
Sammy Gyamfi maintained that the cedi’s appreciation is not accidental but the result of coordinated efforts and decisive policy action by the NDC administration, led by President John Mahama.
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