Ghana’s external reserves have seen a notable enhancement, with the Bank of Ghana reporting an increase to nearly $14.5 billion, which provides approximately 5.8 months of import coverage.
This marks an improvement from just over $13 billion noted at the previous Monetary Policy Committee (MPC) meeting in January 2026, indicating stronger external buffers for the economy.
Governor Dr. Johnson Pandit Asiama, during the opening of the 129th MPC meeting on Monday, 16th March, remarked that the latest figures reflect a broader enhancement in macroeconomic conditions, with the economy performing better than previously expected.
He pointed out that headline inflation decreased to 3.3 percent in February, representing the 14th consecutive monthly decline and falling below the central bank’s medium-term target range.
Fiscal performance has also improved, with a primary surplus of 2.6 percent of GDP recorded at the conclusion of 2025, while the real sector has gained momentum, bolstered by increasing business and consumer confidence and a gradual recovery in credit.
“Collectively, these indicators suggest an economy stabilizing more rapidly than many had anticipated, underscoring that disciplined policy measures have played a role in this advancement,” he stated.
He further emphasized that the enhanced reserves position is vital for sustaining investor confidence and improving the country’s ability to withstand potential global shocks.
Dr. Asiama also noted that reserve accumulation will continue to be a key policy focus as the government implements initiatives aimed at significantly strengthening Ghana’s external buffers.
“Since our last meeting, the government has introduced the Ghana Accelerated National Reserve Accumulation Programme (GANRAP), an ambitious initiative designed to substantially elevate the country’s reserve position over the medium term.
“The programme aims to increase international reserves to the equivalent of 50 months of import coverage by 2028, in contrast to the current level of approximately 5.8 months,” he added.
Nevertheless, the Governor warned that initiatives of this magnitude necessitate meticulous policy coordination.
“Enhancing external buffers is crucial for macroeconomic stability, yet projects of this scale bring forth significant considerations regarding liquidity conditions, the central bank’s balance sheet, and the interplay between reserve accumulation and monetary policy operations.”
In spite of these advancements, the MPC underscored that the purpose of its current meeting is not merely to endorse positive trends but to assess how to maintain them in the face of increasing global uncertainty.
Dr. Asiama pointed out that rising tensions in the Middle East have disrupted essential energy and shipping routes, heightening volatility in global oil markets and presenting risks of imported inflation for Ghana.
He remarked that although elevated gold prices may offer some support to the trade balance, the overall external risk landscape remains tilted towards inflation. This, he indicated, will be a primary focus in the committee’s policy discussions.
The MPC is also anticipated to evaluate the Ghana Accelerated National Reserve Accumulation Programme (GANRAP) and analyze the effectiveness of monetary policy transmission, especially considering the subdued growth in credit.
Dr. Asiama emphasized the importance of balancing the consolidation of recent gains with the need to address emerging risks.
“The issue before the committee is not whether conditions have improved, but how we react to that improvement when the factors that facilitated it are now under strain,” he stated.
The results of the 129th MPC meeting are expected to offer critical insights into the central bank’s policy trajectory as it navigates the convergence of domestic economic recovery and escalating external uncertainties.
