Gold for oil: Bank of Ghana spends GH¢2.43 billion on petroleum import finance

The Bank of Ghana (BOG) has disclosed that the consolidated capitalized cost of the Gold for Oil (G4O) operations was GH¢2.43 billion as of December 31, 2023.

This included GH¢520 million in cash, GH¢410 million in dore gold holdings, GH¢1.72 billion in oil stock, and GH¢460 million in oil proceeds receivable.

The G4O Program, launched in December 2022, aims to use gold to finance oil imports, reducing foreign exchange pressures and lowering petroleum prices.

The BOG confirmed that the program is meeting its objectives, supporting reserve bolstering, foreign exchange stability, and disinflation. The bank also addressed auditing concerns by reviewing agreements and valuing stock appropriately.