Bank of Ghana Governor, Dr. Johnson Asiama, has suspended the country’s Gold-for-Oil program due to policy and operational challenges. The program, which was introduced to reduce Ghana’s reliance on foreign exchange for fuel imports and stabilize domestic fuel prices, has been put on hold following financial losses incurred under the initiative.

According to Dr. Asiama, the suspension is part of broader economic adjustments under the new administration. He revealed in an interview with Bloomberg that the program’s financial losses were a key factor in the decision to halt it.

Despite the suspension, Dr. Asiama remains optimistic about Ghana’s economic prospects, particularly regarding the stability of the cedi. He assured that the Bank of Ghana is committed to maintaining a disciplined monetary policy to support economic recovery and sustain fiscal stability.

The suspension of the Gold-for-Oil program raises questions about Ghana’s future strategy for managing fuel imports and foreign exchange reserves. Economic analysts are awaiting further details on the government’s next steps in fuel price management and forex policy.

In the meantime, the Bank of Ghana has vowed to stem operational losses and maintain a prudent monetary policy stance. Dr. Asiama has expressed confidence that the central bank will not incur losses in the current year, citing measures to control operational costs.