The Bank of Ghana (BoG) has eased Ghanaians’ concerns about the ability of the government to provide enough gold under its Gold for Oil policy.
According to the Central Bank, the nation has enough gold reserves to continue the policy.
Stephen Opata, the Bank of Ghana’s Director of Financial Markets, disclosed this on Monday, January 16, during his appearance before the Public Accounts Committee (PAC).
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He claims that there is no reason for alarm because the Central Bank is prepared to fulfill the agreement’s requirement for 160,000 ounces of gold each month.
“As for the quantities, based on the production numbers we saw last year, gold has picked up. We believe that we can buy enough gold to sustain the program.
“I must say that the numbers we are currently looking at is about 160,000 ounces per month and that will represent about 50 to 60 percent of the consumption of the country. According to what PMMC indicates, I think we have volumes to support the program,” Mr Opata said.
On Monday, the first shipment of oil covered by the program landed at the Tema Port.
Following that, Bulk Oil Storage and Transportation received the 40,000 metric tons of oil from the United Arab Emirates (BOST).
BOST will then develop arrangements for its sale and distribution to the Oil Marketing Companies.
The move is a part of the government’s efforts to lower fuel prices and secure the nation’s foreign exchange.
Some Ghanaians, however, have expressed doubts about the government’s capacity to sustain the strategy.
With this concern, the Bank of Ghana has calmed their fears.
Source: Myjoyonline
