Ghana has used 27.63 tonnes of gold to pay for the importation of 1.95 million metric tons of petroleum products, according to the Bank of Ghana.
The transaction was carried out under the Gold for Oil (G4O) initiative, a programme launched in 2022 to secure petroleum supplies at competitive prices while easing pressure on the country’s foreign exchange reserves.
First Deputy Governor of the Bank of Ghana, Dr. Zakari Mumuni, disclosed the figures in his keynote address at the CNVERGE ’25, Africa’s Premier Trade Banking Thought Impact Event in London.
He noted that the G4O scheme was built on the success of the Domestic Gold Purchase Programme (DGPP), which the central bank introduced in June 2021 to diversify reserves, strengthen the cedi, and reduce reliance on costly external financing.
The G4O initiative emerged in response to soaring fuel costs, which had climbed by as much as 230% in a year amid a global crude price surge. Petroleum imports had become Ghana’s largest single import item, placing heavy demand on limited foreign currency reserves.
By settling oil imports in gold, the central bank reduced demand for U.S. dollars, helped to stabilise the exchange rate, and slowed inflationary pressures from rising transport and energy costs.
The DGPP’s broader performance as of June 2025 includes 145.95 tonnes of gold purchased, 86.77 tonnes sold for foreign exchange, and an increase in the Bank’s physical gold holdings from 8.74 tonnes to 32.99 tonnes.
These measures have contributed to stronger reserves, currency stability, and an upgrade of Ghana’s sovereign credit rating from restrictive default to B- with a stable outlook in June 2025.
