The Ghana Cocoa Board (COCOBOD) is set to inject more than $4 billion into the economy before the end of 2025, a move the Bank of Ghana says will significantly boost reserves and shore up confidence in the local currency.
Confirming the development in an interview with Joy Business, Governor of the Bank of Ghana, Dr. Johnson Asiama, said the expected inflows stem from a new financing model designed by COCOBOD to support cocoa purchases for the 2025/26 crop season.
“These inflows will improve our international reserves and enhance our ability to provide liquidity support for businesses and commercial banks. It will also signal to the market that the central bank is well-positioned to intervene whenever necessary.” Dr. Asiama explained.
A New Funding Model for Cocoa
In 2023, COCOBOD replaced the syndicated loan system it had relied on for over three decades with a forward contract deposit model. Under the new framework, global traders are required to deposit at least 60% of the value of their contracts upfront at the start of the season.
The funds are then channelled through licensed cocoa buying companies (LBCs) to purchase beans from farmers, with COCOBOD serving as the intermediary. Officials say this structure provides more predictable financing and reduces the Board’s reliance on costly syndicated loans.
Boosting the Cedi
Ghana’s international reserves stood at $11.1 billion as of July 2025, according to central bank data. The additional inflows are expected to strengthen the Bank’s capacity to support the cedi, which has faced intermittent volatility in recent weeks.
Dr. Asiama insisted that the broader macroeconomic outlook remains stable despite the challenges.
“Our net international reserves have not run out, and all the indicators point to a favourable outlook. As regulator, we have taken the needed actions to ensure that things do not get out of hand.” he stressed.
He assured the business community that the central bank remains committed to “discipline, transparency, and firm regulation,” building a market where the cedi trades freely but predictably.
The Governor also issued a stern caution to individuals and institutions exploiting loopholes in the forex system, including offshoring, fuelling black market demand, and filing fake import forms.
“Speculators and bad actors will face sanctions,” Dr. Asiama warned, adding that the Bank’s focus is to protect the financial system and ensure foreign exchange is channelled through legitimate, transparent platforms.
