Ghana’s total liquidity rose to GH¢343.0 billion in August 2025, up from GH¢336.8 billion in July, as a surge in foreign currency deposits offset small declines in local currency holdings, central bank data showed. This means there was more money available in banks, mainly due to money coming in from outside Ghana, such as dollars or euros.
Foreign currency deposits jumped from GH¢59.9 billion in July to GH¢67.6 billion in August, adding GH¢7.7 billion to overall liquidity. At the same time, demand deposits, which are the balances people keep in their checking accounts, fell slightly to GH¢124.6 billion from GH¢125.9 billion, while savings and time deposits, the money people set aside in banks for longer-term savings, decreased to GH¢94.1 billion from GH¢95.4 billion.
Reserve money, which includes cash held by the central bank and the deposits banks keep there for security, slipped to GH¢122.0 billion from GH¢123.5 billion in July. The decline was mainly due to a drop in banks’ reserves, which fell to GH¢57.5 billion from GH¢59.8 billion, even as currency in circulation, the cash people actually hold, rose slightly to GH¢56.5 billion.
Narrow money (M1), representing cash in circulation plus demand deposits, remained broadly stable at GH¢181.3 billion, reflecting the small drop in bank deposits balanced by higher cash held by the public.
Broad money (M2), which adds savings and time deposits to M1, decreased slightly to GH¢275.5 billion from GH¢276.9 billion, while total liquidity (M2+), which includes foreign currency deposits, recorded its largest monthly increase, showing the growing role of foreign money in the system.
The data show that although local deposits and bank reserves fell slightly, the inflow of foreign currency strengthened overall liquidity in Ghana’s banking system, highlighting how money from outside the country is becoming an important part of Ghana’s economy.
