$1.7 Billion Allocated for Monetary Stabilization Amid Gold Smuggling Fears

The Bank of Ghana (BOG) has allocated $1.7 billion for monetary stabilization in its balance sheet, raising concerns among some observers.

Retired Major Mohamed Bogobiri sees this as a necessary evil to stabilize the economy and mitigate losses from gold smuggling.

In 2025, gold prices rose to over $4,400 per ounce, creating an opportunity for Ghana to profit from its gold reserves. However, due to the volatility of gold prices and the need to exploit this opportunity, the BOG sold part of its 30.7 tonnes of gold held as at December 31, 2024.

The sale was a profitable measure to convert national gold reserves to foreign exchange reserves by exploiting the rise in gold prices.