IEA Disputes Claims of $1.7B Loss in Ghana's DGPP

The Domestic Gold Purchase Programme (DGPP) has been at the center of controversy in Ghana, with claims that the Ghana Gold Board (GoldBod) incurred a US$1.7 billion loss under the programme.

However, Prof. Alexander Bilson Darku, Director of Research at the Institute of Economic Affairs (IEA), has rejected these claims, stating that the loss was actually recorded on the books of the Bank of Ghana (BoG).

According to Prof. Darku, GoldBod acted as an agent for the BoG under the programme, purchasing gold on behalf of the central bank before exporting it.

The reported loss comprised several components, including fees and discounts paid by the BoG to GoldBod, which could be considered revenue to GoldBod rather than losses incurred by the institution.