The Bank of Ghana has outlined a structured path to financial recovery, projecting a return to positive equity by 2032 despite deep losses recorded in its 2025 financial year.
According to its latest financial statements, the central bank ended 2025 with a negative equity position of GH¢93.82 billion, widening from GH¢58.62 billion in 2024.
However, the Bank remains confident that a combination of improving macroeconomic conditions and a government-backed recapitalisation programme will reverse the trend over the medium term.
A key pillar of the recovery strategy is a phased recapitalisation agreement between the Bank and the Ministry of Finance, under which government support—through cash injections and financial instruments—will be implemented between 2026 and 2032. The objective is to restore the Bank’s capital base to levels consistent with its operational and policy mandate.
The Board of Directors noted that anticipated macroeconomic improvements will play a critical role in rebuilding profitability. These include declining inflation, a reduction in policy rates, and improved stability in the external sector. Such conditions are expected to boost net interest income while lowering the cost of monetary policy operations.
The Bank also expects gains from its core income streams—particularly returns on domestic securities, foreign reserves, and refinancing operations—to strengthen over time. In addition, structural reforms and enhanced efficiency measures are expected to improve operational performance.
Importantly, the Bank maintains that it remains “policy solvent,” meaning it can continue to fund its monetary policy operations through internally generated income despite its negative equity position.
The recovery outlook is, however, subject to risks, including potential delays in recapitalisation, exchange rate volatility, and slower-than-expected disinflation.
Nonetheless, the Board expressed confidence that with disciplined policy implementation, fiscal support, and sustained macroeconomic stability, the Bank will restore its financial position and rebuild adequate reserves by 2032.
