Market analysts have raised concerns about the current financial position of the Bank of Ghana, following the central bank’s reported operating loss of GH¢9.49 billion for the 2024 financial year.
Despite the setback, banking consultant, Dr. Richmond Atuahene in a Citi Business News interview remain cautiously optimistic, suggesting that the Bank may return to profitability within the next two years.
He noted that while the losses are quite significant, ongoing monetary policy measures and structural adjustments could support a gradual recovery.
“The losses of the OMO I do understand. Until the Bank of Ghana is well structured they will always make loses more so because they don’t have bonds and they’ve now been told to do zero financing and so they are not going to recover next year. It will take at least two or three years before they come back to profit,” he said.
For 2024, the total operating income of GH¢9.40 billion was outpaced by total operating expenses of GH¢18.89 billion leading to the deficit.
Factors accounting for the loss this time around include GH¢8.60 billion spent to manage excess liquidity and support monetary tightening in the form of open market operations.
FX revaluation and exchange losses amounting to GH¢3.49 billion which include GH¢1.82 billion linked to the government’s Gold-for-Oil Programme.
During the period under review, currency issuance costs rose to GH¢1.01 billion, up from GH¢690 million in 2023 which means an increased cost of maintaining currency circulation.
Despite the loss, the central bank reported a GH¢4.02 billion improvement in its equity position, which closed the year at a negative GH¢61.32 billion.
