This is why Sammy Gyamfi is trending—explains GOLDBOD & BoG net loss—brutally fires Npp🔥😳

Added: 2026-05-10

[00:00:07]Gold CEO losses to the tune of 9 billion in the 2025 audited financial MP4 the worst economy in the history of this comments in the com center, your eco-conscious cleaning specialist.

[00:00:59]Hospital, Bank.

[00:01:08]All your cleaning services.

[00:01:27]two green solution centered to 75. So this loss Alfred is it because of mismanagement? Answer me.

[00:01:48]I mean they have >> is it because of incompetence?

[00:01:51]Is it because somebody has printed money for the government like it happened under Addison the printer? Is it because of that when they printed 44.5 billion cities for the MPP government in 2022 they wasted the money they couldn't pay and they gave the Bank of Ghana a 50% haircut. Is it the same? We are we are done with revaluation loss of 5.4 billion. Let's go to sterilization. You print money so much money for the uh for the central government under the MPP 2022 alone 44.5 billion the bank of Ghana admitted it you can Google you will see the stories when you do that what do you what what was the when they did that what was the results Alfred and I need your attention Afred please the results was that inflation rose to 54% hyper levels and they were only able to bring it to 23.8%.

[00:02:43]Are you listening to me?

[00:02:45]And for one year, inflation stood at 23.2 for 2023 to only 23.8 in one year.

[00:02:54]Oh, you should have used dynamic cash reserve ratio which we the MP introduced. You had all these ideas yet from 2023 to 2024 inflation moved from 23.2 to 23.8. What was the impact of those ideas that you claim or you say the this bank leadership of the bank of Ghana should have continued? So the bank of Ghana comes and money supply is in excess excess liquidity in the market.

[00:03:21]Inflation is high. We need to do the heavy lifting and bring inflation down.

[00:03:25]So what do they do? They need to mop up the excess liquidity. So they go to the commercial banks who have this excess liquidity and then they borrow the money and they pay interest and the interest they paid 2024 check the statement again the interest the le bog paid on OMU for 2024 is what you see there 8.5 billion the first item go to the first item 8.5 billion that is the cost of sterilization for 2024 so it's not like sterilization is bad if it was bad why did you incur 8.5 billion sterilization cost in 2024 but in 2025 because we have to mop more liquidity and bring inflation from hyper levels I mean uh 23.8 to 3.4 four the cost is double 16.7 >> over 16.7 billion.

[00:04:17]>> Yes. And so inflation comes down food inflation moves from 27% to 4.9 according to Agra food prices reduce by 32% in 2025 32%. So this sterilization that cost that they incurred which has led to loss of 16.7 billion is it because of mismanagement >> and that is one of the highlights of the minority that look you don't didn't have to spend so much sterilizing in open market operations to be able to >> so why did they spend achieve >> so why did they why did they spend 8.5 billion that's >> they say there are better solutions you don't have to use steriliz why did they in care sterilization cost of 8.5 billion Why? If sterilization should not be done, why 8.5 billion and you gave us inflation of 23.8?

[00:05:05]Somebody did 16.7 and gave us inflation of 3.4%. Food inflation of 4.9%. And food prices came down by 32%. So what are you saying? Is this the product of mismanagement?

[00:05:17]Let's go to the last item. Go deals.

[00:05:20]That's >> we yes we inherit an economy where we cannot you see over the years Ghana gets dollars for the market those who need dollars to go and import from three main sources gold co and oil and we have to because that is not enough we have to borrow so you you hear of something called bond that is government borrowing on the capital market in dollars just to get dollars for the market you have to create debts to get dollars for the market. But we took over an economy where we could not even go on the capital market to borrow because the NP has so borrowed that they could not pay and we were locked out of the capital market. So you can't get euro bond to bring dollars in the IMF money we got 3 billion every year you getting less than $1 billion.

[00:06:11]Coco that would have brought you 2 to3 billion per anom was going down. oil that will bring you some dollars. Oil production is going down and oil prices were going down. The only thing you had was your gold. And so we said, okay, we inherited domestic gold purchase program. But through the gold board that we, President Muhammad, envisioned and promised, let's scale it up so that what has never been done in the history of Ghana, we can do. And we deployed effective aggregation system, license reforms, plug leakages, fought smuggling aggressively. And for the first time, we mop up small scale gold of over 104 tons. And that performance of the small scale sector was better than last scale.

[00:06:56]For the first time in Ghana's history, small scale gold alone brought in over $10 billion. Last scale brought in not nothing close to $10 billion. Are you listening to me? Now to be able to generate this dollars, the Bank of Ghana says there is a price, what is this price? I must buy the gold at the exchange rate at which gold is bought in Ghana. And from the time Ghana became Ghana, our forefather's time when we started mining gold till 2025, gold is bought in cities per pound in Ghana. But when you're calculating the price, you use what exchange rate?

[00:07:38]Forest bureau exchange rate, >> not black market forest bureau. The forest bureau exchange rate. What we call the retail rate is the it is the the the the rate for assessing cash dollars from licensed forest bureaus.

[00:07:54]It's not a parro rate. So that is the rate PMMC was using to buy gold and that is the rate bank of Ghana was using to buy gold through the gold board in 2025.

[00:08:04]But when we buy the gold at that forest bureau rate and the Bank of Ghana got the dollars, the accountant will have to record the dollars in cities whether or not the dollar is sold to the market through intermediation or the dollars is added to the the reserves which means it is not even realized but it must still be converted into cities and in converting it into the cities by law bank of Ghana can only use the bog rate which is the inter bank rate >> and that rate is always lower than the forest bureau rates. And you see in 2024 five not the city appreciated and at a point in time the gap between forest bureau rates and bank of Ghana rate was one city sometimes one city 50% sometimes two cities >> one city 80% >> so imagine that I am buying gold for the bank of Ghana at a forest bureau of 14 cities because that you can't go and tell a minor that gold interbank is he knows the dollar rate at which if he wants to buy dollars he will get dollars from the forest bureau Okay. So he will sell the dollar to you at forest below rate. But the bank of Ghana accountant says no by law I have to record it at a lower rate which is inter bank. So I bought it at 13 they record it at 11 gab of two cities. That that is the loss. That loss is an exchange rate translational effect and it constitutes about 90% of the deal loss. Last week we got to know based on what the bank of Ghana told us that the rate gap which you have just explained the rateap >> constitutes they said 83% >> per my analysis and I'm discussing it with them it's more than 90%. more than 90% gap.

[00:09:43]>> Yes. So it is not because somebody has mismanaged.

[00:09:48]>> But if you said that okay I won't buy it at forest rate because I don't want to incur that exchange rate differential.

[00:09:54]I'll buy it at interbang rate. You just came into office. You just established the gold board. You you have not even put out your policies yet. You think that we would have gotten 104 tons. No.

[00:10:05]So that is a cost. Then of course the bank of Ghana says because we don't have dollars coming in from anywhere and we are buying good let's use market incentives like what buy the good as spot price because in 2021 we had an experience we introduced a 3% tax on good with holding tax >> and gold volumes collapsed by over 90%.

[00:10:25]We didn't get any gold. So Bank of Ghana learning from that experience is we won't buy it at a discount we will buy it at 100% the cost. We will give the the world market price all of it to the miner. Okay. And then the cost like the shipment cost and the rest we will take that cost. So it's the price the bank of Ghana has to pay to generate over $10 billion without borrowing because if they had borrowed they would have incurred interest and they would have they would have created debt which they have to service every year. So even this alternative is cheaper than going to borrow $10 billion. So this loss is that is that a product of mismanagement? Look look at the figures. Put that back on the screen and let me do a comparison for you. In 2024, Africa, give me one minute before you come in >> quickly. Put that same page on the scene. In 2024, are you listening to me?

[00:11:18]The Bank of Ghana bought 45 tons of gold.

[00:11:22]Mhm. 45 tons of gold supplied them by PMMC and a private company called RESFI.

[00:11:29]on that 45 tons of gold. That 45 tons of gold, the highest price at which they got it was $2,700.

[00:11:37]>> $2,700. That was the highest price per ounce, the the highest gold price reached in 2024. 2007, 45 tons. What was the loss? These people who are talking all over the place, what was the loss they made? 5.6 billion net loss. 5.6 billion.

[00:11:57]Let me show you that. That is what is called net loss on gold deals. 5.6 billion 2024.

[00:12:05]Then we come we don't buy 45 tons. We don't buy 60. We don't buy 80. We buy 111. Small scale is 104. Then you add what they bought from the last scale which is about 10 tons. You buy that 111 tons. At the time the world market price almost doubled to 4,300 from 27 a high of 2,700 to a high of 4,3 and the net loss is 9 billion and they are talking let me say and they talking and we brought in over $10 billion that has that has that that has led to the stability but for that look where would we have gotten dollars for the BDC's who bring in oil for all these players in the in the in the economy businesses who need dollars desperately the commercial banks for their customers.

[00:12:55]>> Now let's stay the same on this particular >> so no before you come in let me just wrap up this point so if you look at the three main expenditure items that led to the 15.6 It says billion operating laws that people are are making noise about.

[00:13:10]You will see that the Bank of Ghana is a victim of his successes. This is the cost of economic stability, not the product of mismanagement. You understand? And the these are the details. When they talk, they won't show you the figures. We are showing you the figures. But what you have to ask yourself is that in assessing a c a central bank, are we just using profit and loss? Profit and loss is important.

[00:13:36]Look, the the the the the Czech National Bank, which is the central bank of Czech Republic, they declared negative equity from 2002 to 2019, 17 years. Yet, they were one of the best central banks in Europe. 2023, the European Central Bank declared a loss of 7.9 billion. Wait, wait, wait. 7.9 billion. 2024, 1.3 billion. Does that mean that that central bank is incompetent? No, the most important thing in assessing a central bank is whether or not it is delivering on its core mandate, the core mandate of price stability given it by the constitution. Not even an act of parliament, the constitution. You get my point and to the extent that in incurring you incurred a total loss of 9.4 billion in December 2024 in 2024 9.4 billion and inflation was 23.8 8 food inflation 27%.

[00:14:34]Um public debt to GDP 61% lending rate over 30%. The credit rating junk you understand currency depreciation of 19%.

[00:14:45]So if I if bank of Ghana has increased that loss from 9.4 to six and if you look at the gap that gap if you take the revaluation loss which is as a result of the appreciation of the city you you can call that an appreciation effect. CD appreciation effect if you take the 5.4 from their 15.6 they come to the same 9.4 4 billion the MPP was in 2024 in fact >> and look at their results look at their results and the impact on Geners >> now and my guests are going to be joining SJ in a bit uh and so just stay with us here on the key point now there was a point that you made which I would want us to go back to because you highlighted the gains justapose the gains to the cost that the bank of Ghana had to bear >> and the cost I've shown you is not because of manage mismanagement even because of the appreciation of the currency, >> right? And the loss that we are seeing on its books just one minute, one minute. Can we go to the OCR? Let me show you something. The the the other comprehensive the very something very important I forgot the other comprehensive income loss. Yes. Yes.

[00:15:52]Stay there. The other comprehensive income loss which is 19.3 billion with the PP as to the 15.6 to get their 34 billion. Let me tell you something about that. Do you know the main cause of that loss? You have it on your screen. Show it to your look. Come this way. Let me read it. I've read it come exchange and revaluation losses on gold, SDR and foreign securities. Remember I read section seven of the bank of Ghana act to you and I told you that the law that parliament has passed is that if the bank of Ghana makes a revaluation laws on gold that it is holding SDR is the money IMF has given Ghana which is is being held by the IMF. You understand?

[00:16:29]and they are foreign securities. If they make any revaluation loss, it should be in the other comprehensive income and not the profit and loss. What loss did they make? 23.6 billion just because the CD appreciated. Look at 2024 figure.

[00:16:43]Look, look at what is on the screen.

[00:16:44]2024 that is over 10 >> 10.5 billion profits.

[00:16:50]Profit. So the M P made profit which is revaluation gains because they supervised the depreciation of the CV by 19% in 2024. They made a a profit in their revaluation account again of 10.5 billion just because the CD was depreciating and we were suffering. So at the time in the retail market $1 CDs and we were suffering.

[00:17:20]Addison and his team at the Bank of Ghana were happy because they will make revaluation gains. Why? Because the rates exchange rate that you are using to convert their foreign investments and securities and assets now has gone up.

[00:17:34]So you know what when they tell you that they were making gains, they were reducing our loss and we have come to increase it. Do you know what they are saying? They are celebrating gains as a result of the depreciation of the city, not structural reforms or structural management gains. Gains as a result of the depreciation of the CD, they are saying that is recovery. But losses as a result of the appreciation of the CD, they are saying that is a reversal of recovery. Does that make sense to you?

[00:18:03]>> You see, for the domestic gold purchase program, >> Mhm. And based on the losses that was incurred which you referenced over 9 billion something must change. Obviously we cannot continue on this path. You reference why you had to go on that path so as to tackle small let me just answer you even before we finish because even though you have done the reassessment of the rate gap >> which has contributed to a large chunk of this 9 billion that we're talking about to about 90%.

[00:18:34]If you are going on with this domestic gold purchase program, then if you're going to increase the volumes coming in, we're going to incur more.

[00:18:41]>> So, let me just answer that. You see, we came into office, gold board was established in April. We have to now put in place the organization, recruit workers, put in place system, new licenses, new reforms. You can't use 8 months to change a system that has been in place for many, many decades. So we had to just continue the bank of Ghana's domestic good purchase program but this time around with a new mandate given to the gold board scale it up in terms of volumes and in terms of FX repatriation and that is why we got results positive results that has ne never been achieved in the history of Ghana. Okay but now 2026 President Mama says we promise a reset so let's reset it. So what have we done? We have ended domestic good purchase program which is designed to incur cost for national economic stability and the the chunk of that cost is the rate gap that I've explained to you forest bureau >> you buy from at the forest >> and you are buying at spot price >> for good reason to get good for results but you've gotten the results and you're saying look for efficiency sake can I bring down the cost so now we have ended domestic good purchase program we have introduced policy called Ghana wrap which has been approved by cabinet and parliament.

[00:20:00]>> How is it different from this domain?

[00:20:01]>> It is called Ghana accelerated national reserve accumulation program. How is it different? We have reduced the cost of generating foreign reserves through domestic good purchase program which is about 16%. It was 16%. We brought it to 7.25% under GRAP and by next year it's going to 5% and by the following year 3%. So within the short to medium term we want to erase the cost and under GRAP gold ball does not buy gold at forest bureau rates again. Are you listening to me? Gold ball buys gold at interbang rates because now we have settled we have consulted the miners. We are saying that if you continue to sell good to us at forest bureau rate and bank of Ghana has to convert it in their books at inter bank the rate gap creates about 90% of losses and so please bear with us and these miners have been very patriotic they are bearing with us once in a while we when the gap between forest bureau and interbank is not that much less than one CD we buy at interbank when the gap is more than one city we give them something called bonus just to bridge the rate and it is now just 2%. So that is a small cost compared to the about 10% cost rates gap cost we were incurring last year. Okay. And under GR wrap we have reduced the discount and MP when they bought gold under domestic gold purchase program in 2023 and they shipped it to their off takers only one offtaker. They had only one called Alpha Stream who was an agent an intermediary and was buying good and selling it to another company called StoneX. They the and middleman broker they sold all the gold to this middleman and this middleman do you know the discount 2.2%.

[00:21:44]Now we have brought it to 1.2% 1% and if there is pre financing maybe 1.4 1.5 1.6%. So we are bringing down the discount. We are reducing purity losses and the other cost. So that is what we are doing under grap and under grap we are we want to mop up small scale 2.45 45 tons a week and large scale that's 0.55 a week. So three tons of gold in a week large scale and small scale which brings us over $400 million. And we want to do this for up to 2028 and accumulate 15 months 15 months of import cover so that the economy is resilient and when there is any external shock like COVID Ukraine war or COVID 19 our economy can stand the test of time. So that is what we are doing under GRAB at a very reduced cost with a clear road map to eliminate the cost. Now now now Alfred one minute because the element of cost is one thing.

[00:22:42]>> No no but let me let me make another very important point. I don't want to belabor this.

[00:22:46]>> There is one thing that has not really been emphasized in this discussion on the bank of Ghana's 2025 audited financials and that is what it is loss of income. You see one of the major sources of operating income of the bank of Ghana and Bank of Ghana borrows money and from commercial banks and they pay interest. In that same way afred the bank of Ghana also lends money to government and government pays interest on it. You know that right? So they also issue bills to government. So in 2022 they gave governments a loan let me put it that way 44.5 billion cities which government is supposed to be paying interest on but the the the reckless MPP government mismanaged the economy s that they said we can't pay you so the domestic debt exchange program bank of Ghana was given a 50% haircut cut so the income that bank of Ghana must get every here from monies it has lent to government bank of Ghana is losing that money that income that is what is deep worsening their profit and loss and their equity it is the biggest DDP you see they talk about negative equity the bank of Ghana was always having a positive equity equity simply means when we look at all your assets and we compare it to your liabilities your assets should be more than your liabilities okay the bank of Ghana was always in positive equity until 2022 when the recklessness of the MPP government reached a crescendo and we woke up one day because the Bank of Ghana printed a lot of money for the government which the government refused to pay what it was supposed to pay then Bank of Ghana declared negative equity of ne of of 55 billion then it went to 66 billion negative then it came to 61 billion negative okay so of course the negative equity of the bank of Ghana did not start today Alfred you since Bank of Ghana became came into being huh the biggest loss they have ever suffered the biggest loss was in 2022 a 60.8 billion Ghana cities loss 60.8 billion and the people who supervised a loss of 60.8 8 billion.

[00:25:12]They are today holding press conferences. Some are writing teases to the IMF and they are giving us lectures >> on how to the bank of Ghana. You supervised to you on on that. I'm going to go for this quick break. Now when I come back, Rich Abba and also uh Kofi Bento matu will be joining you.

[00:25:33]>> But before you go, can I just deal with the >> when we come back? When we when we come when you come out talk about the 2026 you have just referenced Live podcast.