The Member of Parliament for Tano North and Ranking Member on Parliament’s Finance Committee, Dr Gideon Boako, has questioned the Bank of Ghana’s latest decision to revise its Cash Reserve Ratio (CRR), arguing that the move supports his earlier concerns about the central bank’s financial losses and foreign exchange reserve management.
His comments follow the Bank of Ghana’s Monetary Policy Committee (MPC) decision announced on Wednesday, May 20, 2026, which revised the CRR framework to a uniform 20 percent requirement in domestic currency, effective June 4, 2026.
The decision also reverses the earlier treatment of foreign currency deposits under the dynamic CRR system introduced in previous years.
In a statement issued on Facebook on May 21, 2026, Dr Boako said he had previously warned that the Bank of Ghana’s audited financial statements would reflect significant losses, a position he said was dismissed by government communicators at the time.
“Earlier this year, I stated that the Bank of Ghana’s audited financial statements would show substantial losses. Government communicators dismissed it as false, and some resorted to personal attacks. The losses were later confirmed when the statements were published,” he stated.
He maintained that the reported losses were largely driven by policy decisions relating to the CRR on foreign currency deposits, rather than what authorities have described as the “cost of stability.”
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“I also said the losses were mainly due to policy failure as a result of the revision of the prior Cash Reserve Ratio (CRR) on foreign deposits, and not the so-called ‘cost of stability.’ That was denied as well,” he added.
Dr Boako further argued that the central bank’s latest policy adjustment effectively validates his earlier position.
“Yesterday, the Bank of Ghana revised the dynamic Cash Reserve Ratio and reversed the CRR for foreign exchange deposits that had been implemented by the previous administration,” he noted.
He also suggested that further changes in the banking sector may follow in the coming months, particularly regarding foreign currency deposits.
“Later this week, I’ll share what I expect to happen in the banking system regarding FX deposits from next month. They’ll call it a lie again, but it will happen. I observe in whole and analyze in whole,” he added.
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