BoG to shore up reserves with $1bn – Addison

The Bank of Ghana (BoG) has said it will add $1 billion to the country’s reserves by the end of this year to stabilise the cedi against major international currencies.

According to the Governor of the BoG, Dr Ernest Addison, the accumulation of more dollars is to help increase the net international reserve and also provide confidence in the system, which, according to him, will help stabilise the local currency.

Since January this year, data from the central bank show that the cedi has lost some 3.6 percent of its value to the US dollar as the international investor community sold some of their investments in local securities and moved their funds overseas, partly causing the cedi to slide.

Speaking at the 8th edition of the Ghana Economic Forum in Accra, Dr Addison said: “The way we look at it, we’ll try to build our reserves as much as we can in 2019 in order to manage the potential disturbances that we could face in 2020, and if you look at the data, we’re projecting building almost an additional $1 billion by the end of 2019…”