BoG Chief Urges Caution as Ghana Faces ‘Critical Test’ in 2026

BoG Chief Urges Caution as Ghana Faces ‘Critical Test’ in 2026

Bank of Ghana Governor, Dr. Johnson Pandit Asiama, has issued a rallying cry for continued fiscal discipline, warning that despite a banner year for the nation’s economy, 2026 will serve as the ultimate proving ground for Ghana’s monetary policy.

Speaking at the inaugural 128th Monetary Policy Committee (MPC) meeting of the year on Monday, Dr. Asiama struck a tone of measured success. While acknowledging that “all economic indicators look good,” he was quick to remind stakeholders that the central bank’s mission has “only begun.”

A Landscape of Stability

The Governor’s optimism is backed by a string of strong year-end figures for 2025. Inflation long a challenge for the West African nation cooled significantly to 5.4% by December. This drop has not only anchored consumer expectations but has granted the BoG newfound flexibility in its policy toolkit.

The country’s “war chest” has also seen a significant boost. Foreign reserves surged to US$13.8 billion, providing a six-month safety net for imports. This fiscal cushion is further bolstered by a robust current account surplus standing at 8.1% of GDP.

Navigating Global Headwinds

Despite the internal growth and rising business confidence seen through the third quarter of last year, the Governor remains wary of external pressures. With global growth projected at a modest 3.3% for 2026, Dr. Asiama cautioned that geopolitical tensions and volatile gold prices could threaten Ghana’s current momentum.

“The role of the MPC is to ensure future stability, not to celebrate past gains,” Dr. Asiama told the committee, emphasizing that the focus for the coming year must be the delicate balance between supporting economic growth and maintaining the bank’s hard-won policy credibility.

Source:Ghanaweb