News:
May 5, 2026
The Majority in Parliament has pushed back against growing concerns over the Bank of Ghana’s (BoG) financial health, arguing that its widening negative equity is a normal consequence of economic stabilisation – not a sign of insolvency.
At a press briefing in Parliament on Tuesday, Eric Afful, MP for Amenfi West and Chairman of the Economy Committee, sought to reframe the public debate around the central bank’s balance sheet.
“Negative equity in central banks is an accounting condition – that’s not implying insolvency,” Afful explained.
“Central banks are not profit-making institutions. They are not profit-maximising like commercial banks. They are stabilising institutions.”
What the latest figures show
The Bank of Ghana recorded a loss of GH¢15.63 billion for the 2025 financial year, up from GH¢9.49 billion in 2024. Its negative equity has also ballooned to GH¢93.82 billion – figures that have drawn sharp criticism from the Minority and some economic analysts.
Afful, however, noted that such losses are not unusual during periods of monetary tightening, pointing to similar experiences at major central banks worldwide.
“Institutions such as the European Central Bank, the US Federal Reserve and the Reserve Bank of Australia have all recorded losses during periods of policy tightening – while still achieving their objectives.”
Beyond the balance sheet
According to the Majority, the BoG’s performance shouldn’t be judged solely by its financial statements. Instead, Afful highlighted recent macroeconomic improvements:
* Inflation has dropped to single digits
* Exchange rate has stabilised and strengthened
* Reserves are rising
* Interest rates are easing
* Economic growth remains robust
“Simply put, the Bank’s balance sheet reflects the cost of stabilising the economy during a period of severe disruption,” Afful said. “This context should guide public discussion on the matter.”
Dominic Shirimori/Ghanamps.com