The Bank of Ghana (BoG) has announced measures to ensure that the gold used for its newly launched Ghana Gold Coin (GGC) is not sourced from illegal mining.
The central bank stated in a Frequently Asked Question that “Gold used for the manufacture of the GGC is from traceable, responsibly mined sources in Ghana in line with the BoG’s Responsible Gold Sourcing Framework.”
The BoG unveiled the gold coin, which will be available to investors in the next two weeks, marking the first time the central bank is issuing gold coins as an alternative investment asset for the general public.
Governor of the BoG, Dr. Ernest Addison, who launched the coin at a press conference in Accra on Friday, September 27, explained that the Ghana Gold Coin aims to help the Bank of Ghana manage excess liquidity in the banking sector. He stated that individuals would be able to purchase the coin in three different ounce options at all commercial banks across the country.
“Now, if you don’t buy dollars, you will buy treasury bills or bonds. We are giving you an opportunity from the domestic gold purchasing programme to also buy gold. This is what we are trying to launch now, and we call it Ghana Gold Coin,” Dr. Addison said.
He added, “The Ghana Gold Coin is manufactured from gold dug out of Ghana, which has been refined to 99% purity. It is issued and guaranteed by the Bank of Ghana.”
The coin will be available in one-ounce, half-ounce, and quarter-ounce options to cater to different investment needs. Dr. Addison highlighted that the coin “enables the Bank of Ghana to mop up extra liquidity in the banking sector and will supplement the use of Bank of Ghana bills and overnight inflows for liquidity management. It gives savers an additional avenue to invest and reap the benefits of the BoG domestic gold purchase programme.”
The coin features the Ghana Coat of Arms on the front and the Independence Arch on the back. Dr. Addison emphasized that this initiative aims to “deepen our financial markets by offering other avenues for savers to invest.”
