Ghana’s GoldBod generated $1.87 billion in foreign exchange from artisanal and small-scale gold trading in September, surpassing its monthly target as the country seeks to bolster dollar liquidity and strengthen its reserves.
The gold-buying agency said it generated $1.871 billion during the month, above its $1.4 billion target.

Of the total, $701.3 million was sold to authorized commercial banks, marginally exceeding GoldBod’s $700 million target. The sales are intended to provide dollar liquidity to the banking system and support stability in Ghana’s foreign-echange market.

GoldBod transferred a further $1.17 billion to the Bank of Ghana, well above its $700 million target for the month. The funds will contribute to the central bank’s reserve accumulation efforts.
The results underscore the growing role of Ghana’s gold sector in supplying foreign currency to the economy, particularly as authorities seek to strengthen external buffers and reduce pressure on the cedi.

For October, GoldBod expects to generate $1.5 billion in foreign exchange. It plans to make about $1 billion available to commercial banks, with as much as $500 million earmarked for the Bank of Ghana to support reserve accumulation under the Ghana Accelerated National Reserves Accumulation Programme, or GANRAP.

GoldBod said October’s transactions will be conducted under a newly developed Spot FX Sales/Intermediation Framework, which it said is designed to improve transparency, fairness and regulatory compliance in the allocation of foreign exchange.

The agency said it remains focused on its statutory mandate to generate foreign exchange for Ghana while working with financial-market participants to support broader financial stability.

Source:TheDotNews