The Minority in Ghana’s Parliament has expressed dissatisfaction with the Bank of Ghana’s (BoG) response to their press conference, known as the ‘Moment of Truth,’ regarding the central bank’s loss in 2022. The Minority contends that the BoG’s statement fails to address crucial issues
, including the central bank’s printing of money for the government and the write-off of a GH₵48 million debt owed by the government to the BoG.
In a press release dated August 11, signed by the Minority Leader, it was stated that the BoG’s unsigned press statement contained deliberate distortions and weak justifications. Regarding the printing of money for the government, Dr. Cassiel Ato Forson, a member of the Minority, argued that the BoG provided no reasonable justification for printing
GH₵35 billion in 2021 and GH₵42 billion in 2022 to finance the government. This, according to him, clearly violated the law since the amount printed for the government significantly exceeded the legally permissible threshold of 5% of the previous fiscal year’s total revenue.
Dr. Forson alleged that the BoG acted outside the law, engaging in the unlawful printing of money to finance the actions of the Akufo-Addo/Bawumia/NPP government in both 2021 and 2022. He argued that this conduct by the BoG constitutes a cri
minal offense under Section 67 of the Bank of Ghana Act, dismissing the BoG’s justifications provided in multiple press statements as flimsy.
Furthermore, the Minority Leader highlighted that it was illegal for the BoG to write off approximately GH₵48 billion of government debt owed to the central bank without parliamentary approval. He stated that the government’s announcement of its intent to pursue domestic debt restructuring during the 2023 budget presentation, based on which the
BoG wrote off the debt, did not constitute approval from the House. This, he argued, violated Section 53 of the Public Financial Management Act, 2016.
The Minority in Parliament called on the BoG to immediately reinstate the debt written off and cease the seemingly baseless justifications they have presented.
They emphasized that the economic difficulties referenced by the BoG in its previous statement were largely self-inflicted and could not reasonably justify the perceived illegalities and the challenges that have arisen.
The disagreement between the Minority in Parliament and the BoG centers on key financial and legislative matters, highlighting the intricate relationship between
government finances, central bank operations, and the necessity for parliamentary oversight. For the latest updates, it is recommended to consult recent sources.