 against excessive foreign exchange (FX) interventions, warning that such actions could distort market dynamics and undermine the country’s economic resilience.){kind=link}
The World Bank has cautioned the Bank of Ghana (BoG) against excessive foreign exchange (FX) interventions, warning that such actions could distort market dynamics and undermine the country’s economic resilience.
The advice was contained in the latest Ghana Economic Update report, launched in Accra on Thursday, August 14, 2025. The report emphasised the importance of allowing market forces to play a greater role in determining exchange rate movements.
The World Bank also urged swift completion of the recapitalisation of all financial institutions under the Financial Sector Strengthening Strategy. It further recommended a comprehensive asset quality review to address Ghana’s high levels of non-performing loans (NPLs), coupled with clear action plans for banks to restore financial stability.
“These measures will help strengthen balance sheets, rebuild confidence, and position the banking sector to better support Ghana’s economic recovery,” the report stated.
The recommendations come as Ghana pushes forward with reforms under its IMF-supported programme, which aims to restore macroeconomic stability and promote sustainable growth.