The Ghana Gold Coin, which was officially introduced in 2024 as a new financial instrument to diversify investment options for the public, is set to be relaunched this month alongside the Cedi at 60 commemorative program launch, the Bank of Ghana has said.
The coin, made from gold mined and minted in Ghana, has been refined to 99.99% purity and is issued and guaranteed by the central bank. The coin comes in three sizes: of one, half and a quarter ounce coins.
The Governor of the Bank of Ghana, Dr Johnson Asiama, during the MPC press briefing re-emphasised that the initiative is designed to ensure that every Ghanaian has the opportunity to own a form of gold, reflecting the country’s heritage as one of the world’s leading gold producers.
“There is a lot of interest in the Gold Coin, we need to relaunch it as part of the Cedi @60 programmes. We are coming back stronger on that programme”, Dr Johnson Asiama disclosed while answering a question asked by Economy Time’s Adnan Adams Mohammed. “Every Ghanaian should be able to buy some form of gold, and that is exactly what this program intends to achieve.”
This news is well received by the Ghanaian public at a time when global demand for gold remains strong, and Ghana continues to prioritize gold in its reserves management and currency stabilization efforts.
Purpose of the Gold Coin
As part of the domestic gold programme, this initiative seeks to absorb excess liquidity in the market and strengthen the local currency against major international trading currencies.
“The Ghana gold coin enables the Bank of Ghana to mop up excess liquidity in the banking sector and will supplement the bank’s bills for liquidity management,” the immediate past Governor, Dr Ernest Addison, said during its introductory launch last year. “It gives those resident in Ghana an additional avenue to invest to reap the benefits of the Bank of Ghana’s domestic gold purchase program.”
Additionally, the aim is to offer the public an innovative investment avenue while bolstering the country’s financial instruments portfolio.
Meanwhile, some economists say the program could serve as a low-risk savings option for households and further support efforts to develop a local gold market.
Key Features
The coins are sold through commercial banks to be bought in cedis and priced on the basis of London Bullion Market Association auction price. The gold complies with the central bank’s responsible gold sourcing rules.
It features the Ghana Coat of Arms on the front and the Independence Arch at the back. It is packaged with a wooden storage box, a transparent coin holder, and a certificate of ownership
Its initial price was pegged at: 1.0oz for GH₵45,020.48; 0.5oz for GH₵22,409.74 and 0.25oz for GH₵11,188.12 these being pegged to the US dollar price of gold on the global market.
Investment Considerations:
The Coin provides a hedge against inflation and currency depreciation, and diversification of investment portfolios.
However, despite the strong surge in the price of gold initially fueling strong returns on investment, in recent months returns have turned negative since the appreciation of the cedi against the dollar has outstripped the rate of appreciation in the global market gold price.
By Adnan Adams Mohammed
