KEY POINTS
- President Mahama confirmed Ghana inherited $8.9 billion reserves from the previous government.
- The cedi gained 3.9 percent due to stronger forex inflows and reserves growth.
- Ghana’s reserves rose to $10.6 billion by April 2025, boosting investor confidence.
According to President John Dramani Mahama, his government inherited funds worth about ~$9 billion from the previous administration.
President mahama confirms $8.9 billion reserves inherited
A protracted dispute among officials about the true amount of foreign exchange reserves inherited by the administration came to an end with this disclosure.
While some maintained the previous government left a sizable amount of money, others contended the reserves were almost exhausted.
At the time Mahama’s government assumed office, there was doubt regarding the actual status of Ghana’s foreign reserves due to the ongoing dispute.
President Mahama provided clarification on the precise amount his government was given at the Ghana–European Union Business Forum opening in Accra.
He concluded the discussion by stating that his administration inherited approximately $8.9 billion in foreign exchange reserves.
The president then talked about how the local currency has benefited from Ghana’s current overall reserves, which have increased to about $10 billion.
“Due to global market conditions and economic pressures, the Ghanaian cedi depreciated by 19.2 percent in 2024,” he stated.
“But by the end of April 2025, the cedi had gained 3.9 percent against the US dollar,” he continued.
Stronger export-related foreign exchange inflows and better trade balancing initiatives were credited by President Mahama with this appreciation.
He also attributed the currency’s stabilization and reserve strengthening to rising investor confidence in Ghana’s economy.
Economic outlook brightens as reserves rise to $10.6 billion
With pride, he stated, “Our gross international reserves increased from approximately $8.98 billion in December 2024 to approximately $10.6 billion by April 2025.”
According to Myjoyonline, this increase in reserves is a good development following years of economic hardship and currency devaluation.
These reserves are being used by the government to stabilize the economy and fund programs meant to increase investment and commerce.
Mahama’s comments at the event demonstrate the administration’s dedication to openness and its attempts to bring the economy back to normalcy.
It is anticipated that Ghana’s increased foreign reserves would sustain further expansion and aid in shielding the nation from upcoming financial shocks.
Following the encouraging reserve update, entrepreneurs and investors at the summit voiced optimism about the nation’s economic prospects.
Additionally, the rise in reserves is seen as an indication of better international collaboration and fiscal management.
President Mahama’s admission lays the groundwork for future economic planning and policy decisions while also assisting in the clarification of earlier falsehoods.
