Ghana Allegedly Prints GH¢22 Billion New Money Without Parliament’s Approval; Bank of Ghana Accused Of Breach

Ghana Allegedly Prints GH¢22 Billion New Money Without Parliament’s Approval; Bank of Ghana Accused Of Breach

  • The Bank of Ghana has been accused of contributing to rapid inflation after allegedly printing over GH¢22 billion in new money secretly
  • The Minority has said the central bank printed the money without the approval of Parliament, which it says was a blatant breach of the law
  • Minority Spokesperson on Finance Dr Cassiel Ato Forson predicts that Ghana could end 2022 with an inflation rate of as high 50%

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The Bank of Ghana (BoG) has been accused of illegally and secretly collaborating with the government to print GH¢22 billion in cedi notes without the approval of Parliament.

The Minority made the revelation on Monday, July 25, 2022, shortly after the finance minister, Ken Ofori-Atta, presented his 2022 midyear budget review to Members of Parliament.

Speaking to journalists at the forecourt of Parliament, Minority Spokesperson on Finance, Dr Cassiel Ato Forson, said the finance minister hid the information about the printed money in the appendix of his midyear budget document.

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Ofori-Atta cedi Addison
Ken Ofori-Atta (L) cedi notes and Dr Ernest Addison. Getty Images.
Source: Getty Images
“I am saddened. No wonder inflation is galloping. No wonder that our reserves position is dwindling. Because when you create new money out of thin air, inflation goes up,” Dr Forson said.

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He said it was unfortunate that the central bank would be pushed by the government to blatantly breach the law.

“This is against the Bank of Ghana Act. I want to tell the Governor of the central bank [Dr Ernest Addison] that he has engaged in an illegality. Gross illegality. And in the future, if he is asked to print money, he must first come to Parliament,” Dr Forson advised.

The former deputy finance minister further noted that the finance minister should have mentioned the printing of new notes during his mid-year budget review.

“What he [Ofori-Atta] did today is a nullity. He should come back again and present a new midyear review…this is perversive. For a minister to omit the fact that they have printed GH¢22 billion is perversive,” he reiterated.

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He said if the trend of secret money printing continues, Ghana will end the year with an inflation of 50%.

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Finance Committee member hints IMF doesn't want Ofori-Atta leading bailout deal

Meanwhile, has reported that a member of Parliament’s Finance Committee has hinted that officials of the International Monetary Fund (IMF) are not comfortable with Finance Minister Ken Ofori-Atta leading bailout negotiations.

Ernest Norgbey, Minority MP for Ashaiman in the Greater Accra Region, said Monday, July 25, 2022, that Ghana would likely access a deal with the international money lender well after 12 months if the minister leads the negotiations.

The Minority MP cited alleged financial misreporting by Mr Ofori-Atta and his anti-IMF comments in the past as some of the reasons the officials do not want to deal with him.

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