Finance Minister Dr. Cassiel Ato Forson has ruled out the use of taxpayer funds to recapitalise the Bank of Ghana (BoG). This follows claims that the central bank had signed a memorandum of understanding (MoU) under the previous Ernest Addison-led administration for a ¢53 billion bailout.
Speaking to Accra-based Joy News on Tuesday, March 11, 2025, after presenting the 2025 Budget Statement to Parliament, the Ajumako-Enyan-Esiam MP, while highlighting the severe financial distress facing the BoG, insisted that the government would not pass the burden onto taxpayers.
“On the back of the report that showed the ¢60 billion hole, remember, in my previous life as the Minority Leader, I kept saying that the Bank of Ghana had generated so much debt and deficit. As a result, their balance sheet is not healthy, and they have generated negative equity,” he stated.
Dr. Forson stressed that the central bank must explore internal solutions rather than seek a government bailout.
“Apparently, the previous administration in the Bank of Ghana had signed an MoU for the Government of Ghana, or the taxpayer, to recapitalise the central bank with ¢53 billion. I’ve asked the Bank of Ghana to look within, cut expenditure, because the taxpayer cannot afford ¢53 billion,” he said.
He pointed to BoG’s recent expenditures, including its new head office, as areas where cost-cutting measures could be implemented.
“First of all, they have to look within. You know, you’ve seen their new Head Office, a very big building. They have a choice—a choice to sell and lease back if they want. They have to look within and cut expenditures and reduce events. The taxpayer cannot afford ¢53 billion,” he stressed.
“Giving ¢53 billion to the central bank will simply mean that we will have to deny the taxpayer some public good, like roads, like schools, like hospitals. Is that what we want? Can we afford it? At this stage, the answer is no. We cannot afford that. And so the central bank must look within,” he asserted.
“They have hotels, like guest houses and others. Why are they in the guest house business? They should sell some of them and use the money to recapitalise. The taxpayer cannot be used as a punching bag,” he stated.
By: Ekow Annan/newsalertgh.com
