Gross Reserves Surge to $8.9 Billion in December 2024, Equivalent to 4 Months Import Cover
Ghana’s gross international reserves rose significantly by US$1.101 billion in December 2024 to reach US$8.982 billion, equivalent to 4.0 months of import cover. This marks a substantial improvement in the country’s external financial position.
Data from the Bank of Ghana’s Summary of Economic and Financial Data shows the reserves stood at US$6.31 billion in January 2024 but dropped to US$5.99 billion in March. The reserves later rebounded to US$6.59 billion in February and maintained a steady growth trajectory through the year.
The report attributes the strong reserve build-up to an improved external sector position, driven by a higher current account surplus and a reduction in net financial outflows.
Trade Balance Records Surplus Amid Export Growth
Ghana’s trade balance recorded a provisional surplus of US$4.980 billion in December 2024, compared to US$2.694 billion in the corresponding period of 2023. This improvement was largely fueled by a 21.06% increase in total exports, which amounted to US$20.22 billion.
Gold exports played a pivotal role, surging by 53.15% to US$11.64 billion in December 2024. However, other key export sectors experienced declines. Crude oil exports dipped marginally by 0.7% to US$3.86 billion, while cocoa exports fell sharply from US$2.152 billion in December 2023 to US$1.696 billion in December 2024. The decline in cocoa exports was attributed to adverse weather conditions and the impact of illegal mining activities (galamsey).
Rising Import Bill
The country’s total import bill also increased, reaching US$15.24 billion in December 2024, up from US$14.008 billion in December 2023.
The improved trade performance, driven by higher gold exports and a controlled rise in imports, significantly contributed to Ghana’s external reserves growth, providing a stronger buffer for the economy.
