BoG to Inject $1bn into FX Market in November Under Revised Intermediation Programme
The Bank of Ghana (BoG) is set to inject up to US$1 billion into the foreign exchange market in November 2025 under its revised Foreign Exchange Market Intermediation Programme.
Per a notice to participating dealers and traders of licensed commercial banks, the Central Bank is expected to auction about US$300 million twice weekly on a spot basis throughout the month.
The BoG noted that subsequent monthly auction volumes will be determined in line with prevailing market conditions, adding that it remains committed to transparency in its operations and will continue to disclose all relevant information on its FX activities, including interventions and intermediation.
October Intervention and Market Impact
In October 2025, the Bank of Ghana injected approximately US$1.15 billion into the market under the FX Intermediation Programme. The intervention, conducted in what the Bank described as a “market-neutral” manner, was also executed through spot auctions to commercial banks.
Market analysts assert that these interventions played a crucial role in supporting the cedi’s record appreciation during October.
Data from the Central Bank show that the cedi appreciated by 13.9 percent against the US dollar by end-October, while registering a cumulative year-to-date gain of 34.86 percent.
Average daily trading volumes on the interbank market stood at US$22 million, amounting to a total monthly volume of about US$484 million.
Several commercial banks have attributed the cedi’s strong performance to the BoG’s revised foreign exchange and monetary policy measures, which have improved dollar liquidity and strengthened enforcement of foreign exchange regulations.
Market Reforms and Policy Context
The Ghana Association of Banks has described the Bank’s shift from weekly forex auctions to spot-based sales as a major reform that has enhanced market efficiency and improved price discovery within the interbank market.
In October, the BoG formally commenced its FX intermediation operations under the Domestic Gold Purchase Programme, with plans to sell up to US$1.15 billion each month through price-competitive spot auctions open to all licensed banks.
At an engagement with the banking industry, Governor Dr Johnson Asiama explained that the revised framework aims to deepen market participation and smooth exchange rate volatility.
“Monthly auction volumes may be adjusted depending on evolving market conditions, but our overarching objective remains clear: to deepen the interbank FX market, enhance price discovery, and smooth volatility,” Dr Asiama stated.
The reformed intermediation framework eliminates preferential allocations and introduces open, twice-weekly auctions to ensure transparency and a level playing field for all licensed banks.
