The Institute of Economic Research and Public Policy (IERPP) has welcomed Ghana's reported US$2.62 billion in Foreign Direct Investment (FDI) as an encouraging sign of international investor confidence. However, the think tank has also raised concerns about a US$1.7 billion loss under the Domestic Gold Programme, questioning the net benefit of these financial flows.
According to IERPP, while the FDI figure indicates positive sentiment towards Ghana's economy, the loss from the Domestic Gold Programme—which aims to boost local gold trading—represents a significant drain on national resources. The institute argues that celebrating FDI without addressing such losses presents an incomplete picture of the country's economic health.
The Domestic Gold Programme, launched by the Bank of Ghana, was designed to increase the country's gold reserves and stabilize the cedi. However, IERPP's analysis suggests that the programme has resulted in substantial financial losses, potentially due to pricing inefficiencies or operational challenges.
IERPP is calling for a thorough review of the programme to identify the causes of the loss and to implement corrective measures. The institute emphasizes the need for transparent reporting and prudent management of national assets to ensure that FDI gains are not undermined by domestic policy shortfalls.
