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President John Dramani Mahama has reaffirmed his commitment to fiscal discipline, assuring the newly sworn-in Governor and Deputy Governor of the Bank of Ghana (BoG) that his administration will not engage in excessive money printing to finance government spending.
Speaking at the swearing-in ceremony at Jubilee House, Mahama cautioned against the dangers of unregulated central bank financing, stressing its harmful impact on Ghana’s economy in recent years.
“When government resorts to unsustainable consumption, expenditure financed by excessive and unregulated printing of money, the consequences can be severe. From spiraling inflation and erosion of incomes to driving millions into poverty, such actions not only weaken public confidence in financial institutions but also threaten long-term stability,” he warned.
Reaffirming his stance, Mahama assured the BoG leadership, saying, “One thing for sure, I’m not going to come and ask you to print more money.” He emphasized the need for sound monetary policies to curb inflation and restore economic stability.
Mahama’s remarks come amid growing concerns about Ghana’s economic management, particularly the BoG’s past involvement in financing budget deficits. Excessive money printing has been linked to rising inflation, currency depreciation, and reduced purchasing power.
Meanwhile, economist Prof. Godfred Bokpin has also blamed Ghana’s rising inflation on excessive money printing and the government’s failure to invest in productive sectors.
“If you look at Ghana and the injection of excess liquidity, at some point, the Central Bank even denied it. In 2022, if you look at the Domestic Debt Exchange, we were talking about GH¢77.6 billion by way of overdraft lending to the Ghana Government. What do you expect?” he stated on The Big Issue on Channel One TV.
Prof. Bokpin warned that Ghana’s inflation crisis is driven more by unchecked liquidity injections than by real economic growth, urging a shift toward sustainable economic policies.
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