Parliament passes Bank of Ghana Amendment Bill, 2025

Parliament has approved the Bank of Ghana (Amendment) Bill, 2025 after a debate on December 18. The new law aims to boost transparency and accountability within the central bank. Finance Minister Dr. Cassiel Ato Forson highlighted its importance during the session.

The Bill introduces a legal limit on how much the Bank of Ghana can lend to support government spending. This cap is intended to prevent excessive monetary financing and ensure fiscal discipline. However, the legislation allows exceptions in rare cases, provided strict conditions and stronger oversight are in place.

Another major change is the creation of an automatic recapitalisation system for the Bank of Ghana. If the institution faces severe financial losses, this mechanism will help restore its stability. The goal is to maintain smooth monetary operations and protect the country’s financial system from disruptions. The amendments also seek to strengthen the central bank’s independence and improve its policy execution. By aligning its operations with global standards, the reforms aim to rebuild trust in Ghana’s financial governance. Lawmakers believe these changes will enhance the bank’s ability to manage monetary policy effectively. Supporters of the Bill argue that the reforms will deepen institutional checks and improve overall accountability. The new rules are designed to prevent past issues while ensuring the Bank of Ghana operates with greater clarity and responsibility.

The passage of the Bill marks a step toward tighter financial oversight and a more resilient central bank. The recapitalisation system and stricter lending rules are expected to stabilise monetary operations. These changes will take effect following the President’s assent and formal implementation.