Ghana GoldBod Bans Unrefined Gold Exports Amid Funding Crisis

The state artisanal gold marketing agency, Ghana GoldBod, is facing a liquidity crisis that has caused funding delays of up to three weeks for licensed gold purchasers. This squeeze follows a decision by the Bank of Ghana to stop financing purchases, a move pushed by the International Monetary Fund after the program incurred losses. Some operators have halted purchases or turned to private borrowing to sustain operations.

GoldBod CEO Sammy Gyamfi reported that the agency raised nearly $839 million in advances between March and May and $75 million through a foreign exchange auction on August 3. However, the Bank of Ghana subsequently paused the auction program, viewing it as inconsistent with its operating framework. Consequently, few commercial banks have participated without central bank backing.

In response to the broader goal of retaining mineral value within the country, GoldBod issued a directive banning the export of unrefined artisanal gold dore purchased by self-financing aggregators, effective September 1. All such gold must now be processed at board-approved refineries within Ghana before export applications are considered. Aggregators must amend their off-take agreements by August 31 to include these local refining requirements or face sanctions, including the revocation of licenses.