Ghana’s Gold For Oil Policy To Commence In January 2023

The Government of Ghana has finally reached an agreement with petroleum refiners in the United Arab Emirates to supply the West African nation with petroleum products beginning January 2023 under the gold for oil initiative.

Under this initiative, the Government of Ghana will be using gold to exchange for refined petroleum products instead of using US dollars to pay for the products.

The move is part of the Akufo-Addo administration’s effort to address the situation where oil importers chase dollars for oil import, thereby, putting pressure on the local currency, the cedi.

Vice President Dr. Bawumia broke the news in November 2022 when he said the government was engaging oil firms to use gold for oil.

Giving an update on the oil for the gold initiative on Thursday, Vice President Dr Mahamudu Bawumia wrote on his Facebook wall: “I am happy to announce that the Government of Ghana has concluded the arrangements for the operationalisation of the Gold for Oil policy.

“Consequently, the first oil products under the policy will be delivered next month (January 2023). My thanks to the Minister for Energy, Minister for Lands and Natural Resources, Governor of the Bank of Ghana, the Chamber of Mines, PMMC, NPA and BOST for their leadership in the operationalisation of the Government’s Gold for Oil Policy.”

Source: https://energynewsafrica.com