The Bank of Ghana (BoG) has achieved a significant reduction in the cost of issuing currency in 2025, even as the volume of cash circulating in the economy reached new highs.
According to the central bank’s latest financial statements, the total cost of currency issuance dropped sharply from over GH¢1 billion in 2024 to GH¢471.4 million in 2025, a noteworthy operational shift for the institution.
The decline was largely fueled by a dramatic 72% fall in direct production expenses, with the cost of printing banknotes and minting coins plummeting from GH¢986 million to GH¢277 million year-on-year. This points to a deliberate strategy by the BoG to scale back physical currency production, likely through better inventory management, reduced replacement needs, or targeted cost-optimisation measures.
However, the overall picture of currency management remains complex. While the central bank succeeded in slashing production costs, several other operational expenses saw increases. Agency fees inched up to GH¢10.6 million, foreign currency import costs rose from GH¢14.4 million to GH¢16.5 million, and miscellaneous currency-related expenses surged to GH¢183 million from GH¢14.6 million. This sharp rise in ancillary costs partially offset the savings made in printing and minting, highlighting continuing logistical and management pressures.
Despite the cost-cutting measures, Ghanaians’ appetite for cash showed no sign of waning. Currency in circulation, defined by the BoG as the total face value of banknotes and coins held by the public and financial institutions, net of cash in the central bank’s vaults, increased by about 17%, rising from GH¢71.6 billion in 2024 to GH¢83.8 billion in 2025.
The latest data underscores the BoG’s evolving approach to operational efficiency in currency management, even as demand for physical cash continues to grow across the country.
Source: Apexnewsgh.com