The Bank of Ghana (BoG)’s decision to sell more than half of its gold reserves in November & December 2025 may have provided an important accounting benefit beyond reserve management.The transaction, which reportedly generated a profit of about $1.3 billion, equivalent to roughly GH¢13 billion, could significantly reduce the central bank’s loss position for the 2025 financial year.Speaking at the 129th Monetary Policy Committee press briefing on March 19, 2026, Governor Johnson Asiama confirmed that the sale of over 19 tonnes of gold generated a profit.“The transaction made a profit of over $1.3 billion, and it is all within our international reserves,” he said.The profit largely reflected the difference between the price at which the gold had been accumulated and the significantly higher prices at which it was sold as global gold prices surged through 2025.The primary reason for selling about 51% of Ghana’s gold holdings was to rebalance the country’s international reserves. Gold had grown into a large share of the reserve portfolio, increasing the Bank’s exposure to gold price volatility.Read also: Why the Bank of Ghana sold half its gold reservesHowever, there is a second dimension to the sale worth examining.The Bank of Ghana has been operating under financial strain since 2022, when it supported the central government during Ghana’s economic crisis. That intervention resulted in unprecedented losses and pushed the central bank into negative equity.Discussions are currently ongoing to recapitalise the Bank’s balance sheet through a combination of government bonds, the transfer of some state-owned enterprise liabilities, such as those linked to the Ghana Gold Board and the Ghana Cocoa Board, from the Bank’s books to the central government, and other measures expected to be completed by 2032.In 2022, the central bank recorded a record loss of about GH¢60 billion. By 2024, the loss had narrowed to GH¢9.3 billion.Given the scale and intensity of the Bank’s operations in 2025, the central bank was likely facing another significant loss for the year.Aggressive open market operations alone cost the Bank about GH¢17 billion in 2025, up sharply from GH¢8.6 billion in 2024. In addition, the Bank incurred more than GH¢2 billion in losses from its domestic gold operations conducted in partnership with the Ghana Gold Board.The sharp appreciation of the Ghanaian cedi also exerted valuation pressure on the central bank.When the cedi strengthens, the local-currency value of foreign-currency assets declines. With the cedi appreciating by more than 40% in 2025, the Bank would have recorded notable valuation losses on its dollar-denominated reserves.At the same time, income generated from those foreign-currency assets would translate into fewer cedis upon conversion to local currency, further weighing on the Bank’s profit position.Together, these factors point to a sizeable loss position for the central bank in 2025.The sale of roughly 19 tonnes of gold occurred in November and December 2025, the final months of the Bank’s accounting year.Because the transaction generated a realised profit of about $1.3 billion, roughly GH¢13 billion, the gain could be recognised in the Bank’s 2025 profit and loss statement, subject to the Bank’s accounting treatment and the final determination of its auditors.If included, the profit from the gold sale could materially reduce the central bank’s loss position for the year.While rising gold prices also generate revaluation gains for the Bank of Ghana, those gains typically do not pass through the profit and loss statement.Under the Bank’s revised accounting framework, only realised gains from transactions, not valuation gains, can flow through the income statement. Valuation gains are instead recorded in other comprehensive income.For the central bank’s income statement to benefit, the gain must be realised through an actual sale.Had the gold sale taken place in January 2026 instead, the gain would have fallen into the 2026 financial year and could not have been used to offset the Bank’s 2025 losses.Similar balance sheet management has been observed elsewhere.Photo credit: Banque de FranceFrance’s central bank, the Banque de France, recently reported a capital gain of €12.8 billion from gold-related transactions, which helped the central bank swing back to a net profit of €8.1 billion in 2025 after posting a €7.7 billion loss in 2024, according to a report by Reuters.Beyond the accounting impact, the Bank of Ghana’s decision to sell roughly half of its gold reserves also achieved its stated policy objectives.The move helped rebalance the reserve portfolio, reduced exposure to gold price volatility, increased liquidity within the reserve assets and strengthened the Bank’s capacity to intervene in foreign exchange markets when necessary.Whether the profit from the Bank of Ghana’s gold sale between November and December 2025 will be formally recognised as part of the Bank’s income will ultimately be determined by the auditors.The Bank’s audited financial statements are expected to be released at the end of April 2026.