Ghana’s Domestic Gold Purchase Programme (DGPP) was launched in June 2021 to help strengthen the cedi and reduce dependence on foreign borrowing. It allows the Bank of Ghana to buy locally mined gold and keep it as part of the nation’s reserves.
Large mining companies must sell 20% of their refined gold to the Bank, while small-scale miners sell through the Precious Minerals Marketing Company. This plan saves foreign currency, builds gold reserves, and adds value to Ghana’s natural resources. The programme later supported the “Gold for Oil” policy, which used gold to pay for fuel imports. Since the DGPP began, Ghana’s gold reserves have grown from 8.7 to 34.4 tonnes, helping stabilize the cedi and lower fuel prices.
It also encouraged formal trade among small-scale miners and improved regulation in the mining sector. To secure its future, experts say Ghana must fight illegal mining, reduce gold smuggling, and uphold strong environmental standards.
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