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Ghana will save $4.8bn annually due to ‘Gold for Oil’ policy – Bawumia

The ‘Gold for Oil‘ policy, which began this year, is expected to save the country $4.8 billion per year, according to Vice President Dr Mahamudu Bawumia.

The Vice President noted that the ‘Gold for Oil’ policy, which is now in its third month, is already having a positive impact and is expected to result in lower gasoline prices beginning March 16, 2023.

Dr Bawumia made this known while speaking at the commissioning of a new head office for the Bulk Oil Storage and Transportation Company in Accra.

”The savings in foreign exchange when we do this will be an annual savings of $4.8 billion every year and that means the oil importing companies will not be going to the Bank of Ghana looking for $4.8 billion to buy oil”, he said.

BOST is mandated to build a strategic reserve of stocks of petroleum products to meet a minimum of six weeks of national consumption from the Gold for Oil policy.

The Vice President stated that the policy is on track to achieve its overall goal of lowering fuel prices and relieving pressure on the country’s forex reserves.

He also stated that the government’s goal for this year is to reduce oil imports by 50%. Ghana has since received two consignments under the Gold for Oil policy.

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