Ghana’s external sector recorded a sharp improvement in export earnings and the trade balance in the first half of 2026, but the gains were not enough to prevent a US$1.2 billion decline in the country’s gross international reserves.
Data from the Bank of Ghana shows that Gross International Reserves fell from US$14.16 billion in March 2026 to US$12.94 billion by June.
The decline reduced Ghana’s import cover from 5.7 months to five months, indicating a reduction in the foreign exchange buffer available to meet the country’s external payment obligations.
Net International Reserves also fell over the period, declining from US$11.87 billion to US$10.8 billion.
The development comes despite a significant increase in export earnings, largely driven by gold.
Total exports more than doubled from US$8.51 billion in March to US$18.29 billion in June, with gold accounting for the largest share of the increase.
Gold exports rose from US$5.26 billion to US$12.50 billion, while cocoa exports increased from US$1.65 billion to US$2.29 billion.
Oil exports also grew from US$753 million to US$1.71 billion, while other exports increased from US$858 million to US$1.79 billion.
The strong export performance helped widen Ghana’s trade surplus from US$4.53 billion in March to US$8.81 billion by June.
However, the increase in foreign exchange earnings was accompanied by a significant rise in import demand.
Total imports increased from US$3.99 billion in March to US$9.48 billion in June.
Oil imports rose from US$1.31 billion to US$3.35 billion, while non-oil imports increased from US$2.69 billion to US$6.14 billion.
The figures suggest that a significant portion of Ghana’s export earnings was absorbed by import payments and other external obligations, limiting the extent to which the improved trade position translated into stronger reserve accumulation.
Gold continued to provide some support to the country’s external position. The value of Ghana’s gold holdings increased from US$3 billion to US$3.6 billion, while gold holdings under the reserves portfolio rose from 20.8 tonnes to 24.4 tonnes.
The decline in reserves could, however, increase pressure on the cedi if demand for foreign exchange remains high.
International reserves are critical to supporting exchange rate stability, financing imports and maintaining investor confidence. A reduction in the reserve buffer could also limit the Bank of Ghana’s ability to intervene in the foreign exchange market during periods of heightened volatility.
The latest data therefore presents a mixed picture of Ghana’s external position.
While the country is earning significantly more from exports and recording a stronger trade surplus, the decline in international reserves highlights the challenge of converting higher export earnings into a sustained build-up of foreign exchange buffers.
The ability of the government and monetary authorities to manage import demand, external payments and reserve accumulation will remain critical in the second half of 2026 as Ghana seeks to consolidate its economic recovery and maintain stability in the foreign exchange market.
