The Bank of Ghana has significantly reduced the cost of issuing physical currency, even as the total volume of cash circulating within the economy continues to expand, highlighting a shift towards more efficient currency management amid rising transactional demand.
According to its 2025 financial statements, the central bank cut currency issuance costs to GH¢471 million, down sharply from over GH¢1 billion recorded in 2024. The decline was largely driven by a substantial reduction in printing and minting expenses, which fell from GH¢986 million to GH¢277 million over the same period.
Despite the lower cost base, the demand for cash remains robust. Currency in circulation increased from GH¢71.6 billion in 2024 to GH¢83.8 billion in 2025, reflecting continued reliance on physical cash for transactions across households, businesses, and the informal sector.
The data points to an interesting policy dynamic. While digital financial services are expanding, cash still plays a dominant role in Ghana’s economy—particularly in retail trade and informal markets—requiring the central bank to balance efficiency in currency production with adequate supply.
Breakdowns of the cost structure show mixed trends. While printing costs declined, other currency-related expenses rose, including logistics and operational outlays, alongside a modest increase in foreign currency importation costs.
From a policy standpoint, the development signals improved operational efficiency at the central bank, even as overall monetary conditions remain accommodative enough to support growing liquidity in the economy.
For analysts, the dual trend—lower issuance costs but higher cash volumes—underscores a broader reality: Ghana’s financial system is evolving, but not yet cashless. Instead, it reflects a hybrid structure where digital growth coexists with sustained demand for physical currency.
In effect, the Bank of Ghana appears to be achieving a quieter but important win, reducing the cost of maintaining the cash economy while still meeting the liquidity needs of a growing and increasingly active marketplace.
