Independent auditors have urged the Bank of Ghana (BoG) to accelerate financial sector reforms and enhance the clarity of its financial reporting to strengthen transparency and public confidence.

The auditors, KPMG, in their commentary on the Bank’s 2025 financial statements, recommended that the BoG clearly explained the basis for preparing its accounts, particularly as the law governing the Bank permitted the use of accounting practices that differ from international standards.

They noted that clearer disclosures would help stakeholders better understand and interpret the Bank’s financial position, thereby reducing potential confusion.

The auditors also called on the Bank to exercise greater caution in managing credit risks, especially in evaluating the likelihood of repayment on investments and loans.

They emphasised the need for regular reviews of key estimates and assumptions to ensure that potential losses were identified early and properly accounted for.

On the Bank’s financial position, the auditors acknowledged that the BoG continued to operate despite recording negative equity.

However, they advised management to maintain transparency about this situation and to continuously assess the Bank’s ability to operate sustainably in the medium to long term.

They underscored the importance of full disclosure and consistent evaluation of the Bank’s financial strength.

Also, the auditors urged both the Bank and the Government to adhere strictly to the agreed roadmap for recapitalising the institution, describing it as essential for restoring confidence and safeguarding the Bank’s operational independence.

They recommended stronger risk oversight mechanisms, including closer monitoring of market developments, liquidity levels, and foreign exchange exposures.

The auditors stressed the need for robust internal audit and risk management systems, with active board-level supervision to ensure accountability.

The Bank should also provide comprehensive disclosures on contingent liabilities and commitments, including ongoing litigation, guarantees, and other financial obligations, to give stakeholders a complete and accurate picture of its financial standing.

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Auditors call for swift reforms at Bank of Ghana to improve financial reporting

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