Ghana's broad money supply, known as M2+, increased by 28.5% year-on-year in June 2026. This figure represents a significant acceleration from the 15.6% growth recorded in June 2025.
The Bank of Ghana attributed this sharp rise primarily to a substantial build-up in Net Foreign Assets (NFA) and a notable increase in Net Domestic Assets (NDA). These two components collectively drove the expansion in the nation's money stock, indicating increased liquidity within the financial system.
This surge in money supply fits into Ghana's broader economic narrative of managing liquidity and inflation. The country has been navigating complex financial conditions, including efforts to stabilize the cedi and control public debt. A rapid increase in money supply can sometimes fuel inflation, a key concern for policymakers and citizens alike. The Bank of Ghana's July 2026 Monetary Policy Report provides these crucial insights, highlighting the evolving financial landscape.
The Bank of Ghana stated that the contribution of Net Foreign Assets to total liquidity growth reached 14.8% in June 2026. This is a considerable jump from 9.5% in June 2025. This reflects a faster accumulation of foreign assets within the banking sector during the review period. Similarly, Net Domestic Assets contributed 13.7% to M2+ growth in June 2026, up from 6.1% in June 2025. This stronger NDA contribution was largely due to increased Net Claims on Government (NCG) and growing Claims on the Private Sector.
The implications of this accelerated money supply growth are multifaceted. Policymakers will closely monitor its impact on inflation, which the Bank of Ghana aims to keep within its target range. Businesses and consumers may experience changes in credit availability and pricing. The central bank's future monetary policy decisions will likely consider these developments, potentially influencing interest rates and economic activity. Investors will also watch for any signals regarding the stability of the cedi and overall market conditions.
Further analysis of the components reveals more granular details. The contribution of Net Claims on Government to NDA growth stood at 4.9% in June 2026. This contrasts sharply with a negative 3.0% in June 2025. This shift indicates increased banking sector holdings of Government of Ghana securities. Credit extended to the private sector, including public enterprises, also saw a significant boost. It rose to 11.3% in June 2026 from just 2.1% during the previous year's review period. This expansion in private sector credit suggests a potential increase in economic activity and investment.
The composition of M2+ growth also shows interesting trends. Demand deposits, which are funds held in checking accounts, contributed 11.8% to the growth, up from 8.1%. This indicates continued success in deposit mobilization by banks. Foreign currency deposits (FCDs) also played a significant role, contributing 5.9% in June 2026. This is a remarkable turnaround from a negative 6.3% contribution in June 2025. The discontinuation of the dual currency Cash Reserve Requirement (CRR) policy largely drove this change, making foreign currency deposits more attractive.
Conversely, the contribution of currency outside banks declined to 3.6% from 4.7% in June 2025. This suggests a subdued demand for physical cash holdings among the public. Savings and time deposits also saw their contribution decrease to 7.2% from 9.2% over the same comparative period. These shifts in deposit types reflect changing preferences and financial behaviors within the Ghanaian economy. The Bank of Ghana will continue to analyze these trends to ensure financial stability and support sustainable economic growth.