A member of the National Democratic Congress (NDC) communications team, Julius Kattah has defended the Bank of Ghana’s recent financial losses, arguing that they reflect deliberate policy actions taken to stabilise the economy rather than fiscal mismanagement.

He says the central bank’s role in managing inflation, currency volatility and debt restructuring inevitably came with financial costs, which he said were being misinterpreted by the opposition New Patriotic Party (NPP).

“The Bank of Ghana is the stabiliser of the economy,” he said during an interview on The Forum on Asaase Radio on Saturday (9 May). “So if today the Bank of Ghana chooses to stabilise the economy… there would definitely be a cost incurred during the process of stabilising the economy.”

His comments come after the Bank of Ghana reported significant losses in its latest financial accounts, figures that have triggered criticism from opposition figures who accuse the central bank of overspending.

Kattah, however, rejected that interpretation, insisting that the losses reflected “prudent” economic management under difficult conditions, including inherited debt obligations.

“If the previous government has left some debt before we came into power and we have to restructure those debts and be able to pay them… there would definitely be a cost incurred,” he said.

He added that the reported figure of about GHC15.6 billion should not be viewed in isolation, arguing it was linked to broader stabilisation efforts led by the central bank under Governor Dr Johnson Asiama.

“This is to say that the Bank of Ghana led by Dr Johnson Asiamah has taken prudent measures not to even spend more than that,” he said.

Dr Kattah accused the opposition NPP of engaging in “political sensationalism,” saying the criticism was expected from a party in opposition.

“The NPP is doing political sensationalism which I understand because they are in opposition,” he said.

He further argued that inflation control cannot be achieved through monetary policy alone, stressing the need for stronger productive sector growth to support macroeconomic stability.

“As an economist I am aware that inflation is not the only way to control an economy,” he said.

He added that Ghana’s economic trajectory remained on course, despite concerns over central bank losses.

“The tangent we are moving, we will see a growing mass production sector which will solve some of these problems,” he said.