Bank of Ghana prohibits businesses from trading in Foreign currencies

The Central Bank of Ghana (BOG) released a statement instructing various institutions, enterprises, and individuals to cease transactions in all foreign currencies in the country. According to the BOG, the Ghana cedi is the “sole legal tender” in the country and must be treated as such.

The Ghana Cedi in recent times has ranked one of the worst-performing currencies in Africa with a depreciation value of 8.86% to the Dollar. This is followed by the Zambian kwacha with a depreciation of 6.02%. However, according to sources, this move by the Bank of Ghana will help restore the value of the local currency.

According to the Bank of Ghana, general pricing of goods, advertising, receipting, or making payments for goods and services in foreign currencies, especially in Dollars goes against the state’s Foreign Exchange Act and is punishable by law.

Further to Bank of Ghana’s previous notices Nos. BG/GOV/SEC/2019/07 and BG/GOV/SEC/2012/12 which advised the public against unauthorized dealings in foreign currency, Bank of Ghana hereby reminds the public that in accordance with the Foreign Exchange Act, 2006 (Act 723), companies, institutions and individuals are prohibited from: engaging in foreign exchange business without a license issued by Bank of Ghana; or pricing, advertising, receipting or making payments for goods and services in foreign currency in Ghana, without written authorization from Bank of Ghana.

Such violations are punishable on summary conviction, by a fine of up to seven hundred (700) penalty units or a term of imprisonment of not more than eighteen (18) months, or both.

However, individuals, institutions, and enterprises can obtain licenses or authorization from the Bank of Ghana to continue trading in foreign currencies.

Read full statement below..

Meanwhile, the Bank of Ghana is also urging Ghanaians to report any violations of this notice to their official WhatsApp Number: 0596912354 or 0501502270

More to follow…