The Ghana Association of Forex Bureaux has reported a significant slowdown in operations since the Bank of Ghana (BoG) implemented a directive requiring all forex bureaux to verify customers’ identities using the Ghana Card before conducting any transactions.
This directive, which took effect on August 1, 2024, was announced in July 2024 as part of the central bank’s efforts to enhance the integrity of financial transactions.
Speaking on PM Express Business Edition, Dr. Alex Akpabli, Vice President of the association, noted that many customers are now hesitant to transact business at forex bureaux when asked to present their Ghana Card.
“Forex bureaux are profit-oriented institutions, and this new policy has definitely slowed down our business. We’re hopeful that as public education continues, more people will understand the need to present their Ghana Card or passport when using our services. But right now, if you ask a customer for their Ghana Card, they often just leave. I believe this will change over time, but it’s not happening yet,” Dr. Akpabli explained.
Addressing accusations that forex bureaux are contributing to the depreciation of the cedi, Dr. Akpabli dismissed these claims as unfounded and misleading. He emphasized that the association operates under strict regulations from the Bank of Ghana, buying and selling foreign currency in compliance with all directives.
“We are a regulated sector, licensed to buy and sell foreign currency. Blaming us for the depreciation of the cedi is completely misguided. One major factor affecting the cedi is capital flight, particularly by foreign companies repatriating their profits in dollars. The large businesses in Ghana are mostly foreign-owned, and they aren’t interested in holding Ghana cedis when sending profits abroad,” Dr. Akpabli said.
He added that the real issue lies with multinational companies repatriating profits in foreign currency, not with the operations of local forex bureaux. “It’s laughable to blame us when we’re actually helping, not hurting, the cedi. We’re doing our best to comply with all the directives from the regulator,” he concluded.
The Bank of Ghana’s directive on the Ghana Card for forex bureaux is part of broader measures, including the launch of a centralized foreign exchange trading platform, aimed at ensuring the integrity and stability of Ghana’s financial system.
