The Bank of Ghana has disclosed plans to begin closing down forex bureaus flouting the laws governing foreign exchange operations.
This is part of efforts meant to stop all market practices fueling the cedi’s fast depreciation.
The local currency has crossed the GH¢10 to US$1 mark on the retail market.
A visit by Citi Business News to some forex bureaus and banks within the capital shows that some are selling a dollar for GH¢9.98 whilst others are selling it for GH¢10.10.
The Bank of Ghana asserts that some of these forex operators’ illegal actions have contributed to the instability of the cedi.
On the back of this, Head of Financial Stability at the Bank, Dr. Joseph France, said his outfit won’t hesitate to clamp down on activities of forex bureaus found culpable and operating illegally.
“Forex bureaus are governed by the Foreign Exchange Act (Act 723), but it has come to our notice that some of the forex bureaus are not compliant with these simple rules, so the Bank of Ghana wants to assure the public that we are after those recalcitrant ones. We will fish out all of them,” he said.
The BoG’s warning comes as a result of information gathered by the Central Bank that some licenced forex bureaus in the country are flouting the rules and regulations governing their activities, with some selling or buying forex from clients without issuing receipts or taking ID cards – things that are mandatory for them to do in any transactions they perform.
According to Dr. France, his outfit has commenced investigations into these findings and will do the needful if the bureaus are found culpable.