Ghana begins nationwide crackdown on businesses pricing goods, services in foreign currencies
London, Sep 18, 2019 (AltAfrica)-The Bank of Ghana (BoG) has begun nationwide crackdown on businesses pricing of goods and services in foreign currencies.
Officials from the BoG’s Other Financial Institutions Supervision Department on Tuesday led a task force to enforce these laws in Accra.
The financial sector regulator, Bank of Ghana (BoG), recently prohibited the pricing, advertising and receipt or payment for goods and services that are contracted locally in any foreign currency
The sole legal tender in Ghana is the Ghana Cedi and the Ghana pesewa.
The move, Joynewsonline understands is part of a broader move to enforce its directive on foreign exchange rules in some selected areas of the country.
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It is also expected to tackle the surging dollarization of the economy where charges for various goods and services that are procured locally are quoted in dollars and other foreign currencies.
Workings of the Taskforce
JoyBusiness’ reports that the move is part of a planned nationwide campaign to ensure that goods sold in the country are priced in Ghana cedis only.
The taskforce on Tuesday visited some suspected companies at the Airport residential area.
Officials of the Bank of Ghana say they will first seek to caution companies that are flouting the law but would later sanction them if these firms do not comply with the directives.
The Bank of Ghana in a notice cautioned companies, institutions and individuals against dealing in the business of foreign exchange without authorization from the bank.
The BoG in a statement earlier said, “The general public is hereby reminded that the Foreign Exchange Act, 2006, (Act 723) prohibits the pricing, advertising and receipt or payment for goods and services in foreign currency in Ghana. The sole legal tender in the country is the Ghana Cedi and the Ghana pesewa,” the release indicated.
According to the statement, persons found to have violated the directive would face summary conviction, a fine of up to seven hundred penalty units or a prison term of not more than eighteen months, or both.