BoG mandates Ghana Card checks for forex transactions beginning August 1

The Bank of Ghana(BoG) has ordered all licensed forex bureaux to request the Ghana Card for every transaction, effective August 1, 2024.

This decision follows the launch of a centralised foreign exchange trading platform, aimed at enhancing the integrity and growth of the financial system.

“Effective August 1, 2024, all licensed Foreign Exchange Bureaux will be required to use this platform for the buying and selling of foreign currencies. This initiative marks a milestone in the Bank’s efforts to ensure safe and sound operations of the foreign exchange business,” a statement from the BoG said.

The statement explained that the platform will improve oversight for bureau directors and management, and boost the Bank’s ability to monitor and supervise their operations.

This ensures compliance with the Foreign Exchange Act, 2006 (Act 723), the Anti-Money Laundering Act, 2008 (Act 1044), and other relevant regulations.

To ensure full utilisation and realisation of the system’s objectives, the following must be adhered to:

1. Trading of Foreign Currencies with Licensed Dealers Only: The buying and selling of foreign currencies shall only be conducted at Bank of Ghana licensed foreign currencies dealers, which include licensed Foreign Exchange Bureaux.
2.  Usage of the Platform: All Foreign Exchange Bureaux transactions shall be conducted on the new trading platform.
3. Issuance of Electronic Receipt: Foreign Exchange Bureaux are required to issue electronic receipt to customers for all purchases and sales of foreign currencies.
4. Verification of Customer Identity: In line with Bank of Ghana’s Notice No. BG/GOV/SEC/01 titled “Use of Ghana Card for All Financial Transactions”, all persons seeking to buy or sell foreign currencies must provide a Ghana Card or Passport (for Foreign Nationals) and undergo biometric verification.

The statement also noted that the platform is integrated with the National Identification System to ensure all foreign currency transactions are conducted by verified individuals.

Additionally, it will connect with the national payment platform to facilitate electronic payments and receive Ghana Cedis for transactions at forex bureaux.

“The public is reminded that the buying and selling of foreign currencies shall only be conducted with Bank of Ghana licensed foreign currencies dealers,” the statement added.