The Bank of Ghana has taken action against two Nigerian-owned banks, Guaranty Trust Bank and First Bank, operating in Ghana. Their foreign exchange trading licenses have been suspended due to “fraudulent documentation” in their forex operations.
According to a statement released on Monday, the Ghanaian regulator announced that the suspension will be effective from March 18, 2024, for a duration of one month.
The statement emphasized that the suspension was in accordance with section 11(2) of the Foreign Exchange Act 2006, (Act 723), due to various breaches of foreign exchange market regulations, including fraudulent documentation in their forex operations.
The Bank of Ghana outlined that the licenses would be reinstated after the one-month suspension period, provided that effective controls are implemented by the banks to ensure strict adherence to foreign exchange market regulations.
The regulator also issued a warning to all foreign exchange market players to strictly adhere to applicable forex market regulations and guidelines.
In a related development, the Central Bank of Nigeria (CBN) recently revoked the licenses of 4,173 Bureaux De Change Operators for failing to comply with regulatory provisions. This action aims to address issues such as arbitrage, racketeering, and profiteering, particularly as the naira experiences a significant depreciation against the dollar, reaching over $1,500 from about $700 last May.
