The Bank of Ghana has temporarily suspended the Foreign Exchange Trading Licenses of two Nigerian-owned banks, namely Guaranty Trust Bank Ghana Limited and FBNBank Ghana Limited. The suspension, effective from March 18, 2024, will last for a duration of one month.
This decision was communicated in a statement released by the Ghanaian apex bank on Monday. The suspension is a direct response to multiple violations of foreign exchange market regulations, including instances of fraudulent documentation within the foreign exchange operations of the mentioned banks.
“Bank of Ghana has suspended the Foreign Exchange Trading Licences of Guaranty Trust Bank Ghana Limited (GTB) and FBNBank Ghana Limited (FBN), effective 18th March 2024, for a period of one month, in accordance with Section 11 (2) of the Foreign Exchange Act 2006, (Act 723).
“This is as a result of various breaches of the foreign exchange market regulations, including fraudulent documentation in their foreign exchange operations which have come to the attention of the Bank of Ghana.
“The licence will be restored at the end of the one-month suspension period once the Bank of Ghana is satisfied that they have put in place effective controls to ensure strict adherence to regulations to the foreign exchange market.” the statement read in part.
The Ghanaian apex bank said the development “is in strict accordance with Section 11 (2) of the Foreign Exchange Act 2006, (Act 723), underscoring the Bank of Ghana’s commitment to maintaining the integrity and stability of the foreign exchange market.
“The suspension serves as a direct consequence of the banks’ failure to comply with established regulations, highlighting the central bank’s zero-tolerance policy towards regulatory non-compliance,” the bank said.
