Effective from 1st August, Ghana cards and Passports to be verified by Forex Bureaux before transactions

An update to the Bank of Ghana’s foreign exchange trading system has been announced. From August 1, 2024, all authorized Foreign Exchange Bureaux in Ghana are to ensure the authenticity of customer identities using Ghana cards or passports, prior to conducting transactions.

This platform marks a significant achievement in the Bank of Ghana’s continuous endeavors to ensure responsible and secure operations within the foreign exchange market. The initiative is aimed at strengthening supervision and monitoring capabilities of Directors and Management of the bureaux, and augment the Bank’s compliance with the Foreign Exchange Act, 2006 (Act 723), the Anti-Money Laundering Act, (Act 1044), and other pertinent regulations.

One of the requirements, as stated by the Bank of Ghana

According to a declaration of the Bank of Ghana, essential conditions for using the system comprise trading exclusively with licensed dealers where the process of purchasing and selling currency can only be conducted with authorized dealers, strict identity verification where all transactions must be preceded by the verification of customers’ identities using Ghana cards or passports and enhanced transparency where the centralized platform will provide increased transparency and oversight for both the Bank of Ghana and the bureaux’s management.

There should also be electronic record keeping. The Foreign Exchange Bureaux are required to issue electronic receipts to customers for every transaction involving the purchase or sale of foreign currencies.

Again, there will be confirmation of customer identity. Following the Bank of Ghana’s Notice No. BG/GOV/SEC/01 titled “Use of Ghana Card for All Financial Transactions” individuals wishing to buy or sell foreign currencies must present a Ghana Card or Passport (for non-Ghanaian nationals) and undergo biometric verification.

The platform’s integration with the National Identification System ensures that all foreign currency transactions are conducted by authenticated individuals. Moreover, the platform is connected to the national payment system to facilitate electronic payments and the receipt of Ghana Cedis for foreign currency transactions at bureaux.

This initiative forms part of a broader strategy to strengthen the security and integrity of the financial system, guaranteeing that foreign exchange operations are transparent and adequately governed.