The Bank of Ghana has issued a harsh warning to commercial banks, threatening to revoke their foreign exchange trading licences after discovering severe flaws in how some institutions manage foreign currency transfers.
In a strongly worded public notice dated January 12, 2026, the central bank disclosed that recent supervisory examinations and market surveillance revealed “material weaknesses, lapses, and inconsistencies” in internal control systems governing the initiation, processing, and reporting of foreign currency transactions at some licensed dealer banks.
The regulator warned that these flaws considerably increase operational and reputational risks in the banking industry, increasing susceptibility to fraud, financial crime, and money laundering, while also jeopardising the integrity and orderly operation of Ghana’s foreign exchange markets.
The Bank of Ghana made it plain that the renewal, and continuous validity, of foreign exchange trading licenses will now be strongly subject on “demonstrable and sustained compliance” with regulatory criteria and internal control standards, raising the stakes for banks.
The letter stated that “All licensed dealer banks are hereby directed to strengthen and strictly adhere to their established internal control frameworks for the management of foreign currency transactions.”
As the central bank works to ring-fence the foreign exchange market at a time when currency stability and trust remain crucial to Ghana’s larger macroeconomic recovery, this effectively implies a harsher regulatory posture.
Banks must implement strong verification measures, such as multi-tier authorisation and improved client identification processes, for all foreign currency transfer instructions under the new directive.
Additionally, the central bank is demanding stricter Anti-Money Laundering and Combating the Financing of Terrorism (AML/CFT) procedures, requiring any questionable transactions to be reported.
Banks must provide a clear division of labour among employees in charge of originating, processing, approving, and carrying out foreign exchange transactions in order to further lower fraud risks. To identify odd transaction patterns, unauthorised access, and other abnormalities, system-based monitoring controls must also be active and current.
Foreign exchange accounts and transaction logs must now be reconciled every day, and any differences must be looked into and fixed within a day.
Additionally, the Bank of Ghana is encouraging boardroom responsibility. Banks must regularly audit their internal foreign currency transfer processes, report any findings to their Board Audit Committees, and provide the results to the regulator upon request.
To guarantee ongoing adherence to FX regulations, regular training and capacity-building initiatives for frontline, operations, and back-office personnel have also been mandated.
Regarding enforcement, the regulator did not hold back. It cautioned that failure to follow the guidelines could result in penalties under the Foreign Exchange Act, 2006 (Act 723) and the Banks and Specialised Deposit-Taking Institutions Act, 2016 (Act 930) as well as a violation of prudential and foreign exchange laws.
The notice stated, “The Bank of Ghana expects the full cooperation of all Licensed Dealer Banks in ensuring strict compliance with these directives in order to preserve the credibility, integrity and stability of Ghana’s financial system.”
Source: newsthemegh.com