Bank of Ghana Suspends Consolidated Bank’s Forex Trading License

Bank of Ghana Temporarily Suspends Consolidated Bank’s Forex Trading License Amid Compliance Violations

Bank of Ghana Halts Money Transfers with Taptap Send: Remittance Partnership Suspended — Bank of Ghana

The Bank of Ghana (BoG) has suspended the foreign exchange trading license of Consolidated Bank Ghana (CBG) for one month, effective November 26, 2024. This action follows CBG’s reported breaches of key regulatory standards related to forex transactions, anti-money laundering (AML) protocols, and the financing of terrorism prevention.

According to the BoG, CBG failed to comply with the country’s Foreign Exchange Act, 2006 (Act 723), updated guidelines for remittance services, and AML regulations established for accountable institutions within Ghana.

This suspension prohibits CBG from conducting any foreign exchange activities until the bank demonstrates full compliance with these regulatory standards. The BoG’s decision is aimed at reinforcing a culture of strict adherence to financial regulations, especially in areas that safeguard the country’s financial integrity and prevent unlawful financial activities.

The BoG has made it clear that the suspension serves as a temporary measure; CBG’s forex trading license will be reinstated only if it successfully implements corrective actions and controls designed to prevent future non-compliance. In its public statement, the BoG also issued a general reminder to all financial institutions, emphasizing that breaches of foreign exchange regulations or AML/CFT guidelines would be met with strict consequences to maintain stability in Ghana’s financial sector.

This incident highlights the BoG’s commitment to maintaining a robust regulatory environment. By holding institutions accountable, the central bank seeks to bolster public trust in the financial sector while ensuring that banks and other financial institutions operate within the boundaries of national and international financial laws.