In a sweeping reminder to the Ghanaian public, the Bank of Ghana (BoG) has reinforced the prohibition of unlicensed foreign exchange transactions, including black-market dealings, pricing, quoting, or accepting payments in foreign currencies like the US dollar for goods and services. This enforcement is rooted firmly in the Foreign Exchange Act, 2006 (Act 723).
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The Law Remains Firm: Ghana Cedi Is the Only Legal Tender
This renewed directive emphasizes that the Ghana Cedi remains the legal tender for all domestic transactions. It explicitly bans residents—both individuals and institutions—from:
- Pricing or quoting products and services in foreign currency
- Advertising goods or services in dollars or other non-cedi currencies
- Issuing receipts or processing payments in foreign currency
- Facilitating black-market exchanges outside the regulated banking system
Common transactions affected include school fees, rental and sales of vehicles and real estate, airline tickets, online purchases, hotel accommodation, and retail payments, among others.
Acceptable Exceptions: Expatriates and Licensed Use
BoG clarified that foreign currency pricing is permissible only for expatriates and non-residents. But even in these cases, strict conditions apply:
- Proceeds must be deposited into a Foreign Exchange Account (FEA) at a licensed bank
- Exchange rates used must mirror prevailing market rates, benchmarked against the BoG’s published reference rate, not arbitrary figures
These protocols ensure proper oversight and minimize the threat of improper forex outflows from the economy.
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Why the Crackdown: Stabilizing the Cedi and FX Market
Unregulated forex dealings, particularly through black markets, pose a significant risk to economic stability and the integrity of the Ghanaian Cedi. By reinforcing these restrictions, BoG aims to:
- Curtail foreign currency hoarding and illicit flows
- Protect the value and credibility of the national currency
- Maintain a stable and transparent domestic forex market
- Support anti-money laundering frameworks by promoting compliance
BoG has firmly warned that continuing such practices will result in sanctions and legal action under Act 723.
International Compliance and Anti-Money Laundering Measures
The renewed emphasis coincides with broader anti-money laundering and currency regulation efforts. Notably, as of September 1, 2025, travelers to and from Ghana may carry up to $10,000 in foreign currency without declaration. Amounts above this threshold must be declared via official procedures, including submission of supportive documents—reflecting the government’s commitment to stronger financial oversight.
What You Need to Do
For both individuals and businesses in Ghana, here’s how to stay on the right side of the law:
- Use only Ghana Cedi for all local transactions
- Stop pricing in foreign currencies unless you’re an authorized entity dealing with non-residents
- Ensure legal compliance when issuing foreign currency invoices—maintain FX accounts and use correct rates
- Avoid black-market exchanges—instead use licensed banks and official channels
Protection Through Enforcement
By steadfastly enforcing Act 723, the Bank of Ghana reminds citizens and businesses that the Cedi remains central to economic stability and sovereignty. Unauthorized forex dealings not only threaten the financial system but also violate the law.
This action serves as a crucial reminder: when it comes to pricing, payments, and advertising in foreign currencies within Ghana, there are no shortcuts, and no exceptions for the unauthorized.
