BoG suspends forex licence of First National Bank and Fidelity Bank for a month
The Bank of Ghana has imposed significant penalties on First National Bank Ghana Limited and Fidelity Bank Ghana Limited and suspended their forex licenses for a month, following their violations of sections 3.4, 3.5, and 3.9 of the Ghana Interbank Forex Market Conduct rules.
In addition to the fines amounting to 1000 penalty points each (equivalent to GHS 12,000), the central bank has taken a firm stance by suspending the forex licenses of both banks from June 29th, 2023, until July 28th, 2023.
This disciplinary action serves as a strong reminder to all forex market participants, including banks, forex bureaus, forex brokers, and money transfer operators (MTOs), to strictly adhere to the applicable regulations and guidelines governing the forex market.
Given the license suspension, customers of these banks may have to now look elsewhere to do their forex business within this period. Norvanreports understand that clients from the mining, manufacturing and some high-end importers will be hard hit by this suspension as they cannot do business with their partners outside. Many importers around this time begin to make their orders for products for the coming Christmas festive season
The Bank of Ghana’s move emphasizes the critical importance of maintaining transparency, fairness, and compliance within the financial sector. By swiftly addressing these breaches, the central bank seeks to uphold the integrity of the forex market and safeguard the interests of all stakeholders involved.
Market players are urged to carefully heed this official notice, recognizing the gravity of non-compliance and the potential consequences it carries. Striving for full compliance with the established regulatory framework is crucial to cultivating a robust and well-regulated forex market environment.
The Bank of Ghana’s decisive actions underscores its unwavering commitment to ensuring that the financial system operates in a manner that upholds the highest standards of conduct and promotes market stability. As such, participants are urged to take immediate corrective measures, demonstrating their commitment to responsible practices and avoiding future penalties or license suspensions.
Maintaining trust and confidence in the forex market is paramount for sustaining a healthy and thriving financial landscape. The Bank of Ghana’s measures aim to reinforce this commitment, signaling that non-compliance will not be tolerated and that strict adherence to the regulatory framework is essential for the sustained growth and stability of Ghana’s forex market.
