Benjamin Afunya, the Greater Accra Regional Chair of the Ghana Hotels Association has denied assertions that hotels in the country quote their charges in dollars to patrons.
Speaking in an interview on Accra-based Happy 98.9FM, Mr Afunya stated that it is a crime for hotels in the country to charge patrons in any foreign currency for services rendered.
“We do not charge or quote in dollars but we only charge patrons in cedis. It is a crime to do that and if you visit any hotel and you’re billed in dollars, you can report them to the police,” he remarked.
The decision to not charge rates in dollars, Mr Afunya pointed out, is in line with directives from the Bank of Ghana (BoG).
The directive of the Central Bank is to avoid the case of dollarisation in the country.
“The BoG’s directive to not charge in dollars has worried us a lot because some of the things we buy to run our hotels are sold to us in dollars. The unstable nature of the cedi also affects us but everyone should know that we charge customers in cedis,” he added.
Dollarisation is when a country begins to recognize the U.S. dollar as a medium of exchange or legal tender alongside or in place of its domestic currency which in most cases contributes to the depreciation of the domestic currency.
The Bank of Ghana last year warned the general public to use only the Ghana cedi (GH¢) and pesewas (GHp) to pay for goods and services in the country or be punished.
In a press statement, the central bank said although the Foreign Exchange Act, 2006 (Act 723) prohibited the pricing and the payment in currencies other than the local currency, it had noticed that some institutions, companies and individuals were dealing in the “business of foreign exchange trade without authorisation from the bank.”
“The general public is hereby reminded that the Foreign Exchange Act, 2006 (Act 723) prohibits the pricing, advertising, receipt or payment for goods and services in foreign currency in Ghana.”
“Such violations are punishable by law by summary convictions, a fine of up to seven penalty units or a prison term of not more than 18 months, or both,” the statement, which was signed for the Secretary of the bank, said.
It emphasised that “the sole legal tender in Ghana is the Ghana cedi or Ghana pesewas.”
This the President of the Association, Edward Ackah Nyameke Jnr in a response to issue said it had directed all members to comply but had also as an tAssociation written to the Governor of the Bank of Ghana after the Central bank raised concerns over some hotels quoting in dollars.
“The BoG’s notice on the matter shows that services and products should be quoted in cedis and we are saying we agree on this matter.”
He explained that the Association “has met all the big hotels on this issue for them to quote in cedis” and that “any hotel quoting in dollars is infringing on the law.”
