BoG Orders Mining Firms to Route Forex Through Commercial Banks to Boost Cedi Stability

The Bank of Ghana (BoG) has directed mining companies operating in the country to channel their foreign exchange inflows through commercial banks rather than directly to the central bank.

The directive, issued this week, is aimed at deepening interbank forex trading and improving liquidity in the banking sector.

BoG Governor, Dr. Johnson Asiama, confirmed the move in an interview with JoyBusiness, explaining that the shift was necessary to strengthen the local market.

“We are hoping that this will provide additional forex support to the commercial banks in addition to what the Bank of Ghana will do,” Dr. Asiama said.

According to him, while the central bank had previously received such inflows directly, current economic developments demanded a more market-driven approach. He emphasized that the new measures were part of broader interventions to ease pressure on the Ghana cedi.

The Governor also disclosed that “some payment service providers have experimented with crypto and offshore settlement models,” a situation that has prompted the BoG to fast-track a regulatory framework for virtual assets and digital finance before the end of the year.

“While innovation is welcome, such practices must not weaken the cedi. The assurance here is that these practices will be stopped,” he stressed.

On remittances, Dr. Asiama said the Bank had introduced new guidelines to ensure transparency and proper accounting of inflows, including more frequent and detailed reporting from operators.

He further cautioned businesses and the public against currency speculation, warning that such practices only fuel unnecessary volatility.

“Like any currency, it will fluctuate, but we must avoid turning these movements into a self-fulfilling prophecy… Speculators and bad actors will not win. The distortions are temporary and are being corrected,” he said.

For households and businesses worried about forex access, the Governor assured that the BoG would continue to make foreign exchange available through formal banking channels.

“We are streamlining these processes so that they don’t need to turn to informal markets for support,” Dr. Asiama affirmed.