Two Nigerian-affiliated banks, Guaranty Trust Bank Ghana Limited and FBNBank Ghana Limited, have had their Foreign Exchange Trading Licences suspended by the Bank of Ghana.
Effective March 18, 2024, the suspension will last for a month .The Ghanaian apex bank issued a statement on Monday, announcing the suspension.
The decision to suspend these banks stems from numerous infractions of foreign exchange market regulations, particularly concerning fraudulent documentation in their foreign exchange operations.
“Bank of Ghana has suspended the Foreign Exchange Trading Licences of Guaranty Trust Bank Ghana Limited (GTB) and FBNBank Ghana Limited (FBN), effective 18th March 2024, for a period of one month, in accordance with Section 11 (2) of the Foreign Exchange Act 2006, (Act 723).
“This is as a result of various breaches of the foreign exchange market regulations, including fraudulent documentation in their foreign exchange operations which have come to the attention of the Bank of Ghana.
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“The licence will be restored at the end of the one-month suspension period once the Bank of Ghana is satisfied that they have put in place effective controls to ensure strict adherence to regulations to the foreign exchange market.” the statement read in part.
The Ghanaian apex bank said the development “is in strict accordance with Section 11 (2) of the Foreign Exchange Act 2006, (Act 723), underscoring the Bank of Ghana’s commitment to maintaining the integrity and stability of the foreign exchange market.
The bank stated that the suspension served as a direct consequence of the banks’ failure to comply with established regulations, thus highlighting the central bank’s zero-tolerance policy towards regulatory non-compliance.
This development is part of a broader trend in Nigeria’s economic landscape, marked by the unrelenting depreciation of the naira and struggle to keep it afloat.