Demand ID Before Engaging In Forex Transactions – BoG To Forex Bureaus

The Bank of Ghana (BoG) has directed all Forex Bureaus in the country to demand Identification Cards (IDs) before engaging in forex transaction.

The directive forms part of measures to enforce compliance by all licensed Forex Bureau with the Forex Bureau Regulations issued in accordance with the Foreign Exchange Act, 2006 (Act 723).

It was contained in the Central Bank’s new directives aimed at helping regulate the forex bureaux sector.

“The  provisions  of  the Anti-Money  Laundering Act,2008 (Act 749) as amended, the Bank of Ghana announces for the information of all licensed Forex Bureaux and the General Public that all purchases and sales of forex must be captured electronically and receipted accordingly by licensed Forex Bureaux.

All customers must provide valid national identification or other valid personal  ID such as Voter’s  ID,  Passport or Driver’s License when engaging in forex transactions with Forex Bureau,” according to the directive.

However, the Central Bank has warned that it will revoke licenses of Forex bureaus that fail to comply with the new directives,” according to the directive.

Below is the new directive.

As part of measures to enforce compliance by all licensed Forex Bureau with the Forex Bureau Regulations issued in accordance with the Foreign Exchange Act,  2006 (Act  723),and the  provisions  of  the Anti-Money  Laundering Act,2008 (Act 749)as amended, the Bank of Ghana announces for the information of all licensed Forex Bureaux and the General Public the following:

1. All purchases and sales of forex must be captured electronically and receipted accordingly by licensed Forex Bureaux.

2. All customers must provide valid national identification or other valid personal  ID such as Voter’s  ID,  Passport or Driver’s Licence when engaging in forex transactions with Forex Bureau.
3. All licensed Forex Bureaux must submit the required monthly returns electronically to the Bank of Ghana within five (5) working days after the end of the month.
4. All licensed Forex Bureaux must complete and submit a licence renewal questionnaire two (2) months before the expiration of the current licence. The   questionnaire   must   be   submitted together with   the   following attachments:
5. Copy of Tax Clearance Certificate
6. Copy of Insurance Certificate.
7. Extract of Audited Accounts.
8. Bank Statements
9. Proof   of   filing   of Annual   Returns   at   the Registrar   General’s Department
10. All licensed Forex Bureaux must comply with the provisions of the Data Protection Act, 2012 (Act 843) and must register with the Data Protection Commission of the Ministry of Communication as a key requirement for annual licence renewal.
11. Any person found transacting business with an unlicensed Forex Bureau or illegal forex dealers shall be dealt with in accordance with the Laws of Ghana.
12. Failure to comply with this Notice shall attract penalties, including pecuniary sanctions, suspension and revocation of licence in accordance with the Foreign Exchange Act 2006, (Act 723). All licensed Forex Bureaux and General Public shall note and strictly comply.

By: Emmanuel Yeboah Britwum