Dr. Johnson Asiama
The Governor of the Bank of Ghana (BoG), Dr. Johnson Asiama, has announced a clampdown on excessive cash withdrawals in foreign currency, stressing that the era when corporations could walk away with $10 million in hard currency is over.
He explained that some companies had been withdrawing huge sums from their Foreign Currency Accounts (FCAs), even though such funds were meant for international payments.
“Imagine a corporation demanding to withdraw $10 million over the counter. Their obligations are abroad, so they don’t need such cash locally. We have therefore put a stop to it,” he stated.
Dr. Asiama noted that the directive is not aimed at ordinary individuals who may need modest amounts of foreign exchange.
“For individuals like you and me, if you need a few hundred dollars, you can negotiate with your bank. That is different from large corporates moving millions in cash,” he explained.
Responding to criticism that the Central Bank was being heavy-handed, the governor dismissed such claims, stressing that the measures are necessary to safeguard the market.
“It’s like a football match. There must be rules within which the game is played. That’s what we are doing,” he said.
Dr. Asiama revealed that intelligence gathered by the BoG and its partners showed that some people had been smuggling out large sums of undeclared cash, sometimes exceeding a million dollars.
He warned that such practices create ‘leakages’ in the system and undermine the fight against money laundering.
He stressed that the BoG’s directives were carefully designed, widely discussed with banks, and agreed upon before implementation.
“We did not act unilaterally. We met with the CEOs of banks and took their feedback. That is why the banks are not protesting,” he explained.
According to him, the goal is to strengthen financial discipline and protect the integrity of Ghana’s foreign exchange market. “We are only setting clear boundaries so the market can function efficiently,” he concluded.
A Business Desk Report