Bank of Ghana Halts GT Bank, First Bank Forex Operations Amid Fraud Allegations

The Bank of Ghana has suspended the foreign exchange licences of Guaranty Trust Bank (GT Bank) and First Bank for one month.

The suspension, set to commence on March 18, follows allegations of fraudulent documentation in their forex operations.

This action comes on the heels of the central bank’s recent crackdown on unregulated money transfer organisations (MTOs), underscoring its commitment to maintaining oversight in the foreign exchange market.

GT Bank swiftly responded, expressing active collaboration with the Bank of Ghana to address the trade-related issues leading to the suspension.

Assuring customers, the bank emphasized that the suspension only affects its foreign exchange segment, while all other operations remain unaffected.

In accordance with Section 11 (2) of the Foreign Exchange Act 2006, the suspension provides a temporary measure rather than a permanent revocation of licences.

The Bank of Ghana indicated that the banks’ licences could be reinstated after one month, contingent upon the implementation of effective controls to ensure regulatory compliance.

This development signals the Bank of Ghana’s resolve to uphold transparency and integrity within the financial sector, urging strict adherence to forex market regulations and guidelines by all financial institutions.

As investigations continue, stakeholders await further updates on the outcome and implications of the suspension on GT Bank and First Bank’s operations in Ghana.