The Bank of Ghana is offering $100 million to dealers in a Foreign Exchange Forward Auction limited to the 30 day tenor today, March 30, 2022.
This is part of moves to boost supply of dollar to the foreign exchange (FX) market and ease the depreciation of the cedi to dollar further.
In addition to the guidelines for Bulk Oil Distributing Companies (BDCs) FX Auctions, the Central Bank said all authorized Foreign Exchange Dealer Banks shall also comply with the provisions of the Code of Conduct for the Interbank Foreign Exchange market in Ghana.
The Bank of Ghana also directed banks to ensure that participation in the auction is limited to qualifying BDCs based on conditions such as evidence of a valid license to operate as issued by the National Petroleum Authority as well as they being in good standing with the NPA.
The BDCs must also provide evidence of a contract indicating volumes and cost of the products including premiums or discounts applied, as well as payment due date as well as their contracts being valid for the current window between April 1st and April 15th, 2022.
They must also ensure evidence of sales to Oil Marketing Companies within the last three months.
BDCs are also expected to deposit all sales proceeds into an escrow account with their bidding banks for the window in which they participate in an auction. This will be closely monitored.
Banks are also required to pass on FX won by BDCs at the winning bid rates with no spreads.
The Bank of Ghana noted that it reserves the sole right to auction allocation.
Meanwhile, authorised dealers are being invited to submit their bids in the requested format for the auction through the dedicated email bogfowards@bog.gov.gh between 10.30am and 11.30am.
Latest Stories
-
Center for Learning and Childhood Development Director Dr Kwame Sakyi honoured at Ghana Philanthropy Awards
4 hours -
Asantehene receives 28 looted artefacts
5 hours -
CAF WCL 2024: Ghana’s Thelma Baffour wins title with TP Mazembe
6 hours -
Benjamin Boakye slams politicisation of energy sector issues and ECG’s inefficiencies
6 hours -
Erastus Asare Donkor and Dr Neta Parsram win big at 10th Mining Industry Awards
6 hours -
Government is “suppressing information” about power sector challenges – IES Director
6 hours -
Majority of our debts caused by forex shortfall – ECG Boss
7 hours -
Pan-African Savings and Loans supports Ghana Blind Union with boreholes
7 hours -
Bole-Bamboi MP Yussif Sulemana donates to artisans and Bole SHS
7 hours -
Top up your credit to avoid potential disruption – ECG to Nuri meter customers
8 hours -
Dutch & Co wins 2024 Entrepreneur of the Year Award
8 hours -
We’ll cut down imports and boost consumption of local rice and other products – Mahama
10 hours -
Prof Opoku-Agyemang donates to Tamale orphanage to mark her birthday
11 hours -
Don’t call re-painted old schools brand new infrastructure – Prof Opoku-Agyemang tells gov’t
12 hours -
Sunon Asogli plant will be back on stream in a few weeks – ECG
12 hours