Today in History: Any real estate company trading in dollars is illegal - BoG

The Central Bank in April last year noted that it is illegal for any real estate company to trade in dollars.

According to the Head of Financial Stability at the Bank of Ghana, Dr. Joseph France, “Once you dollarize your economy, it means you are weakening your Cedi and if you are weakening your Cedi, then you are making everything expensive for your citizenry.”

Read the full story originally published on April 11, 2023 by www.ghanaweb.com.

The Bank of Ghana stated that it is unlawful for real estate companies to charge in dollars.

Head of Financial Stability at the Bank of Ghana, Dr. Joseph France has stated that no real estate has been licensed by the central bank to charge in dollars hence any institution doing so is operating on illegal grounds.

Speaking in an interview on JoyNews, he said, “I don’t know of real estate institutions that have been authorized; so, if a real estate institution is dealing in Forex, then that real estate is dealing illegally in forex and must be reported to the law enforcement agencies.”

Dr. France stated that pricing items in dollars weakens the cedi and causes depreciation, a phenomenon that is unhealthy for the economy.

“Once you dollarize your economy, it means you are weakening your Cedi and if you are weakening your cedi, then you are making everything expensive for your citizenry.”

An earlier statement from the Bank of Ghana stated that no Ghanaian business should price their goods and services in foreign currencies.

Ghana’s Foreign Exchange Act 2006, (Act 723) prohibits companies and individuals from engaging in foreign exchange business without authorization from the Central Bank.

The act does not allow the pricing and advertisement of goods and services in foreign currencies.

The Ghana cedi is however considered the only legal tender in the country, hence people found flouting the law will be dealt with accordingly.

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