Bank of Ghana directs commercial banks to implement GIPC TTA for transactions

•The central bank has directed banks to implement the GIPC TTA for transactions

•The decision comes at a time some banks are currently under investigation for money transfer breaches

•Banks or persons who flout the directive will be sanctioned

The Bank of Ghana has issued a directive to all commercial banks demanding the Ghana Investment Promotion Centre (GIPC) Technology Transfer Agreement (TTA) on foreign companies operating in the country.

The move, according to the GIPC’s Head of Legal, Naa Namley Orleans-Lindsey is hinged on curbing illicit financial flows.

In an interaction with the B&FT newspaper monitored by GhanaWeb, Madam Lindsey said the directive forms part of a wave of notices to commercial banks alerting them to adhere to strict money transfer guidelines.

“From the last time that the Bank of Ghana sent out these letters, we have seen an upsurge in applications to the GIPC; an upsurge in phone calls, inquiries from clients and their lawyers wanting to know if their operations require registration from the Center. When this is done regularly, it increases compliance and makes people aware of what the law is,” Madam Orleans-Lindsey said.

The directive by the central bank follows the investigation of some commercial banks over money transfer breaches.

According to Philip Danso, Chief Manager of Banking Supervision Department of Bank of Ghana, the investigations include under-documentation, understated and unreported values and others without proper documentation.

Philp Danso earlier said a wide range of steps are being undertaken to ascertain every paper trail related to the money transfer breaches and proper sanctions will be applied following the investigations.