Deloitte Associate Director Calls for Stronger Compliance in Ghana’s FX Market
By: Solomon Nartey Tetteh
Associate Director for Strategy and Transactions at Deloitte, Dennis Brown, has identified compliance as the most difficult aspect of Ghana’s foreign exchange (FX) management, citing the country’s vast informal sector as a major challenge.
Speaking on the Business Breakfast Show on Zed 101.9FM, Mr. Brown explained that a significant portion of economic activity remains outside the formal system, making it difficult for the Bank of Ghana (BoG) to fully monitor transactions and regulate the FX market.
“From where the Bank of Ghana sits, what they can see is limited. There’s a large section of the market that is off the radar, yet this group is still influencing the exchange rate,” he said.
According to him, while efforts have been made over the past few years to use technology and digitalization to bring informal businesses into the formal economy, progress remains slow. He noted that some stakeholders have argued against fully formalizing informal operations, suggesting instead that they should be allowed to operate while being monitored more closely.
Mr. Brown stressed the need for stronger collaboration between key state institutions such as the Bank of Ghana and the Ghana Revenue Authority (GRA). He pointed out that the GRA has already made strides by capturing informal businesses into its tax net through digital platforms and automation, but more integration is required to ensure effective oversight.
“The Bank of Ghana will need to work closely with the GRA to track business transactions, revenue sources, and foreign currency flows. This will make it easier to bring these operators into the regulatory framework,” he added.
He further highlighted the existence of a thriving black market for foreign exchange, which continues to undermine official efforts to stabilize the currency. “If you see someone trading forex on the street, you cannot tell if they are a legitimate dealer or not. That’s the difficulty you cannot police what you cannot see,” he remarked.
Mr. Brown emphasized that while some progress has been made, much work still lies ahead in strengthening compliance, expanding digitalization, and building inter-agency cooperation to bring more transparency to Ghana’s FX market.
