BoG backs cedi payments for Ghana-China trade

The Bank of Ghana (BoG) has endorsed initiatives aimed at facilitating trade between Ghana and China through the use of the cedi, as part of efforts to decrease reliance on the US dollar for bilateral transactions. Governor of the Bank of Ghana, Dr Johnson Pandit Asiama, revealed during a recent Monetary Policy Committee (MPC) press briefing that local banks are already implementing arrangements enabling Ghanaian importers to pay for Chinese goods in Ghanaian currency.

Stanbic Bank is currently leading a pilot program allowing importers to bypass the need for US dollars when purchasing from China. "If you want to buy anything from China, just go to Stanbic Bank with your cedis," Dr Asiama stated. Ghana Commercial Bank is also exploring a similar arrangement as the nation strives to enhance financial and trade ties with China.

Dr Asiama emphasized the BoG's serious consideration of the growing trade relationship between Ghana and China, and the central bank's intention to engage Chinese counterparts on opportunities arising from the zero-tariff policy regime. The Ministry of Trade will also play a crucial role in ensuring Ghana maximizes benefits from this development.

Dr Asiama assured that the Bank will continue collaborating with relevant institutions to support the expanding Ghana-China trade relationship, as the central bank takes various steps to facilitate cross-border payments and diminish the dependency on the US dollar for Ghana-China trade transactions.