Importers can now pay for Chinese goods in cedis – BoG Governor

Ghanaian importers can now make payments to Chinese suppliers in local currency, thanks to a new banking initiative piloted by Stanbic Bank Ghana. Bank of Ghana Governor Dr. Johnson Pandit Asiama announced the program during a Monetary Policy Committee press briefing, aiming to reduce the country's dependence on the US dollar for trade with China.

The service, which allows businesses to pay in Ghana cedis, bypasses the need for multiple foreign exchange conversions and simplifies transactions between Ghanaian firms and Chinese suppliers.

Under the arrangement, eligible customers at Stanbic Bank can initiate payments to Chinese suppliers using yuan, instead of converting cedis to US dollars first. The Chinese supplier receives the payment in yuan. To use the service, businesses must hold an account with Stanbic Bank, choose yuan as the payment currency, and submit the required documentation. The bank states that eligible payments processed within 2 p.m. GMT can be settled the following business day.

GCB is also preparing a similar service to expand access to the arrangement. While the yuan payment route does not guarantee cheaper transactions, as savings depend on exchange rates, fees and individual bank terms, it offers a more direct payment channel for businesses that regularly import goods from China, including machinery, electronics, industrial inputs, textiles and other merchandise.

The initiative supports Ghana's efforts to deepen economic ties with China, as the two nations expand bilateral trade and pursue preferential trade policies.