Can Bank of Ghana End Dollar Pricing in Ghana?

In spite of repeated warnings and legal provisions, the pricing of goods and services in dollars continues to thrive in Ghana.

From luxury apartments and vehicles to school fees and even some professional services, the practice has become so normalized that many Ghanaians doubt whether the authorities are truly capable of stopping it.

This week, the Bank of Ghana (BoG) has renewed its campaign against the dollarization of the economy, cautioning once again that quoting and paying for goods and services in foreign currency without authorization remains illegal under the Foreign Exchange Act, 2006 (Act 723).

The central bank’s latest notice specifically mentioned educational fees, rent, hotel accommodation, airline tickets, contracts for the supply of goods and services, and vehicle sales as areas where the law is being breached. It warned that offenders risk fines and possible imprisonment.

Yet, the problem is not new. Over the years, similar directives have been issued  in 2014, 2019, and again during periods of cedi depreciation but compliance has been short-lived. Many businesses, particularly in the real estate and aviation sectors, have ignored the law, citing exchange rate volatility as justification. In some instances, even state institutions have been accused of condoning or overlooking the practice.

For ordinary Ghanaians, the stakes are high. Most people earn their income in cedis but are forced to pay in dollars for critical services, effectively weakening their purchasing power and deepening inequality. Economists argue that dollar pricing also undermines confidence in the cedi, fuels inflation, and worsens exchange rate instability.

What remains unclear is whether this latest notice will be different. Analysts say the key lies in strict and transparent enforcement. “It is not enough to remind businesses of what the law says,” one economist observed. “We need prosecutions, sanctions, and consistency. Otherwise, the practice will continue unchecked.”

For now, the BoG’s resolve is once again on trial. Ghanaians are watching to see whether the regulator can finally put an end to a practice that has survived nearly every attempt to abolish it.