The Bank of Ghana (BoG) has cautioned exporters against failing to repatriate a portion of their proceeds, emphasizing that sanctions will be imposed for non-compliance.

The central bank stressed that the 60-day grace period granted to exporters will be strictly enforced to prevent abuse.

Additionally, the BoG urged exporters to utilize the Bank's Letter of Commitment Documents to facilitate their export transactions.

Eric Hammond, Chief Manager overseeing Foreign Global Transfer and Remittance at the Bank of Ghana, highlighted ongoing collaboration with security agencies to ensure exporters adhere to regulations.

Mr. Hammond emphasized the central bank's willingness to engage with exporters to ensure compliance with repatriation requirements during a sensitization workshop on the Bank of Ghana Letter of Commitment.

"The objective is not to stifle your operations but to save it rather. We need you as you need us and that's exactly what we are doing here.”

“After the 60 days and you are not complying, the system will block you and that means you would have to come to the Bank of Ghana which adds up to your cost".

He added “We are not blocking you but the system does that. So let's do well to do it so. It doesn't prevent you guys from doing further exportation. We don't have the power to prosecute you but we are engaging the security services on that".

He stressed that exporters found culpable could encounter penalties, such as a fine of 5,000 penalty units, equivalent to ¢60,000, or imprisonment for up to 10 years, or both.

The significance of repatriating export proceeds was underscored, with an emphasis on its role in building reserves and fortifying the local currency. This, he stated, contributes to the enhancement of trading activities, playing a pivotal role in facilitating Ghana’s broader transformation agenda.

During the forum, participants raised a spectrum of concerns, including the escalation of freight charges, difficulties with the Letter of Commitment (LOC) system, the application of exchange rates surpassing the BoG rate at ports, bureaucratic impediments, and a perceived lack of financial and technical support from government and regulators.