The issue of a frivolous claim made by Barclays Bank Ghana Limited in the country’s foreign exchange market has been resolved, the Bank of Ghana (BoG) has announced.
Barclays Bank Ghana was on Monday, June 3 fined GH¢4,579,256.36 by the central bank for making what BoG termed as “frivolous quotes” on Ghana’s Interbank Foreign Exchange Market.
BoG explained the action by Barclays Bank Ghana was is in breach of the Ghana Interbank Forex Market Conduct rules.
“…the Bank of Ghana will not hesitate to sanction any market participant whose actions contravene Ghana’s Interbank FX Market Conduct Rules,” the statement said.
On Thursday June 6, Barclays Bank Ghana issued a statement assuring its customers they were working with the regulator to resolve the matter that was said to have hit hard at the bank.
“We would also like to assure you that, we continue to be guided by robust governance structures embedded in our organisation and sound business principles in all our operations. We remain highly liquid and well-capitalised to support your banking needs,” it said.
But few hours later, the regulator issued a statement to announce a resolution of the matter.
“On Monday June 3, 2019, the Bank of Ghana issued a press release on the misconduct in the foreign exchange market by Barclays Bank Ghana Limited. The Bank of Ghana has since engaged Barclays Bank Ghana Ltd and the matter has now been resolved,” it stated.
It however did give further details on the terms of the resolution as well as whether the fine has been paid or waived.
BoG explained the action it took does not in any way “suggest Barclays Bank Ghana Ltd is not in good standing”.
It added: “The Bank of Ghana would also like to assure the general public that Barclays Bank Ghana Ltd. is solvent, well-capitalized and remains in good standing”.