Ghana: Bank of Ghana Launches New Guidelines to Stabilize Forex Markets

The Bank of Ghana (BoG) has introduced a comprehensive set of foreign exchange (FX) intervention guidelines designed to manage market volatility and maintain stability within a targeted exchange rate band. The move underscores the central bank’s commitment to regulatory compliance and risk mitigation in financial markets.

Forex volatility, which measures the speed and magnitude of currency value fluctuations against another currency, has prompted the need for more structured intervention strategies. In a statement released on February 10, 2026, BoG clarified that the new framework is not intended to fix the exchange rate at a specific level, but rather to address short-term market imbalances while keeping the rate largely market-driven.

Under the revised framework, the Bank will initiate intervention auctions whenever market conditions enter a defined intervention region. To mitigate concentration risk, participation is limited: each bank can submit up to three bids, with a minimum of US$500,000 and in increments of US$250,000.

BoG further explained:

“The FX intervention shall be announced either on the same day or one day in advance, depending on the timing of the decision. The announcement will be published via LSEG Workspace (Refinitiv) Auctions platform and Refinitiv FXT, and will include the FX intervention volume target and other relevant details.”

The central bank also reminded participating institutions to adhere strictly to foreign exchange exposure limits under its Net Open Position guidelines, as well as the Foreign Exchange Act 2006 (Act 723) and the Ghana Interbank Forex Market Conduct rules.

Market analysts note that these measures not only enhance compliance management and regulatory reporting but also strengthen risk assessment and internal controls within Ghana’s banking sector. By combining structured intervention mechanisms with clear regulatory oversight, BoG aims to reduce short-term volatility, promote financial compliance, and foster confidence among investors and market participants.

The new guidelines demonstrate a commitment to leveraging compliance technology and RegTech solutions in managing financial markets, aligning with broader trends across African central banks to integrate compliance monitoring tools and regulatory intelligence in currency management