By Savannah Pokuaah Duah
Finance Minister, Cassiel Ato Forson, has announced a ban on the use of foreign currencies in all government contracts, warning the practice threatens the stability of the national currency.
Presenting the 2025 Mid-Year Budget Review on Thursday, July 24, 2025, Ato Forson said that, starting immediately, no government contract—regardless of its funding source—will be awarded in foreign currency.
“Pricing and awarding contracts in foreign currency pose significant risks to fiscal management and have severe implications for the stability of our cedi. If this trend continues unchecked, it will erode confidence in our currency, drive inflation, and result in the loss of value in the symbol of our sovereignty,” Forson stated.
The Finance Minister emphasized that this directive from His Excellency, President John Dramani Mahama, is essential to curb the growing reliance on foreign currencies for transactions within Ghana. “We must restore faith in our currency and ensure that all government dealings reflect that commitment,” he added.
Forson also reminded the public of the legal framework surrounding currency transactions. “According to the Foreign Exchange Act 2006, Act 723, companies, institutions, and individuals are prohibited from pricing, advertising, receipting, or making payments for goods and services in foreign currencies in Ghana without prior written approval from the Bank of Ghana,” he stated.
“Many businesses rely on foreign currencies for their transactions, especially in industries like importation,” he said. “This directive could complicate things for us if we cannot price our goods accordingly.”
As Ghana navigates these economic challenges, Forson’s commitment to fiscal discipline and currency stability will be critical in fostering an environment conducive to growth and investment.
