The Bank of Ghana (BoG) has assured that measures have been instituted to ensure that the Ghana Gold Coin initiative complies with national and international regulations.
The central bank said it has implemented stringent Anti-Money Laundering/ Countering the Financing of Terrorism (AML/ CFT) measures to ensure that the issuance of gold coins does not promote ,money laundering.
“All transactions shall be routed through banks where customers have been subjected to thorough Know Your Customer and Customer Due Diligence checks and sources of funds are proven. In addition, transaction monitoring and reporting of suspicious activities frameworks shall be in place.
“All buyers will be required to undergo identity verification, and transactions will be subject to limits that trigger additional scrutiny if exceeded. These measures are designed to prevent the use of gold coins in illicit activities,” the BopG said while answering the Frequently Asked Questions on the initiative.
The BoG also said it has outlined measures to ensure that the gold that will be used for its Ghana Gold Coin is not derived from illegal miners.
Asked how the BoG ensures that the GGC is not from illegally mined gold, the central bank answered in a Frequently Asked Questions that “Gold used for the manufacture of the GGC is from traceable, responsibly mined sources in Ghana in line with the BOG’s Responsible Gold Sourcing Framework.”
The BoG launched its gold coin which will be available on the market in the next two weeks for purchase by investors.
This is the first time the central bank is issuing gold coins as an alternative investment asset available to the general public.
Governor of the BoG Dr Ernest Addison who launched the coin at a press conference in Accra on Friday, September 27 explained that the Ghana gold coin enables the Bank of Ghana to mop up extra liquidity in the banking sector
Individuals, he said, can purchase it in three different ounce options at all commercial banks across the country.
”Now, if you don’t buy dollars, you will buy treasury bills or bonds. We are giving you an opportunity from the domestic gold purchasing programme to also buy gold. This is what we are trying to launch now and we call it Ghana gold coin,” he said.
“The Ghana gold coin is manufactured from gold dug out of Ghana which has been refined to 99% purity. It is issued and guaranteed by the bank of Ghana.”
Dr Addison added ”It will be available in three different units. That is the one-ounce coin, the half-ounce coin and the quarter ounce coin to suit different investment needs.
“The Ghana gold coin enables the Bank of Ghana to mop up extra liquidity in the banking sector and will supplement the use of Bank of Ghana bills and overnight inflows for liquidity management, It gives savers an additional avenue to invest, rip the benefits of the BoG domestic gold purchase programme ”
“Each coin has the Ghana Coat of Arms in front and the Independence arch at the back ,” he said. adding that this initiative is to “deepen our financial markets by offering other avenues for savers to invest ”
Source: 3news.com
