Strengthening stakeholder communication on forex withdrawals: Strategic imperative

The Bank of Ghana (BoG) could have significantly enhanced the effectiveness of its recent policy directive on foreign exchange (forex) withdrawals by adopting a stakeholder communication model. 

While the policy itself appears to be a prudent and necessary step in safeguarding the national interest and stabilising the local currency, the manner and approach of its communication to stakeholders have been less than optimal.

This lapse may have compromised the opportunity for proactive stakeholder engagement and potentially undermined public support.

In light of this, I recommend that the BoG urgently pivot towards a reactive stakeholder communication strategy to mitigate any fallout and rebuild trust. The following communication avenues should be considered and implemented immediately:

• Engagement

The BoG must work closely with all licensed financial institutions to ensure strict adherence to the forex withdrawal policy.

Banks serve as the primary interface between the BoG and the public; therefore, it is imperative that they fully understand the policy's objectives and are equipped to explain and promote its merits to their customers.

This includes empowering bank staff with clear messaging and providing educational materials to facilitate public compliance.

A broad-based public engagement strategy, leveraging both traditional media (radio, television, newspapers) and digital platforms (social media, official websites), should be launched.

As a new administration currently enjoys relatively high levels of public trust, this is a timely opportunity to educate citizens on how the policy contributes to economic recovery and the long-term appreciation of the cedi.

Public understanding and buy-in are essential for the policy’s success.

• Engagement, business community

Businesses are among the most directly impacted stakeholders.

Although regulatory provisions outline how businesses should operate under the new policy, further clarity is needed.

The BoG should organise sector-specific seminars, workshops or town hall meetings to explain the policy framework, address concerns, and demonstrate the long-term economic benefits.

This participatory approach may increase voluntary compliance and reduce resistance.

• Policy compliance

Government agencies and political appointees must lead by example in adhering to forex restrictions.

Public perception of double standards could undermine the policy's legitimacy. 

Therefore, clear internal guidelines must be issued to regulate forex-related expenditures within public institutions.

Transparent enforcement of these measures will reinforce the government’s commitment to economic stability.

•Confidence local currency

The ongoing appreciation of the cedi is a positive development.

To sustain and build on this momentum, stakeholder communication must become a central component of the BoG’s regulatory toolkit.

A coherent and inclusive communication strategy not only informs but also aligns stakeholders toward a common national economic goal.

Conclusion

Effective communication is not ancillary to policy implementation, it is central to its success.

By integrating a stakeholder communication model, the BoG can transform policy perception, improve compliance and foster broader national support. 

Future directives, especially those with macroeconomic implications, should prioritise transparent, timely and inclusive stakeholder engagement.

The writer is head of the Marketing Department 
University of Professional Studies, Accra. 
E-mail: ikabdul-hamid@upsamail.edu.gh